Finance

Alphabet suffered its worst daily performance in over a year, dropping 5% following reports of high-profile departures from its DeepMind AI unit to competitors. Investors are increasingly weighing the massive infrastructure costs of AI against the delayed realization of measurable returns, leading to a broader rotation out of the so-called 'Magnificent Seven' stocks.

U.S. Treasury yields rose on Monday as markets priced in a higher probability of a Federal Reserve interest rate hike as early as July or September. The two-year Treasury yield climbed to a new 52-week high of 4.23%, reflecting investor expectations of tighter monetary policy despite easing oil prices.

Crude oil prices fell approximately 3% to roughly $79 per barrel following signs of progress in peace talks between the United States and Iran. The potential for Iran to sell oil in dollars and the possible reopening of the Strait of Hormuz have eased concerns regarding global supply disruptions and moderated earlier price spikes.