Finance

The bond market faced aggressive selling pressure as yields shot up quickly in response to the latest Consumer Price Index metrics. Ten-year borrowing costs climbed past 5.27%, while long-term 30-year Treasury yields moved higher as well, closing in on levels not seen since 2002. Fixed-income investors are adjusting their portfolios to account for a hawkish monetary policy path that may involve another rate hike at upcoming central bank meetings.

The technology sector suffered notable losses as a major rout hit chipmakers, heavily weighing down the Nasdaq. Shares of key tech players tumbled following statements from lithography giant ASML warning that it cannot fully satisfy the booming demand for artificial intelligence infrastructure through 2027 and 2028. Additionally, mounting competitive pressures from Chinese hardware firms introducing improved architectures further hurt domestic sentiment.

Major financial institutions reported their latest quarterly results, generating varied performances across the sector. Bank of America saw its shares drop sharply following missing revenue projections in trading alongside severe regulatory penalties for internal safeguard failures. Conversely, Morgan Stanley posted modest gains after beating equity trading forecasts, while BlackRock edged up on positive capital inflows.