Finance

The bond market faced a sharp sell-off on Monday, driving long-dated borrowing costs up as rising energy prices stoked renewed macroeconomic anxiety. The yield on the 10-year Treasury note climbed higher, while the 30-year bond yield surged to 5.31%. This marked the highest level for the 30-year yield since mid-2007, illustrating a severe tightening in broader financial conditions.

Despite a largely negative day for the broader market, chip manufacturing and optical networking stocks provided a lone bright spot for equity investors. Positive sales revenue reports from artificial intelligence firm Anthropic stoked fresh bullishness around tech infrastructure, driving individual stock gains for major firms like SanDisk, Marvell, and Micron. This specialized demand allowed the PHLX Semiconductor Index to achieve a formal bull market designation.

International and domestic crude futures rose substantially after statements from American and Iranian officials lowered expectations of a near-term diplomatic breakthrough. Brent crude shot up roughly 2.7% to slide past the $90 per barrel marker, while the domestic WTI benchmark advanced to $84.35 a barrel. Reports of a tanker seizure in the Strait of Hormuz further exacerbated fears of a prolonged disruption to global logistics.