Source: Fortune.com
Summary
Oil prices reversed gains, Brent crude oil down to $87.61 and US benchmark crude up to $82.19. Futures for S&P 500 ticked up 0.1%, Dow Jones Industrial Average down 0.1%, and Nasdaq futures rose 0.3%. Shares of major US oil companies, including Chevron, ExxonMobil, and ConocoPhillips, were close to unchanged. The average price for a gallon of regular gasoline ticked up to $4.01. Wall Street awaits Wednesday’s update on US inflation in July.
Our Reading
The numbers tell one story.
Oil prices swing between $72 and $102 last month as hopes rose and fell for a US-Iran agreement. Higher oil prices mean elevated prices for gas, which trickles down to consumers. Companies have to pay more for fuel to produce and transport goods, passing higher costs onto consumers. The main event for Wall Street this week is Wednesday’s update on US inflation in July, which may relieve pressure on the Federal Reserve to raise interest rates.
The Strait of Hormuz standoff is a familiar phase for oil prices and Wall Street.
Author: Evan Null
