Finance

U.S. sovereign bonds faced significant pressure as the 10-year and 30-year Treasury yields escalated to their highest points in over two decades. Hawkish commentary from Federal Reserve Governor Christopher Wallace concerning the potential need for further interest rate hikes contributed heavily to the bond market selloff. Although a successful 30-year bond auction helped moderate yields later in the session, borrowing rates remained elevated due to low weekly jobless claims.

Crude oil benchmarks surged amid escalating geopolitical friction in the Middle East and concerns over production disruptions from regional shipping routes. West Texas Intermediate futures gained over 3% to settle above $91 per barrel, while Brent crude pushed higher as traders monitored reports of potential military actions involving Iran. Prices moderated slightly off their intraday peaks after statements indicated that U.S. strikes would not occur prior to the upcoming midterm elections.

Digital assets experienced severe selling pressure as a difficult macroeconomic environment forced Bitcoin to drop below crucial support levels. The flagship token fell below $81,000, which subsequently triggered nearly $1 billion in total liquidations across the broader cryptocurrency sector. Rising Treasury yields, a stronger U.S. dollar, and substantial net outflows from spot Bitcoin exchange-traded funds collectively fueled the bearish momentum.