Finance

Global oil prices pulled back sharply following reports that Iran has proposed a multi-day plan to ease conflict and reopen the strategic Strait of Hormuz. West Texas Intermediate futures fell more than 2% to close near $92 per barrel, while Brent crude dropped significantly to trade around $104 per barrel. This downturn in energy costs provided much-needed relief to equity markets, despite separate reports showing resilient supply developments such as a surge in monthly crude exports from Saudi Arabia.

The U.S. bond market experienced massive volatility as the 10-year Treasury yield surged past 5.2% to reach its highest level since the global financial crisis. Although the yield pulled back slightly to close around 5.18% on Friday, fixed-income yields remain severely elevated due to resilient domestic economic data. Strong labor and growth indicators have fueled investor expectations, with market metrics reflecting a 66% probability that the Federal Reserve will implement another interest rate hike next month.

Strong individual corporate performances helped anchor the stock market against macroeconomic headwinds. Akamai Technologies shares jumped after securing an $11.6 billion multiyear cloud agreement with artificial intelligence startup Anthropic, while tech stocks like Meta Platforms surged significantly over the week on AI-driven optimism. Additionally, Costco Wholesale shares advanced following a quarterly profit report that exceeded Wall Street projections, demonstrating solid consumer retail momentum.