Finance

Energy markets are closely monitoring the implementation of a fragile interim peace deal between the United States and Iran following weekend missile strikes. While Brent crude rose to roughly $73.15 a barrel on supply risk concerns, domestic WTI futures saw mixed performance as technical teams prepared to meet in Doha. Despite recent daily gains, crude benchmarks remain notably lower for the month as investors weigh diplomacy against potential shipping disruptions in the Strait of Hormuz.

The technology sector received a significant boost following news that major electronics firms SK Hynix and Samsung plan to invest over $500 billion in a South Korean chipmaking hub. This announcement helped propel Applied Materials up nearly 11%, while Nvidia and SpaceX also saw gains as they continue to dominate market influence. SpaceX is notably scheduled to join the Nasdaq 100 on July 7, further cementing the role of AI-adjacent firms in major financial benchmarks.

The Federal Reserve, under new Chair Kevin Warsh, held interest rates steady at 3.50%-3.75% during its latest meeting but signaled a 'hawkish pause' with higher-for-longer expectations. Updated projections suggest a majority of officials still anticipate at least one more rate hike this year as PCE inflation forecasts have been revised upward. Consequently, Treasury yields remain sensitive to upcoming economic data, including jobs and manufacturing reports scheduled for the holiday-shortened week.