Finance

Digital currencies logged an exceptional week of gains, propelled by an expanded U.S. Treasury bond buyback program that injected liquidity into the market. Bitcoin jumped roughly 20% over the week to trade near $77,000, triggering a massive short squeeze and extensive liquidations of bearish positions. Sentiment was further enhanced by political tailwinds as the administration actively urged lawmakers to advance crypto-friendly regulatory frameworks.

Government bond yields maintained an aggressive upward trajectory despite the Treasury Department's verbal and structural interventions to control federal borrowing costs. The jump was especially pronounced in short-dated notes, signaling growing investor expectations for a potential monetary policy tightening later this year. Market probabilities for a Federal Reserve interest rate hike at the upcoming September meeting climbed notably by the end of the week.

The previously high-flying semiconductor sector experienced an abrupt downturn, dampening broader enthusiasm for technology equities. Industry giants faced renewed pressure as market participants questioned the longevity and near-term returns of substantial corporate capital expenditure on artificial intelligence infrastructure. Major hardware manufacturers attempted to alleviate shifting investor sentiment by announcing large shareholder distributions via dividends and stock buybacks.