Finance

Global energy costs and Treasury yields took a necessary breather following a relentless multi-day spike. Reports indicating potential phased progress between U.S. and Iranian negotiators regarding the crucial Strait of Hormuz sent Brent crude prices back below the $98 mark. The sudden drop in oil helped cap a historic rout in the bond market, allowing the 10-year Treasury yield to recede slightly below 5.2%.

The University of Michigan's consumer sentiment gauge fell to 48.1 for September, underscoring intense public anxiety over elevated price levels. Despite a slight upward revision from the initial monthly reading, sentiment continues to be heavily dragged down by high energy costs at the pump. Federal Reserve officials are closely watching the accompanying rise in long-term inflation expectations, which may alter consumer buying behaviors and prompt further monetary tightening.

Bitcoin and Ethereum held steady over the weekend, hovering just below their recently established eight-month peaks. Although digital assets experienced a minor intraday pullback due to a major $351 million security exploit at Bitget wallet, sentiment was buoyed by strong institutional participation. Spot Bitcoin exchange-traded funds recorded their seventh consecutive day of net positive inflows, reinforcing underlying demand despite broader regulatory and monetary headwinds.