Wall Street Steady as Oil Prices Rebound Modestly/ Newslooks/ WASHINGTON/ J. Mansour/ Morning Edition/ Wall Street traded relatively flat Wednesday while oil prices rebounded following a U.S. blockade of sanctioned Venezuelan tankers. Energy stocks led early gains, while tech and steel shares showed mixed performance. Investors remain cautious ahead of a key inflation report due Thursday.
Wall Street and Oil Prices Quick Looks
- S&P 500 up 0.1%; Dow rises 162 points.
- Nasdaq nearly flat in early Wednesday trading.
- Oil rebounds as U.S. blocks Venezuelan sanctioned tankers.
- U.S. crude up 1.4% to $55.92; Brent at $59.76.
- ConocoPhillips, Devon Energy, Halliburton among energy gainers.
- Netflix jumps 2.4% as Warner favors its acquisition bid.
- Paramount Skydance drops 4.4% on buyout news setback.
- Lennar slips 3.2% after mixed earnings, weak profit outlook.
- Steelmakers Nucor, Steel Dynamics fall on disappointing forecasts.
- 10-year Treasury yield inches up to 4.16%.
Deep Look
Wall Street Holds Steady as Oil Prices Rebound on Venezuela Blockade
U.S. markets opened slightly higher Wednesday, buoyed by rising oil prices after President Donald Trump ordered a blockade on all sanctioned oil tankers heading into Venezuela. The move sent crude prices climbing and gave a much-needed lift to energy stocks that have been under pressure throughout the year.
The S&P 500 edged up 0.1% after three consecutive days of losses, keeping it near record levels. The Dow Jones Industrial Average gained 162 points (0.3%), while the tech-heavy Nasdaq remained largely unchanged in early morning trading.
Oil Prices Rebound, Energy Stocks Rally
Energy stocks led the charge after U.S. crude benchmark prices rose 1.4% to $55.92 per barrel—bouncing back from the lowest level since 2021. Brent crude, the global standard, also gained 1.4%, reaching $59.76 per barrel.
The uptick followed Trump’s directive to halt sanctioned oil shipments to Venezuela, a country believed to have the world’s largest crude reserves. While full details of the enforcement strategy remain unclear, markets responded quickly.
Among the early beneficiaries:
- ConocoPhillips rose 1.6%, trimming its year-to-date losses.
- Devon Energy jumped 2.8%.
- Halliburton added 1.1%.
The energy sector has struggled throughout 2025 amid fears of global oversupply and weakening demand. However, geopolitical tensions and government intervention are once again becoming key factors influencing oil markets.
Netflix Surges, Media Merger Drama Continues
In the tech and media sectors, Netflix rose 2.4% after Warner Bros. Discovery reaffirmed support for its takeover bid. The board rejected a higher but unsolicited offer from Paramount Skydance, which dropped 4.4% in response. Warner Bros. Discovery slipped 1.1%.
The proposed merger with Netflix excludes Warner’s cable operations, unlike Paramount’s bid, which seeks full control. Investors appeared to favor Warner’s more cautious, regulator-friendly approach.
Housing and Steel Sectors Under Pressure
Lennar, one of the country’s largest homebuilders, fell 3.2% after posting weaker-than-expected earnings. Although revenue slightly exceeded forecasts, the company expressed caution about future demand due to shaky buyer confidence and tighter spending habits.
Executive Chairman Stuart Miller noted that customers are searching for discounts and more affordable homes, which could pressure margins going forward.
Meanwhile, steelmakers also stumbled:
- Nucor fell 1.6% after warning that fourth-quarter earnings would decline across all segments.
- Steel Dynamics slipped 0.9%, citing lower steel prices and reduced demand compared to the summer months.
These reports reflect a broader slowdown in industrial demand heading into 2026.
Bond Yields Tick Up Before Inflation Data
In the bond market, the 10-year Treasury yield rose slightly to 4.16% from 4.15% late Tuesday. Traders are bracing for a key inflation report due Thursday, which will provide insights into whether recent interest rate policy shifts are curbing price growth effectively.
Persistent inflation remains a concern for investors as the Federal Reserve weighs future rate decisions in a fragile economic environment.
Global Markets Mixed
Internationally, markets showed mixed results:
- South Korea’s Kospi led global gains with a 1.4% jump, paring weekly losses to 2.7%.
- European indexes were more subdued following Tuesday’s advances in Asian markets.
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