Finance

International and U.S. crude benchmarks surged significantly after diplomatic relations with Iran deteriorated. Brent crude climbed as much as 8% to trade near $80 per barrel, while West Texas Intermediate followed with a gain of over 7%, leading to fears that higher energy costs will sustain inflationary pressures.

The yield on the benchmark 10-year U.S. Treasury note rose to its highest level since May, touching approximately 4.59% during intraday trading. This shift in the bond market reflects growing investor concerns that rising oil prices and persistent economic activity may force the Federal Reserve to keep interest rates elevated for longer.

Technology stocks led market losses as investors pulled away from high-growth assets, specifically targeting the semiconductor industry. Major chipmakers such as Intel and Micron faced significant declines, while broader market sentiment was dampened by a growing fatigue regarding the rapid pace of artificial intelligence financing.