WTI crude settled at $93.03, up 1.69% and higher for a sixth straight session. That is the longest run since a seven-day stretch in March and the highest close since June 4.
Six consecutive up days is rare for crude. Most of yesterday's other moves tracked it.
Treasuries registered it immediately. The 2-year yield closed at 4.394%, its highest since January 2025, and the 10-year at 4.796% after brushing 4.8% intraday.
Energy runs straight into headline inflation, so a supply shock shows up first in short rates. CME FedWatch puts the odds of a quarter-point hike next Wednesday near 60%.
Treasury sells 10-year notes at 1 p.m. ET today. That auction shows whether buyers want duration at these yields eight days before the meeting.
The Dow lost 628.18 points, or 1.18%, double the S&P 500's 0.58% decline and nearly four times the Nasdaq's 0.32%. One name did most of that.
Amgen fell 10.15% after Novartis reported two failed drug trials, one of them reading across to Amgen's own cholesterol candidate. In a price-weighted index, a high-priced stock dropping 10% costs more points than broad selling does.
Qualcomm jumped more than 7% on a custom-chip agreement with Amazon Web Services, which cushioned the Nasdaq. Read yesterday's breadth off the S&P, not the headline Dow number.
Energy led the sector board, and the supply backdrop explains the bid. Strategic Petroleum Reserve stocks fell to 285.4 million barrels last week, the lowest since November 1982.
That is the cushion available if Gulf exports stay impaired. Brent settled at $97.92, its highest since July 23, and traded above $100 this morning for the first time since late July.
Weekly inventory data is delayed by the holiday calendar. The supply picture stays headline-driven for another day.
Gold did not act like an inflation hedge. December futures settled at $4,439.00, down $37.60 or 0.84%, on a session of rising crude and widening war headlines.
Higher hike odds and a steady dollar outweighed the inflation bid, the same combination lifting the 2-year yield. Friday's CPI decides which reading holds.
Today's data is thin. MBA mortgage applications post at 7 a.m. ET, tied to a 10-year yield that closed just under 4.8%.
API inventory figures come at 4:30 p.m. ET, with the EIA report pushed to Thursday by the Labor Day shift. Apple's iPhone event is the session's largest single-stock catalyst.
PPI lands Thursday at 8:30 a.m. ET with a 0.4% consensus for August. That print carries yesterday's energy move into the inflation data a day before CPI.
