U.S. Stocks Rise as Oil Prices Retreat

U.S. Stocks Rise as Oil Prices Retreat U.S. major stock indexes advanced on Monday, March 17, following three weeks of declines, as West Texas Intermediate (WTI) crude futures pulled back to $94 a barrel. The tech-heavy Nasdaq rose 1.4%, the S&P 500 gained 1.1%, and the Dow Jones Industrial Average increased 0.9%, adding approximately 450 points. This market movement occurred as WTI crude futures, the U.S. oil-price benchmark, decreased by almost 5% after earlier touching above $102.50, while Brent crude futures, the global benchmark, slipped 2.5% to about $100.50 a barrel.

The retreat in oil prices coincided with developments in the Middle East, where U.S. Treasury Secretary Scott Bessent stated that the U.S. is permitting Iranian tankers to transit the Strait of Hormuz. This statement followed reports that President Donald Trump was attempting to form a coalition to escort ships through the strait and had warned of potential attacks on Iranian oil infrastructure on Kharg Island if Iran continued to impede the shipping channel. Approximately 90% of Iran's crude exports are processed on Kharg Island, which was recently targeted by U.S. military action.

Concurrently, the yield on the 10-year Treasury note fell below 4.24% from Friday's close of over 4.28%, two days before the Federal Reserve's interest rate decision. Gold futures declined over 1% to $5,000 an ounce, and silver futures were 0.6% lower at $80.90 an ounce. The U.S. Dollar Index decreased 0.5% to 99.85. Bitcoin traded around $73,900, up from overnight lows below $71,500.