Finance

Energy prices surged with Brent crude rising over 5% to surpass $107 per barrel following reports of continued hostilities and Iranian control over critical shipping lanes. The spike in energy costs has intensified concerns about persistent inflation and its subsequent impact on global economic growth.

U.S. government bond yields rose as investors pivoted their expectations from Federal Reserve interest rate cuts toward potential hikes in late 2026. This upward pressure on yields was exacerbated by lukewarm demand for the Treasury's seven-year bond auction following similarly weak results for shorter-term notes earlier in the week.

The cryptocurrency market faced a broad sell-off, with Bitcoin slipping below the $69,000 level as early optimism for regional de-escalation faded. Major altcoins including Ether, Solana, and Cardano saw even steeper declines of 4% to 5% as traders rotated out of volatile digital assets.

Despite its traditional role as a safe-haven asset, gold prices dropped more than 3% to approximately $4,424 per ounce on Thursday. The decline was driven by a strengthening dollar and investor recalibration of interest rate trajectories as the central bank remains focused on curbing energy-driven inflation.

Technology was among the worst-performing sectors as Alphabet research into AI storage efficiencies pressured memory chip manufacturers like Micron and Western Digital. Additionally, heavyweights such as Meta and Alphabet saw shares decline following a U.S. jury verdict, further weighing on the Nasdaq.