Home›US Markets›Indices›Oil jumps to $100 as Big Tech cash burn drags U.S. sto…

Oil jumps to $100 as Big Tech cash burn drags U.S. stocks

Brent crude rose nearly 7% to $100.5 a barrel, while the S&P 500 fell 1.5% and the Nasdaq slid about 2.7% on Thursday.

Thursday, July 23, 2026 · Written up by our desk · Indices

Oil prices surged, with Brent crude jumping nearly 7% to $100.5 a barrel for the first time since May, as attacks in the Red Sea and near-closure risks around the Strait of Hormuz tightened global supply flows, according to Reuters.

U.S. stocks fell as major technology names weighed on investor sentiment after the latest quarterly reports from Alphabet and Tesla, both part of the so-called Magnificent Seven. Reuters said Tesla shares dropped 14% for its first cash burn in two years, while Alphabet fell about 7% after it burned through cash and signaled it would increase annual AI spending by another $15 billion to a total of $200 billion.

Broader market moves were also pressured, with the Dow Jones Industrial Average down 1%, the S&P 500 off 1.5%, and the Nasdaq Composite down around 2.7%. In a fixed-income outlook, BlackRock chief investment officer of global fixed income Rick Rieder said the long-term impact of AI remains strong, but the near-term investment picture is becoming more nuanced.

In Europe, borrowing costs spiked to long-term highs amid reignited inflation worries, even as the European Central Bank held rates steady, Reuters reported. The STOXX 600 fell 1.3% after an earnings miss from chipmaker STMicroelectronics, which sent its shares down 17.5%.

Latest closeWTI crude $87.52 ▲3.1%|Brent $94.43 ▲3.8%|S&P 500 7,509.20 ▲0.9%

More like this

Sources