Finance

Bitcoin momentarily surpassed the $80,000 threshold on Monday for the first time since January, fueled by a surge in risk appetite following positive momentum in Asian markets. The rally was short-lived as the digital asset retreated back into the high-$78,000 range amid ongoing geopolitical instability. Analysts noted a strong inverse correlation between cryptocurrency prices and surging oil costs as the conflict in the Middle East continues to impact broader sentiment.

The yield on the 10-year U.S. Treasury note rose to approximately 4.42% as traders reacted to the persistent supply shock and rising energy costs. Bond markets have largely priced out potential interest rate cuts for 2026 due to sticky inflation driven by high oil prices and robust manufacturing cost data. Investors are also preparing for the Treasury Department's upcoming announcement regarding quarterly borrowing plans and the continued funding of a nearly $2 trillion deficit.

Despite broader macroeconomic concerns, the Nasdaq Composite remained relatively resilient as strong quarterly earnings from AI-related technology companies continue to provide a buffer. While tech giants like Meta have announced significant layoffs to pivot toward artificial intelligence, the sector overall has been a primary driver of year-to-date market gains. Investors are now focused on upcoming results from high-valuation firms like Palantir and AMD to gauge the long-term sustainability of the AI trade.