The U.S.-China summit concludes with minimal deliverables, overshadowed by President Trump's noncommittal stance on a $14 billion arms sale to Taiwan and the question of U.S.
defense of the island, increasing regional uncertainty.
The continued closure of the Strait of Hormuz pressures global energy markets, with WTI and Brent crude prices surging over 3%, contributing to rising inflation and consumer costs.
On Jerome Powell's final day as Fed Chair, markets anticipate a more hawkish shift under incoming Chair Kevin Warsh, with the 10-year Treasury yield climbing to nearly 4.60% amid persistent inflation concerns.
Markets experience a broad sell-off as investors weigh geopolitical risks, rising energy prices, and the prospect of tighter monetary policy to combat inflation that is now outpacing wage growth.