Finance

The 10-year U.S. Treasury yield touched its highest level in 15 months, reaching as high as 4.631% during Monday's session. This surge in yields, which moves inversely to bond prices, is being driven by revised expectations that the Federal Reserve may need to raise interest rates to combat oil-driven inflation. Investors are now pricing in a significant chance of a rate hike by December, a sharp reversal from earlier expectations of cuts.

Oil prices continued to swing wildly as markets reacted to drone strikes in the Middle East and ongoing disruptions in the Strait of Hormuz. Brent crude surpassed $110 per barrel as supply concerns intensified, even after reports suggested a potential temporary waiver on some sanctions. The volatility in energy costs is directly impacting broader market pricing as fears of persistent inflation grow.

Dominion Energy shares surged over 10% following an announcement that NextEra Energy would acquire the company in an all-stock deal valued at nearly $67 billion. In another major move, LiveRamp Holdings jumped 27% after Publicis Groupe reached an agreement to acquire the firm for $2.5 billion in cash. These multi-billion dollar deals highlight a period of significant consolidation within the utility and digital advertising sectors.