Finance

The 10-year Treasury yield surged to approximately 4.49%, its highest level since last July, after April's producer price index exceeded economist expectations with a 1.4% monthly jump. This spike in wholesale inflation has prompted investors to adjust their outlook on Federal Reserve interest rate policy, with many now pricing in fewer cuts or even potential hikes.

Crude oil prices remained elevated around the $102 per barrel mark as supply concerns persist due to the unresolved conflict involving Iran. Despite a minor daily dip, benchmarks such as WTI and Brent continue to trade at significant premiums reflecting the ongoing naval blockades in the Strait of Hormuz.

The tech-heavy Nasdaq edged higher in early trading as chipmakers like Nvidia and Micron began to recover from a sharp industry-wide decline. Despite these immediate gains, AI giants remain under scrutiny as high capital expenditure forecasts for 2026 and rising bond yields weigh on long-term valuation multiples.