Finance

Brent crude prices surged above $110 per barrel as negotiations between the U.S. and Iran reached an impasse and the blockade of the Strait of Hormuz continued. This energy spike has reignited fears of a second wave of inflation, casting doubt on the timing of future interest rate cuts.

Major equity indexes slipped as investors questioned the sustainability of the artificial intelligence rally following reports that OpenAI missed internal targets. Significant losses were seen in semiconductor stocks, with Arm Holdings falling 8% and other industry leaders like Nvidia and Broadcom also ending the session lower.

The yield on the 10-year Treasury note reached 4.41% today, nearing its highest level of the year as bond prices fell. Shorter-term yields also spiked after Fed officials expressed concern that the current policy statement signaled too much openness to future rate reductions.