Bloomberg Surveillance · Wednesday, July 8, 2026
Oil prices have seen a notable two-day increase for both Brent and WTI, the most significant since April, driven by the end of the Middle East ceasefire. This surge is contributing to broader inflationary pressures, with analysts questioning if the market is underpricing the risk of persistently hotter inflation and its impact on corporate profit margins and the Federal Reserve.
“It is sort of surprising, as John was mentioning that oil prices aren't even higher if.”
“The pace of increase is pretty notable. The two day increase for both Brent and WTI is the most since at least April, and you see just sort of this surge upward.”
“The volatility that we're seeing though, just highlights how much inflationary pressures are coming from myriad places. And it seemed to be persistent even when you want to say, look, there's potentially a glut because of all of these off the release valves that you talked about.”
“At what point do you think that this market is underpricing the risk of inflation running a bit hotter, putting pressure, yes on the FED, but potentially pressuring certain profit margins for companies that are facing a pretty wearied consumer.”