Finance

U.S. government bond yields experienced upward pressure following fresh developments regarding a draft agreement over the Strait of Hormuz. Middle East supply uncertainties have increased speculation that global central banks could maintain or raise borrowing costs to curb sticky energy-driven inflation.

While some companies reported resilient second-quarter financials that boosted broader fund inflows, several major firms saw sharp sell-offs due to underwhelming forecasts. Names like Warner Bros. Discovery and Airbnb outperformed expectations, but mixed tech guidance and executive transitions dragged on certain sectors.

Investors are maintaining a cautious approach as they await the latest nonfarm payrolls and unemployment figures. The upcoming report is expected to be a major catalyst for determining whether the Federal Reserve initiates a rate hike or holds steady at its next policy meeting.