Oil Rebounds Above $100.72 as Yields Rise, Weighing on Equities

Crude oil surged back above $100.72 per barrel on May 21, reversing a sharp 5% drop and lifting U.S. 10-year Treasury yields. The rebound followed a week of extreme volatility that began on May 18 with Gulf drone strikes driving Brent above $111 and yields to a 15-month high of 4.631%. President Trump’s May 19 signal of advancing U.S.-Iran peace talks eased prices, but a larger-than-expected 7.9 million barrel U.S. inventory draw on May 20 sent WTI tumbling to $98.84. Today’s oil and yield rebound has reintroduced headwinds for equities, with major indices giving back gains despite NVIDIA’s record $81.6 billion quarterly revenue.