Finance

U.S. Treasury Secretary Scott Bessent announced that the government will at least double its long-term bond buyback operations to over $4 billion per operation in an effort to contain surging borrowing costs. However, the intervention provided only temporary relief as bond yields quickly rebounded near their highest levels in over a decade. Fixed-income investors remain focused on persistent inflation risks, mounting federal deficits, and heavy debt issuance from capital-heavy artificial intelligence companies.

Global energy markets saw continued upward momentum as Brent crude futures advanced past $94 a barrel, marking a sixth consecutive day of gains. The rally was driven by worsening geopolitical conflict after the expiration of a 60-day truce between the U.S. and Iran, alongside reports of naval disruptions in the Strait of Hormuz. High energy prices are beginning to exert pressure on consumer-facing businesses and global logistics providers due to rising fuel costs.

Bitcoin bucked the broader weekly downward trend in equities, rallying approximately 6% to cross the $77,000 threshold and logging its best weekly performance since 2024. The cryptocurrency benefited from a combination of rising sovereign bond yields and renewed regulatory optimism following political calls for Congress to advance crypto-friendly legislation. Digital asset-related equities mirrored the positive momentum, drawing investors away from more rate-sensitive traditional asset classes.