Finance

Investors showed renewed optimism as reports emerged of potential negotiations between the U.S. and Iran mediated by Pakistan. While oil prices have been volatile due to the ongoing conflict and a blockade of the Strait of Hormuz, the prospect of diplomatic talks helped ease some immediate market fears.

The 10-year U.S. Treasury yield remained near 4.3% as markets digested recent data showing annual inflation climbing to 3.3% in March. Persistent energy costs and federal leadership tensions have led traders to price in a high probability that interest rates will remain unchanged through the upcoming FOMC meeting.

The total cryptocurrency market capitalization has stabilized around $3.5 trillion, supported by institutional inflows and spot ETFs rather than retail speculation. Bitcoin traded near $78,100 by the end of the week, reflecting a positive correlation with traditional risk assets like the S&P 500.

Despite record highs in tech-heavy indexes, the Dow Jones Industrial Average slipped on Friday and ended its three-week winning streak. Industrial and cyclical sectors faced pressure as investors rotated capital toward AI infrastructure, while overall U.S. business activity showed moderate improvement in April.