Finance

Brent crude climbed past $90 a barrel as intensifying military skirmishes in the Gulf restricted regional oil shipments. Commercial tanker traffic through the critical Strait of Hormuz slowed to a crawl following multiple strikes. The sudden contraction in energy supply has renewed structural inflation worries across major western economies.

The 10-year Treasury note yield rose to roughly 4.56%, while the 30-year bond pushed above the critical 5.0% threshold. Fears that energy-driven inflation could persist have prompted investors to narrow the odds of a restrictive Federal Reserve monetary policy. Market participants are increasingly pricing in an increased likelihood of a policy rate hike later this quarter.

Wall Street is shifting focus to pivotal corporate earnings due this week from tech powerhouses including Alphabet, Tesla, and Intel. The high-stakes financial reports arrive at a volatile time for the PHLX Semiconductor index, which has shed 18% in July despite its explosive year-to-date gains. Investors are highly eager to verify whether current AI infrastructure expansion translates to sustainable profit growth.