Finance

U.S. retail sales experienced a surprise contraction of 0.6% in July, falling notably short of economists' forecasts for modest expansion. Alongside a dip in consumer sentiment, the softer data led to a downward shift in Treasury yields and prompted investors to bet heavily that the central bank will keep interest rates steady in September.

Energy markets spiked following reports of a tanker attack in the Persian Gulf amid strained negotiations between the U.S. and Iran. The threat of widening maritime blockades propelled Brent crude prices up toward the $88 per barrel mark, while accompanying currency fluctuations and safe-haven demand lifted spot gold.

Shares of semiconductor equipment supplier Applied Materials dropped more than 5% even after exceeding analysts' quarterly top and bottom-line estimates. The decline highlighted growing investor anxiety over elevated valuations and high profit expectations for artificial intelligence infrastructure plays, pulling down peer tech stocks like Broadcom and Intel.