Finance

U.S. government bond yields pulled back late in the week after hitting multi-decade highs, bringing notable relief to the equity markets. The benchmark 10-year Treasury note yield, which had recently soared past 5.3% to touch its highest level since 2002, retreated alongside a drop in short-term yields following the soft labor market results. However, bond markets remain sensitive to broader macroeconomic signals as core inflation averages remain uncomfortably elevated for policymakers.

The technology sector spearheaded the broader market's gains, fueled by robust corporate earnings and strong performance from major chipmakers. Micron Technology boosted optimism across the entire artificial intelligence trade after reporting stellar quarterly revenue that outperformed historical figures, while Alphabet gained traction following the introduction of its latest AI models. These developments helped the Nasdaq Composite log its third consecutive weekly gain despite broader index losses in the Dow and S&P 500.

Crude oil futures finished the week lower, reversing an early surge triggered by geopolitical tensions and global trade actions. Sentiment in the energy sector shifted positively after G-7 and European nations collectively agreed to release 100 million barrels of crude and diesel from their emergency stockpiles. Concurrently, safe-haven precious metals experienced losses, with gold and silver dropping over the course of the week.