Brent crude climbed above $100 a barrel Wednesday as Morgan Stanley warned that higher oil prices and interest rates remain the main near-term risks to stocks.
Analysts led by chief U.S. equity strategist Mike Wilson said "higher oil and rates remain the main risks to equities in the near term," noting that strategic petroleum reserves have already been substantially drawn down.
Brent crossed $100 for the first time since July as renewed Middle East fighting raised fears of further supply disruptions. S&P 500 futures fell about 0.4% early Wednesday.
Why It Matters
Wilson had already warned that oil was a key risk to the rally, arguing that rising crude tends to hurt stocks more than falling prices help them.
