Finance

Oil prices surged as reports of military activity and stalled peace negotiations between the U.S. and Iran rattled energy markets. Brent crude briefly surpassed $107 per barrel during the session, and U.S. crude settled more than 3% higher as concerns intensified over the security of the strategic waterway.

The yield on the 10-year U.S. Treasury note rose to approximately 4.32%, marking its highest level in over a week. Investors pushed yields higher across various maturities as prolonged energy shocks and trade disruptions sparked concerns that the Federal Reserve may maintain elevated interest rates for longer than previously anticipated.

Tesla shares declined more than 3% after the company projected a significant increase in capital expenditures for robotics and new factories, despite beating quarterly profit estimates. Meanwhile, software firm ServiceNow saw its stock price plunge nearly 18% as conflict in the Middle East reportedly hampered its subscription revenue growth.

Bitcoin traded around the $78,000 mark on Thursday, as the digital asset market showed signs of stabilization following a volatile first quarter. While institutional capital and consistent ETF inflows have buoyed prices, traders remain cautious as rising oil prices and geopolitical risks continue to weigh on broader risk-on assets.

Fresh data from the University of Michigan revealed a sharp increase in year-ahead inflation expectations, which surged to 4.8% in April. Consumers increasingly blame the ongoing conflict with Iran for supply disruptions and rising gas prices, leading to an 11% decline in personal finance assessments.