Finance

Oil prices continued their upward trajectory, with Brent crude climbing toward $114 per barrel due to the ongoing conflict with Iran and the continued closure of the Strait of Hormuz. Market sentiment was further impacted by the United Arab Emirates' announcement that it will exit OPEC, raising questions about future global production levels.

Yields on U.S. government bonds rose for a third consecutive day, with the 10-year Treasury note reaching approximately 4.36%. This move reflects growing investor concern that sustained high energy prices will fuel inflation and limit the Federal Reserve's ability to implement interest rate cuts later this year.

Investors are closely watching upcoming quarterly results from major technology firms, including Alphabet, Amazon, Meta, and Microsoft, to evaluate the actual returns on massive AI investments. These reports follow recent data suggesting some industry leaders missed internal revenue targets, which sparked a brief sell-off in semiconductor and data infrastructure stocks.