Finance

Global crude prices jumped approximately 5% as negotiations to reopen the vital Strait of Hormuz waterway hit a roadblock. Iran's list of demands, coupled with additional compensation requirements from the U.S. administration, have intensified geopolitical tensions. Brent crude futures consequently forged higher, approaching $90 a barrel.

Shares of Intel declined more than 4% after the chipmaker revealed plans to launch a substantial $15 billion equity offering. The company intends to deploy the fresh capital into expanding its contract manufacturing business and expanding chip factories to capture artificial intelligence opportunities. However, investors reacted negatively due to the looming dilution of existing shareholder stakes.

Market participants are closely holding positions ahead of the upcoming July inflation report, which economists project will show a minor cooling to 3.4%. Concurrently, U.S. Treasury yields pushed higher, with the 10-year note touching 4.71%. The impending data remains critical for determining whether the Federal Reserve will implement an interest rate hike or hold steady at its September meeting.