Finance

Energy prices resumed their upward trajectory, with Brent crude climbing over 4% to exceed $106 per barrel. The spike is driven by continued disruptions to global supply and reinforced by presidential warnings of intensified military action against Iranian infrastructure.

U.S. government bond yields rose as investors weighed the inflationary impact of sustained high energy costs. The 10-year Treasury yield reached approximately 4.38%, reflecting market expectations that the Federal Reserve will maintain current interest rates throughout 2026 due to geopolitical volatility.

The OECD raised its projection for U.S. headline inflation to 4.2% for 2026, citing energy price pressures that are expected to outweigh any relief from declining import tariffs. Economic growth is concurrently projected to moderate to 2.0% as high investment in artificial intelligence is offset by slowing consumer spending.

While Ethereum has faced sharp slides due to recession fears, Bitcoin has remained relatively stable in the $67,000 to $70,000 range. Institutional analysis suggests Bitcoin is seeing steadier inflows compared to precious metals like gold and silver, which have recently suffered from significant ETF outflows.

Rising oil prices have boosted energy sector outperformers like Valero Energy, which has gained over 50% so far in 2026. Conversely, tech-related stocks like AppLovin have struggled, facing significant deficits this year amid concerns regarding e-commerce spending momentum and scale challenges.