Finance

Energy prices retreated as the de-escalation of conflict in the Middle East raised hopes for the reopening of the Strait of Hormuz. Simultaneously, technology and semiconductor stocks saw a strong bounce-back, following a volatile week characterized by profit-taking and concerns over artificial intelligence sector valuations.

New Fed Chair Kevin Warsh is preparing for his first policy meeting next week as consumer inflation reached its highest level in three years at 4.2%. Market expectations have shifted away from rate cuts toward a potential hike later this year, as the central bank balances firm labor markets with persistent price pressures driven by energy shocks.

Bitcoin prices climbed back above $63,000 as digital assets mirrored the broader recovery in traditional markets after a period of intense selling. Despite the bounce, some indicators suggest deep caution remains in the space, with trading volumes across non-stablecoin assets reaching two-year lows and sentiment readings showing extreme fear.