This story was originally published on CFO Dive. To receive daily news and insights, subscribe to our free daily CFO Dive newsletter. Dive Brief: Growth in U.S. business activity in March slowed to an 11-month low as the Iran war pushed up prices and restrained new orders, S&P Global said Tuesday. Service sector activity rose at the weakest pace in nearly a year, and businesses responded to higher input costs and a spike in energy prices by raising average selling prices at the fastest rate since August ...

Corn price action is 4 to 5 cents higher so far on Thursday AM trade. Futures closed out the Wednesday session with contracts 7 to 9 cents higher and some deferred contracts 2 to 4 ¾ cents in the green. Open interest rose 18,163 contracts on Wednesday, mainly in July and December. The CmdtyView national average Cash Corn price was up 9 ¼ cents to $4.20. Crude was up $3.61 on the day and $8 off the early session lows. EIA data was out this morning, showing ethanol production at 1.093 million barrels per d ...

Corn futures closed out the Wednesday session with contracts 7 to 9 cents higher and some deferred contracts 2 to 4 ¾ cents in the green. The CmdtyView national average Cash Corn price was up 9 ¼ cents to $4.20. Crude was up $3.61 on the day and $8 off the early session lows. EIA data was out this morning, showing ethanol production at 1.093 million barrels per day in the week ending on 3/13, down 33,000 bpd from the previous week. Stocks data were building on that week, up 827,000 barrels to 26.407 milli ...

Core Insights - California drivers are facing some of the highest gas prices in the U.S., with potential for prices to exceed $7 per gallon due to escalating tensions in the Middle East and rising crude oil prices [2][4][7]. Gas Price Trends - The national average gas price is currently $3.45 per gallon, reflecting a 16% increase over the past week, with predictions suggesting a 63% chance that prices could reach $4.50 by the end of March and a 34% chance of surpassing $5.00 per gallon [3][7]. - California's average gas price stands at $5.159 per gallon, significantly higher than the national average, with the second most expensive state, Washington, at $4.60 per gallon [4][5]. Regional Price Disparities - Certain regions in California experience even higher prices, such as Tehama at $4.77 per gallon and Silicon Valley at $5.41 per gallon, highlighting the West Coast's unique pricing challenges [5][6]. - Premium gasoline in California averages $5.55 per gallon, while diesel costs $5.91 per gallon, further illustrating the state's elevated fuel costs [8].

Market Overview - The market experienced significant volatility due to geopolitical tensions, particularly in the Middle East, leading to the sharpest weekly increase in gas prices since March 2022 [1][5] - The Dow Jones Industrial Average fell 2.1% for the week, marking its worst weekly performance since October, with an additional drop of 320 points following a weak jobs report [2] - The S&P 500 and Nasdaq also opened lower, with declines of 0.9% and 1.44% respectively, as the S&P 500 erased all gains from 2026 [2] Oil Market Dynamics - Brent crude oil prices reached $90 per barrel for the first time since April 2024, with a weekly increase of 24%, while West Texas Intermediate surged nearly 30% to $87.46, marking the largest weekly jumps since early COVID-19 pandemic [3] - The Strait of Hormuz, a critical passage for about 20% of the world's oil supply, has been effectively shut down for seven days due to escalating conflicts, leaving approximately 140 million barrels stranded [4] Gasoline Prices - The national average price for regular gasoline increased by nearly 27 cents in one week to $3.25 per gallon, with a further rise to about $3.32 by Friday, representing the sharpest weekly increase since March 2022 [5] Stock Market Sector Performance - The Dow's decline was influenced by significant drops in industrials, materials, and healthcare sectors, each falling more than 2%, while the passenger-airlines group dropped 5.4%, with Southwest Airlines losing 6.9% [6] - In contrast, the technology and energy sectors provided some support, with Chevron rising 3.9% and Broadcom gaining 4.8%, helping the Nasdaq maintain small weekly gains [7]

Core Insights - The U.S. attack on Iran complicates the Federal Reserve's efforts to manage inflation and maintain high employment [1] - The impact of the conflict on energy prices and the U.S. economy is uncertain and being closely monitored by Fed officials [1][3] Energy Prices - Energy prices have risen significantly due to the conflict, with WTI Crude increasing by 8% and regular gasoline prices up by $0.10 to $3.11 per gallon [2] - The spike in energy prices poses immediate challenges for the Fed's goal of reducing inflation to a 2% annual rate [3] Economic Implications - The Fed's response to rising energy prices could significantly affect borrowing costs and economic growth [4] - Fed officials are divided on the potential impact of the conflict on inflation, with some suggesting it could have minimal effects while others warn of severe consequences [4][5] Inflation Trends - Inflation remains above the Fed's target, with prices rising 3% over the year, consistently exceeding the 2% target since 2021 [8] - The job market is stable, with modest job additions outside of healthcare, indicating a mixed economic environment [8] Future Expectations - The duration of the conflict will influence expectations for Fed rate cuts later this year, with a prolonged war potentially derailing these expectations [10][11] - Recent market data shows a shift in trader expectations regarding Fed rate cuts, with a 56% chance of rates being held steady through June [12]