Finance

Energy markets reacted aggressively to the news of a naval blockade removal, with WTI and Brent crude futures falling approximately 5% to their lowest levels since March 2026. This decline triggered a divergence in sector performance, where energy majors saw significant losses while fuel-sensitive industries like airlines and cruise lines rallied on expectations of lower operational costs.

Space Exploration Technologies Corp. shares continued their upward trajectory in their first full trading session after a historic $75 billion initial public offering. The stock rose over 10%, adding more than $230 billion in market capitalization and overshadowing other players in the aerospace sector as retail and institutional interest surged globally.

The 10-year Treasury yield declined to roughly 4.42%, hitting its lowest point in a month as the easing of Middle East tensions cooled immediate inflation concerns. Markets are currently pricing in a high probability that the Federal Reserve will maintain current interest rates at the upcoming policy meeting, which will be the first chaired by Kevin Warsh.