Summary · why it matters
Dow futures jumped more than 200 points, buoyed by a sharp drop in oil prices that eased investors' inflation worries. As of 7:17 p.m. Thailand time, Dow futures were up 222 points, or 0.43%, at 51,463. Brent crude fell below $100 a barrel and West Texas Intermediate crude slid below $90 a barrel after reports that Europe and members of the International Energy Agency, or IEA, are preparing to release oil into the market under pressure from the United States. November-delivery West Texas Intermediate crude fell $3.49, or 3.76%, to $89.38 a barrel, while December-delivery Brent crude dropped $2.45, or 2.39%, to $99.86 a barrel. Reuters reported, citing sources, that European Union member states met today, October 2, to discuss a French proposal to release diesel from emergency stockpiles in response to U.S. pressure for European nations to help slow the surge in fuel prices. The proposal calls for European countries to release 50 million barrels of diesel and for members of the International Energy Agency, or IEA, to release another 50 million barrels of crude. The United States is asking major European nations, including France and Germany, to release 100 million barrels of diesel within a 20-day window, and U.S. President Donald Trump is weighing the possibility of banning U.S. diesel exports ahead of the November 3 midterm elections. The IEA, which has 32 member countries, agreed in March to jointly release 400 million barrels of strategic reserves, the largest such release in history, and IEA Executive Director Fatih Birol said member countries have already released about two-thirds of the agreed total. Meanwhile, the U.S. Labor Department will release September nonfarm payrolls today, with analysts expecting job growth of 89,000 in September, down from 162,000 in August, and the unemployment rate expected to hold steady at 4.1% in September.
