From Yahoo Finance · · 50s
Oil Price Breaks Consumer Spending
Economist warns $120 oil triggers recession risk.
In brief
Economist warns $120 oil triggers recession risk. Interactive Brokers senior economist Jose Torres says oil prices above $120 create serious risk for American consumer spending. Originally reported by Yahoo Finance.
Oil Price Surge
National average gasoline price jumped 16 cents to $4.32 a gallon in one week.
Oil Market Shift
WTI crude reached $97.26 a barrel, Brent oil traded above $100.
Economist's Warning
Jose Torres says oil above $120 creates serious risk for consumer spending.
“oil above 120 is a serious risk for consumer spending”
Historical Context
WTI last hit $114.84 in June 2022, triggering rapid recession cycle.
Consumer Weakness
Personal savings rate dropped to 2.8% in Q2 2026, credit card APR at 20.94%.
Market Reaction
Energy stocks up 46%, consumer discretionary down 7% as oil rises.
The main idea
Interactive Brokers senior economist Jose Torres says oil prices above $120 create serious risk for American consumer spending.
