Finance

The August Consumer Price Index report revealed headline inflation remained steady at a 3.4% annual rate, which matched general estimates. However, the slightly warmer-than-expected core inflation print prompted investors to heavily price in a 25-basis-point interest rate increase at the central bank's next policy meeting.

Escalating tensions from the ongoing war in Iran caused Brent crude futures to approach $110 a barrel before retreating toward the end of the week, while domestic diesel prices reached a record $6 per gallon. In response to heightened inflation concerns and government debt auctions, the benchmark 10-year U.S. Treasury yield advanced to nearly 5%.

Digital assets experienced headwinds as the rising probability of higher interest rates diminished risk appetite for non-yielding assets. Bitcoin dipped below the $77,000 threshold, representing a weekly decline of roughly 6% and keeping major tokens well below their starting levels for the year.