How Do Higher Oil Prices Impact Stock Market Returns?

The price of oil can be extremely volatile. This decade alone we’ve seen a barrel of oil trade at a low of negative $37 in the pandemic and more than $130 following the start of the Russia-Ukraine war. But prices have been surprisingly stable over the past couple of decades. Oil prices first touched $60/barrel in the summer of 2005. It was at the same level as recently as a couple of weeks ago. That’s two lost...