Finance

The bond market saw a significant shift as yields marched higher, heavily led by short-term notes which are highly sensitive to monetary policy adjustments. The 2-year Treasury yield climbed notably to finish near 4.35%, while long-term benchmark 10-year yields experienced a milder increase to land around 4.73%. This movement suggests investors are preparing for restrictive interest rates over the near term to suppress sticky inflation metrics.

Major enterprise software and security firms bolstered the broader market as Salesforce surged 22% and CrowdStrike jumped 14% on the back of strong fiscal second-quarter financial reports and improved forward guidance. However, the semiconductor sector experienced divergent performance, with Nvidia shedding over 4% on Friday after a previous session rally, and Marvell Technology tumbling more than 10% due to investor uncertainty surrounding its artificial intelligence chip pipeline.

Digital assets surrendered their mid-week momentum following the central bank's firm stance on high inflation trends. Bitcoin slid back below the key $78,000 threshold after approaching the $81,000 mark earlier in the week, while Ethereum consolidated closely to $2,500 despite enjoying substantial, multi-day inflows into U.S. spot ETFs. Meanwhile, Solana completed its first network governance vote to accelerate token disinflation, though its initial price bounce quickly dissolved amid the broader crypto selloff.