Finance

Crude oil prices surged by more than 3% to nearly $74 per barrel as Tehran claimed to have closed the Strait of Hormuz, a critical conduit for global energy supplies. Although the U.S. disputed the closure, the threat to the shipping route has unsettled markets and reversed the downward price trend seen earlier in July.

U.S. chip stocks are experiencing significant pressure, dragging down the technology-heavy Nasdaq after a period of high valuations. This volatility arrives just as South Korean memory maker SK Hynix debuted on the Nasdaq with a massive $26 billion offering, highlighting a continued capital shift toward AI infrastructure despite immediate market jitters.

The yield on the 10-year Treasury note climbed to 4.58% as the rebound in energy prices fueled speculation that the Federal Reserve might tighten monetary policy earlier than expected. Market participants are increasingly pricing in the possibility of a rate hike as soon as October, moving up from previous year-end expectations.