Finance

U.S. government bond yields surged across the curve, reaching levels not seen in roughly two decades, as strong economic indicators and rising energy costs stoked fears of prolonged inflation. The benchmark 10-year Treasury yield fluctuated over 5.2%, adding downward pressure to broader equity performance. The rapid ascent in yields has also flattened the yield curve, as shorter-dated notes react sharply to market expectations of hawkish policy actions.

Major U.S. stock indices started the trading week in negative territory, with the S&P 500, Dow Jones Industrial Average, and Nasdaq Composite all posting losses. The market-wide selloff reflected broader macro concerns stemming from elevated capital costs and rising crude prices. While market capitalization-weighted indices remain near their all-time highs due to select mega-cap tech holdings, broader market indices continue to show signs of underlying technical weakness.

Nvidia bucked the broader market's downward trend by launching a massive $150 billion stock buyback program alongside a new artificial intelligence safety platform. The company's expansion plans provided a boost to AI sector optimism ahead of highly anticipated corporate developer updates and upcoming chip earnings. The move cushioned tech sector indices from worse intraday losses as investors evaluate the longevity of the current enterprise infrastructure spending boom.