Finance

Brent crude oil prices dropped by approximately 3.4% as markets reacted to potential diplomatic progress between the U.S. and Iran. Hopes for a deal that could unblock billions in frozen assets and restore global oil flows led to a significant pullback in energy commodity prices. This shift provided a tailwind for broader equity markets, easing some immediate concerns over energy-driven inflationary pressures.

U.S. Treasury yields experienced a decline, with the 10-year note finishing near 4.48% after earlier volatility. Recent data from the University of Michigan indicated that one-year inflation expectations eased to 4.6% in June, down from 4.8% in the previous month. This moderation in outlook, combined with falling oil prices, helped erase some of the yield surge initially sparked by stronger-than-expected labor data.

Bitcoin and Ethereum have shown signs of price stabilization after a period of significant volatility that saw Bitcoin briefly dip below $60,000. While retail search volume for digital assets is rising, institutional capital flows remain constrained, with Bitcoin ETFs recording their fifth consecutive week of outflows. Market analysts suggest that liquidity remains a primary challenge as investors weigh emerging IPO opportunities against digital asset volatility.