Global markets navigated geopolitical tensions and persistent inflation worries. Crude oil prices surged after drone strikes hit Saudi Arabia’s East-West pipeline, with Houthis creating new fronts in the Middle East oil conflict.
US consumer inflation picked up in August, challenging market sentiment. The August Federal budget deficit narrowed to $167 billion, better than expected, but concerns about potential Fed rate hikes lingered, with UBS projecting two more.
AI firm Cohere is reportedly in talks to raise up to $3 billion at a $20 billion valuation, highlighting continued investor interest in the sector. Bitcoin also spiked towards $80K amid new 22-year high bond yields.
Watch for further oil market reactions and upcoming central bank commentary.