Brent crude climbs $20 above early-July lows as Iran tensions escalate
The Nasdaq composite declined Wednesday as traders turned cautious ahead of quarterly earnings reports from Alphabet, Tesla and IBM due after the closing bell, the Wall Street Journal reported. The slip followed a chip-stock rally that had lifted the index in the previous session. The Dow Jones Industrial Average edged higher.
Oil prices and bond yields climbed, with Brent crude trading more than $20 above its early-July lows as tensions between the United States and Iran continued to escalate, according to the Journal. The international benchmark moved back toward $100 a barrel as the Middle East conflict and the war in Ukraine squeezed energy markets on multiple fronts, the newspaper reported.
Average U.S. gasoline prices rose above $4 a gallon as higher oil costs contributed to inflation concerns, the Journal said.
The 10-year Treasury yield approached its 2026 peak, reaching 4.6%, according to data from the Federal Reserve. Traders saw the likelihood of the Federal Reserve raising interest rates at next week’s meeting at just under 25%, up from about 16% at the start of the week, the Journal reported.