Finance

A severe global liquidation in semiconductor and artificial-intelligence infrastructure equities heavily pressured technology benchmarks, momentarily pushing the Nasdaq-100 index into correction territory. The downturn began in Asian markets, where South Korea's Kospi index suffered a double-digit drop that triggered a brief trading halt, before cascading into U.S. chip heavyweights like Micron and AMD. The selloff reflects escalating investor anxieties regarding capital expenditure returns on artificial intelligence and rising manufacturing competition in China.

International and domestic crude futures fell significantly, with Brent crude tumbling nearly 5% to settle around $84 per barrel. The downward momentum intensified following statements indicating a pause in active hostilities between the United States and Iran, alongside emerging discussions regarding maritime safety in the Strait of Hormuz. This retreat in energy costs also provided a degree of relief to the broader financial markets by helping lower U.S. Treasury yields.

The Federal Open Market Committee commenced its highly anticipated two-day policy meeting under intense scrutiny, with market participants labeling it one of the hardest central bank decisions to forecast in recent history. While consensus estimates lean toward the central bank holding interest rates steady, a notable minority of traders are bracing for a surprise interest rate hike. Anxiety over the impending announcement was further complicated by fresh economic data showing a dip in U.S. consumer confidence.