Finance

Government bond yields eased significantly following reports of a tentative 60-day ceasefire extension between the U.S. and Iran. The benchmark 10-year Treasury yield dropped to approximately 4.45% after briefly touching a 16-month high of 4.7% earlier in the month, while the 30-year yield fell back below the 5% mark.

Brent crude and West Texas Intermediate futures posted their worst monthly performance in years, with Brent falling more than 19% in May. The sharp sell-off was triggered by potential breakthroughs in negotiations to reopen the Strait of Hormuz to unrestricted traffic, which helped alleviate previous concerns over massive supply disruptions.

U.S. retail stocks surged late in the month as major players like Target, Best Buy, and Kohl’s reported first-quarter results that surpassed analyst expectations. Target notably reversed a four-quarter streak of negative same-store sales with a 5.6% gain, signaling a meaningful return of store traffic and consumer discretionary spending despite broader inflationary pressures.