Finance

Market volatility intensified following reports that a military helicopter was shot down by Iran, prompting statements from President Trump regarding a necessary U.S. response. While early morning trading showed some stability on hopes of a conflict resolution, the subsequent escalation contributed to a reversal of gains across all major benchmarks.

The 10-year Treasury yield rose toward 4.57%, reaching two-week highs as strong labor market data fueled expectations of a potential interest rate hike later this year. Economists now largely anticipate the Federal Reserve will maintain current rates for the remainder of 2026, as war-driven inflation remains significantly above the central bank's target.

Investors are closely monitoring the upcoming SpaceX IPO, which is expected to be a massive market event with a projected valuation of $1.75 trillion. This highly anticipated debut, scheduled for later this week, is reportedly causing some traders to rotate capital and adjust positions, adding to the current volatility in the broader technology sector.