The S&P 500 Index is down 0.18% while the Dow Jones Industrial Average is up 0.10% and the Nasdaq 100 Index is down 0.30% as of today. WTI crude oil prices initially fell over 2% but later rebounded as tensions in the Middle East escalated with the U.S. moving a Marine expeditionary unit to the region amid ongoing Iranian threats in the Strait of Hormuz. U.S. Treasury data revealed that 30 tankers carrying at least 19 million barrels of Russian oil were granted a temporary waiver for import.
Key U.S. economic indicators showed mixed results: personal spending rose by 0.4% in January, beating expectations, while core PCE inflation increased 3.1% year-over-year, matching forecasts. January job openings increased by 396,000 to 6.946 million, surpassing expectations of 6.750 million. In contrast, Q4 GDP was revised down to 0.7% from 1.4%, and capital goods orders were unchanged, below the estimated 0.5% growth.
Goldman Sachs warned that crude prices could exceed $150 a barrel if disruptions in the Strait of Hormuz continue, contributing to rising global bond yields, with the German 10-year bund yield reaching 2.99%, a 2.25-year high.
