The Money Edit

Opening bell

Opening bell

Brent crude $100.80 3.0%
S&P futures 0.04%
10Y Treasury 4.805%
S&P 500 0.58% to 7,646.78
Nikkei 225 0.19% to 64,459
Euro Stoxx 50 1.0% to 6,350

Brent tops $100 as futures steady

Overnight

Wall Street closed lower on Tuesday, with the Dow down 1.18%, the S&P 500 down 0.58% to 7,646.78, and the Nasdaq Composite down 0.32%, as rising oil prices revived worries about inflation. Brent crude, the main global oil benchmark, has since pushed through $100 a barrel, up about 3% to $100.80, after the US struck Iranian tankers in response to a missile attack on a Navy warship. Asia was quiet overnight, with Japan's Nikkei 225 slipping 0.19% to 64,459 as a firmer yen weighed on exporters, while Europe is trading lower with the Euro Stoxx 50 down about 1%, and US futures are close to flat.

What to watch

The Treasury sells 10-year notes at 1pm Eastern, and that auction is a live read on how much investors want to lend to the government for a decade, which matters with the 10-year yield already at 4.805% and energy costs feeding into inflation. Traders are pricing roughly a 60% chance the Federal Reserve raises interest rates at next week's meeting, so anything today that shifts inflation expectations carries more weight than usual. On the corporate side, Chewy reports before the open, American Eagle Outfitters reports after the close, and Apple holds its annual iPhone event.

Sources