3 weeks ago

S&P 500 Slips From All-Time High; Brent Crude Climbs 5%

S&P 500 Slips From All-Time High; Brent Crude Climbs 5%
S&P 500 Slips From All-Time High, Brent Crude Climbs 5% Amid Middle East Oil Fears · republicworld.com

Think of the stock market like a place where people trade little pieces of companies.

On Monday, the overall price of the biggest pieces in the United States dipped just a tiny bit, down from its very best day ever.

At the same time, a kind of oil called Brent got more expensive because people worry that ships cannot travel through an important waterway called the Strait of Hormuz.

That waterway is like a highway for oil, and no one knows when it will open again.

When oil costs more, lots of other things can cost more too, which makes prices go up.

That worries grown-ups who try to keep prices steady.

But some companies are doing great—many big companies made a lot more money this spring than last year.

Berkshire Hathaway, the company of famous investor Warren Buffett, made more money than expected and bought more stocks.

Another company, Intel, lost some value because it might sell a lot of new stock to pay for artificial-intelligence projects.

Next week, everyone will watch a new report to see whether prices are going up more slowly, which might mean the Federal Reserve won't raise interest rates.

Key facts

S&P 500
7,753.11 (down 4.53 points, -0.1%)
Dow Jones Industrial Average
53,975.98 (down 60.95 points)
Nasdaq composite
26,605.36 (down 85.26 points, -0.3%)
Brent crude
$87.72 per barrel (+5%)
Berkshire Hathaway stock
+1.5% after stronger-than-expected profit
Intel
-4.1%; may sell $15 billion of stock
Expected inflation report
3.4%, down from 3.5% in June
Fed September rate-hike odds
~52% per CME Group

Sources

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