Finance

International and domestic crude benchmarks declined sharply following reports that diplomats are negotiating a phased deal in New York to reopen the crucial Strait of Hormuz. Brent crude futures slipped below $98 a barrel and West Texas Intermediate dropped over 2% to slide near $92 a barrel. The geopolitical breakthrough provided direct relief to global financial markets that had been heavily pressured by energy-driven inflation fears.

Fixed-income volatility peaked as the 10-year Treasury yield surged intraday to 5.23%, marking its highest level since mid-2007, while the 30-year yield touched a 22-year high of 5.50%. The bond selloff took a breather late in the week, pushing the 10-year yield back down to finish around 5.17%. Borrowing costs remain heavily impacted by potential further monetary tightening from the Federal Reserve and elevated government debt dynamics.

Digital assets saw mixed pressure throughout the month as intensifying Federal Reserve interest rate expectations dampened growth for non-yielding assets. While Bitcoin pushed past $85,000 during a mid-month relief bounce, subsequent macroeconomic uncertainties have continued to limit sustained upward momentum. Regulatory dynamics also shifted as major industry figures accepted the legislative stalling of the U.S. Clarity Act, choosing instead to pivot focus toward direct engagements with standard regulatory agencies.