Finance

Global energy markets faced heightened volatility as Brent crude surged past $105 per barrel and West Texas Intermediate neared $100. Renewed military escalations and tanker disruptions near critical shipping routes like the Strait of Hormuz sparked widespread inflation fears on Wall Street. Though prices settled slightly below their intraday peaks after diplomatic comments regarding upcoming U.S. midterm elections, the energy shock kept broad equity indexes on edge.

Fixed-income volatility intensified as yields on 10-year and 30-year U.S. Treasuries climbed to their highest levels since 2002. Selling pressure in bonds accelerated following comments from Federal Reserve Governor Christopher Wallace, who hinted that additional interest rate hikes might be required to curb persistent inflation. However, a highly demanded 30-year bond auction eventually helped soothe the bond market, prompting a mild retreat in yields by the close of trading.

The cryptocurrency market observed a consolidation phase, with Bitcoin trading steadily in the mid-$80,000s, down from its all-time high achieved last year. Digital asset investors are navigating competing macroeconomic forces, such as slowing domestic employment growth and the upcoming Federal Reserve policy meeting. While recent inflows into U.S. spot Bitcoin ETFs have provided institutional support, rising oil prices and a cautious environment for risk assets continue to cap significant upside momentum.