Finance

Energy markets experienced heightened volatility as international benchmark Brent crude surged to its highest settlement in weeks, exceeding $104 per barrel. The rally was fueled by a fresh tanker attack in the Persian Gulf alongside rising tensions regarding U.S. and Iran relations. Prices subsequently moderated slightly from their session highs following comments from President Donald Trump that a domestic strike against Iran would not take place prior to the upcoming midterm elections.

U.S. weekly jobless claims declined for the fifth consecutive week to 197,000, undershooting consensus forecasts of 200,000. The continuously tight labor market is intensifying pressure on the Federal Reserve to persist with its monetary tightening policy following its recent rate hike to a 3.75%–4.00% range. Financial markets responded by pricing in a high probability of another quarter-percentage-point interest rate increase at the upcoming December meeting.

The 10-year U.S. Treasury yield stabilized around 5.23% to 5.28% after approaching its highest intraday levels in over two decades. Bond yields moved off their highest marks following a successful 30-year bond sale, which helped mitigate aggressive fixed-income selling. Analysts note that persistently elevated yields reflect ongoing investor caution surrounding stubborn inflation, national debt expansion, and the broader path of central bank interest rates.