Finance

Chipmaker stocks served as the primary engine for the market's recovery, with the Philadelphia Semiconductor Index gaining over 8% during the session. Individual standout performers included Micron Technology, which soared nearly 12%, and Intel, which rose 10% following an analyst upgrade. This sector strength helped investors look past a sharp decline in Oracle shares, which fell despite beating earnings due to concerns over high capital spending on AI infrastructure.

Global energy markets saw a sharp reversal on June 11, with Brent crude prices falling by approximately 3% to settle near $90.38 per barrel. The decline followed diplomatic developments that suggested a potential deal to restore global oil flows, which had been pressured by a naval blockade and conflict in the Middle East. This drop in energy costs provided immediate relief to the bond market, causing Treasury yields to retreat from recent highs.

Economic data released on June 11 showed that the Producer Price Index rose 1.1% in May, exceeding analyst expectations. High energy costs accounted for roughly 80% of this increase, bringing the annual inflation rate to levels not seen since 2023. While equity markets initially overlooked the hot data in favor of geopolitical news, the report solidified expectations that the Federal Reserve may implement a rate hike later this year.