Finance

Crude oil futures fell sharply following reports that U.S. and Iranian diplomats are negotiating a deal to preserve shipping access through the Strait of Hormuz. The subsequent drop in crude prices below key thresholds allowed Treasury yields to ease slightly after the 10-year yield touched multi-decade highs.

Despite a late-week pause in the global bond selloff, U.S. Treasury yields hovered near historical highs with the 10-year note printing around 5.18%. Market participants remain highly sensitive to a potential interest rate hike at the Federal Reserve's upcoming October meeting as inflation concerns linger.

Strong corporate performance helped provide a solid floor for equity valuations against macroeconomic headwinds. Notably, Akamai Technologies surged following an $11.6 billion multiyear AI infrastructure agreement with Anthropic, while robust quarterly profits from Costco Wholesale boosted consumer retail sentiment.