Oil eases, bringing some respite to stocks and battered bonds
USO•World stocks rose and Brent crude fell more than 1% to just under $103 a barrel after President Donald Trump said the U.S. would not attack Iran before next month’s midterm elections. Investors remained cautious about AI fundraising, profitability concerns and high borrowing costs.
1. Oil slips, stocks rise
World stocks rose on Friday as oil prices eased after Trump said the U.S. would not attack Iran before next month’s midterm elections. Brent crude futures fell more than 1% to just under $103 per barrel, after rising more than 4% in the previous session.
2. AI funding in focus
Investors weighed another wave of technology-company fundraising and concerns about profitability. SpaceX, Broadcom and Oracle were expected to raise billions of dollars to buy advanced AI chips, while Australian data center operator Firmus shelved its $5 billion IPO and said it would pursue private fundraising instead.
3. Bond markets remain strained
Borrowing costs in some major economies hovered near multi-year highs. French government bonds remained under scrutiny, with the premium on 10-year French debt over German Bunds at about 137 basis points. Investors also assessed government debt and the cost of financing AI infrastructure.
