Investors are increasingly preparing for the Federal Reserve to hike interest rates as oil prices climb. Fed funds futures now price an 82% likelihood of a rate increase at the September policy meeting, up from below 53% a week ago, according to CME's FedWatch tool. Brent crude hit $100 a barrel for the first time since late May, while U.S. gasoline averaged $4 per gallon, the highest in over a month. Initial jobless claims fell to 187,000, the lowest since 1969, reinforcing the view that the Fed can focus on inflation. The Dow Jones Industrial Average tumbled more than 600 points and the Nasdaq Composite shed nearly 3% amid the rising rate expectations and energy costs.
Alphabet Inc Class CRising rate expectations and energy costs weigh on growth stocks; Alphabet is part of the Nasdaq sell-off.
CME Group Inc