Finance

The August Consumer Price Index report showed headline inflation holding steady at an annual rate of 3.4%, matching estimates, while the core reading edged slightly higher than expected. Following the data release, market traders significantly raised the implied probability of a Federal Reserve interest rate hike at next week's policy meeting to roughly 87%.

Brent crude futures experienced sharp volatility, surging near $110 a barrel before retreating to settle at $104.61, while West Texas Intermediate hovered just above $100. Supply disruptions remain a critical concern for investors following military escalations in the Middle East, including the targeting of shipping lanes and Saudi Arabia's temporary shutdown of its East-West pipeline.

The yield on the benchmark 10-year U.S. Treasury note finished the week at 4.96% after briefly touching 4.99%, its highest level in nearly three years. Fixed-income markets continue to face intense selling pressure driven by heightened inflation anxieties, surging energy costs, and anticipated policy tightening by global central banks.