Trading Day: $100 oil bites

Oil prices surged above $100 a barrel on Wednesday due to escalating conflict in the Middle East, causing global stocks to fall sharply. In response, the U.S. Treasury increased its bond buybacks by up to $6 billion, causing yields to reach multi-year highs. The dollar weakened against the yen, while energy costs pushed up U.S. gasoline prices to over $4 per gallon and diesel to a record $5.94 per gallon.

Despite these high energy costs, the global economy remains strong, with asset managers searching for ways to mitigate risk while staying invested.