Finance

Energy markets saw significant gains as Brent crude surpassed $111 per barrel due to a continued blockade of the Strait of Hormuz and stalled negotiations between the U.S. and Iran. This surge in energy costs has intensified concerns about persistent inflation and the potential for central banks to maintain hawkish monetary policies.

U.S. Treasury yields climbed on Tuesday, with the 10-year note holding steady near 4.35% while shorter-term maturities reached their highest levels in weeks. The move reflects growing market expectations that rising oil prices and a resilient labor market may force the Federal Reserve to delay projected interest rate cuts.

The Conference Board reported a slight increase in its consumer confidence index to 92.8 for April, buoyed by record income tax refunds and a positive outlook on the labor market. However, overall sentiment remains tempered by rising gasoline prices and ongoing volatility stemming from conflicts in the Middle East.