Dow Futures Surge More Than 500 Points on Plunging Oil Prices and In-Line CPI
MacroCommodityDigital Finance Impact 4
Dow futures soared more than 500 points, buoyed by a sharp drop in oil prices and the release of consumer price index data that matched analysts' expectations. As of 8:06 p.m. Thailand time, Dow futures were up 542 points, or 1.04%, at 52,637. Global crude oil prices fell sharply, with West Texas crude dropping below 99 dollars per barrel, while Brent crude fell below 104 dollars per barrel. This followed reports that Arab Gulf states and Iran are scheduled to meet on September 14 in Salalah, Oman, to discuss a temporary agreement on regulating shipping through the Strait of Hormuz. It would be the first meeting of senior diplomats from the six member states of the Gulf Cooperation Council and Iran since the United States and Israel launched attacks on Iran on February 28. Meanwhile, the U.S. Labor Department reported that the headline CPI rose 3.4% in August from a year earlier, in line with analysts' expectations, after also rising 3.4% in July. On a monthly basis, it rose 0.4%, in line with expectations, after rising 0.1% in July. Core CPI rose 2.4% year on year, in line with expectations, after rising 2.5% in July. On a monthly basis, core CPI rose 0.3%, above analysts' expectations of 0.2%, after rising 0.2% in July.
