Finance

Crude oil prices initially eased after signs of a ceasefire but rose late in the week following fresh U.S. attacks on Iran in response to shipping strikes in the Strait of Hormuz. Despite these escalations, the standard Brent crude price managed to stay near $72.60 per barrel, providing some relief to sectors sensitive to fuel costs such as airlines.

While major benchmarks struggled, the Russell 2000 index reached new record highs, reflecting a bullish rotation into more affordable, domestic-oriented industries. Investors appear to be shifting capital toward healthcare and retail sectors, which are perceived as less vulnerable to the volatility affecting global technology leaders.

The yield on the 10-year Treasury note fell to 4.37%, its lowest level in seven weeks, as consumer sentiment data indicated a slight drop in future inflation forecasts. This downward movement has lightened some pressure on interest-rate-sensitive assets, although markets still price in high probabilities of a Federal Reserve rate hike later this year.