The price of crude oil jumped in the overnight session as investors optimism about demand rose. Brent, the global benchmark, rose to $79, the highest level in about three years. Similarly, West Texas Intermediate (WTI) rose to more than $75. Recent data by both OPEC and the International Energy Agency (IEA) said that demand will keep soaring in 2022. Indeed, the IE reported said that demand will move to more than 100.8 million barrels per day, which will be higher than where it was before the pandemic started.

US stocks wavered in the overnight session as investors reflected on the rising Treasury yields. The yield on the 10-year US Treasury note rose above 1.5% for the first time since June. The yield has risen from a low of 1.25% in the past few weeks. This trend is mostly because of the hawkish Federal Reserve decision. The bank said that it will start tapering its asset purchases in the coming year. It also expects to increase interest rates 7 times by 2024. In a statement on Monday, Fed’s John Williams said that the bank should start winding down its accommodative policies.

The economic calendar will have minimal events today. The most important will be the latest American consumer confidence data by Conference Board. The data is expected to show that the country’s consumer confidence rose slightly in September. The next key event will be a testimony by Jerome Powell. He will likely be asked to talk about last week’s decision, the ongoing trends of inflation, and the looming government shutdown.