The broader technology sector continues to falter, evidenced by the SOX chip index dropping over 3% recently. Oracle shares plummeted 9% in overnight trading following earnings reports that highlighted a ballooning debt pile, largely accumulated to fund expensive AI infrastructure. This tech-sector anxiety arrives alongside a volatile energy market, where oil prices have fluctuated in response to ongoing strikes in the Gulf.

Central banks remain the primary focus for market participants. The European Central Bank is expected to signal further tightening beyond today’s hike, as the regional conflict continues to complicate inflation forecasts. Looking ahead, attention will shift toward the Bank of Japan and a Federal Reserve meeting scheduled for next week. Treasury yields have already begun to climb, reflecting the heightened uncertainty despite steady demand at recent debt auctions.