Finance

U.S. equities suffered sharp losses, with the Dow Jones Industrial Average dropping over 1,150 points for its steepest daily percentage decline since early 2025. Investors reacted negatively to the central bank's hawkish tone and structural shift in guidance, causing longer-duration bond yields to rise substantially. The technology-heavy Nasdaq also fell significantly, pulled down further by a correction in artificial intelligence and semiconductor holdings.

Oil markets experienced pronounced volatility following a surprise military strike targeting American assets in the Middle East. Global benchmarks surged, with West Texas Intermediate and Brent crude futures recording gains of over 7% following subsequent political warnings from the executive branch. This geopolitical friction added further downward pressure on broader equity markets.

Robinhood Markets exceeded Wall Street's expectations for its second-quarter profit margins, fueled by heightened retail engagement in options, equities, and prediction markets. However, the platform's digital asset segment continued to face headwinds, witnessing a 38% annual revenue contraction. The results reflect an environment where retail investors remain highly active across traditional assets despite a ongoing downturn in cryptocurrency sectors.