Public Markets 8 Hours

Last updated: September 10, 2026, 9:35 PM ET

Oil Shock Ignites Global Bond Rout

A surge in crude prices above $100 a barrel triggered a synchronized selloff across global fixed income, with the bond rout intensifying as Brent touched $109 and US yields reached their highs of the day. Oil extended its rally above $100 following an escalation of hostilities in the Middle East that stoked fears of deeper supply disruptions. The 10-year yield pushed to the cusp of 5% as rising borrowing costs threatened to disrupt the stock market and slow the economy. Treasury yields surged further as spiking oil prices fanned inflation fears and the Treasury Department bought fewer bonds than expected during its first expanded buyback operation. The global selloff saw US oil top $102 a barrel while global benchmark Brent hit $107, fueling a worldwide bond market rout on Thursday. Bonds sold off even as wholesale inflation picked up, compounding pressure on policymakers ahead of the next Federal Reserve meeting.

Bessent Defends Buyback as Yields Climb

Treasury Secretary Scott Bessent dismissed concerns about Thursday's smaller-than-expected debt buyback operation and played down worries over the jump in yields, insisting Treasuries remain strong. Municipal bond yields jumped as much as 15 basis points, with the longest-dated securities reaching the highest since 2011 as rising Treasury rates and heavy new issuance pressured the market. The dollar index rose 0.35% to 95.18, snapping a three-trading-day losing streak. Gold futures lost ground as a pickup in US producer price inflation in August raised expectations of a Fed rate increase next week. Natural gas futures settled modestly higher after the EIA reported a fourth straight below-average weekly storage build, though the 40 Bcf injection landed above market expectations.

Equities Slide as Inflation Fears Mount

US stocks fell for a fourth straight session and Treasury yields hit multiyear highs as US oil prices topped the $100-per-barrel level, while August inflation data revealed the toll of energy costs on the economy. Asian stocks and bonds were set for declines after the surge in oil prices sparked a selloff in US markets, while the latest inflation data reinforced bets on an imminent Federal Reserve rate hike. Crude hit its highest levels in months, bond yields continued to rise and stocks fell for a fourth consecutive session as investors worried about energy supplies and inflation. Oil futures rose to their highest level in nearly four months with increased fighting across the Persian Gulf region raising supply worries.

Oracle Surges on AI Infrastructure Demand

Oracle posted higher profit and revenue as gains in the cloud business helped offset falling revenue in the company's software unit. The company's data centre revenue surged, with faster sales growth suggesting progress in its risky push to compete in the AI infrastructure race. Adobe hit 1 billion monthly active users and boosted its full-year outlook, projecting adjusted earnings between $24.45 and $24.50 a share and revenue between $26.576 billion and $26.626 billion. Clay, an AI sales tool provider, raised $115 million at a $7.1 billion valuation in a round led by Wellington Management, a firm known for investing in start-ups on the path toward potential initial public offerings. The Pentagon is in talks on a $5 billion loan for AI infrastructure company Fluidstack, advised by the bank started by Palmer Luckey, an early supporter of Donald Trump.

Anthropic Flags Bioweapon Risks

Anthropic blocked attempts to use its AI for potential biological weapons, disclosing five examples of when actors circumvented controls and made efforts to obfuscate the purpose of their research. In a new report, the AI start-up added that it could not determine whether the research was legitimate or nefarious, leading the company to shut down the work. The existential stakes of such technology drew fresh attention, with one analysis noting that AI could possibly end humanity even as weighing such cosmic fears becomes a mind-bending exercise. A separate opinion piece argued that the next terrorist attack is predictable, with AI-driven cyber and biological attacks threatening not just American lives but also the American government. Public backlash against the industry is also building, as critics warn that Big Tech fooled America once and the second time is not going so well.

Deals, Legal and Corporate News

Lineage, the world's largest cold-storage operator, sued a solar-panel operator over a Los Angeles warehouse fire, claiming negligence caused a massive blaze and seeking over $1 billion in damages. Barington Capital Group, the activist investor with a long track record in retail, took a new stake in Bath & Body Works Inc. and is recommending changes at the personal-care and fragrance chain. The National Stock Exchange of India downsized its IPO, a sign of rising concern over investors' willingness to buy into richly valued listings. Health care market talk covered CSPC Pharmaceutical and Raffles Medical among the latest analyst insights.

Politics, Policy and Trade

Republicans courted donors at a midterm convention with $88,600 photos and AI-sponsored suites, as politicians, donors and lobbyists networked on the sidelines of a partly fund-raising event. President Trump's call to send a $5,000 "dividend" to every American adult if Republicans win the midterms disturbed some members of his own party. The proposal would cost more than $1 trillion, likely need congressional approval, exacerbate the deficit and lead to a rise in inflation. A related trillion-dollar "Trump dividend" faces hurdles, while Iran is building missiles again and Florida pivots from crypto to defense. The White House separately announced $500 rebates for some Obamacare customers weeks before the election, targeting people in 30 states with higher incomes insured under the Affordable Care Act.

Trade War and Legal Fights

Canada's Mark Carney, at a cabinet retreat, considered further trade strikes against the US after Ottawa's retaliation this week against President Trump's tariffs was met with more American tariffs and a closed US border on some Canadian products. Trump's trade war with Canada is making even sprinkle makers nervous, with levies on a long, eclectic list of products forcing companies to scramble over whether their supply chains are affected. In Gander, Newfoundland, a town that welcomed Americans in 2001, mixed emotions run through anniversary plans amid the escalating trade war. The Justice Department escalated threats to states in its battle for election records, sending letters to at least 30 states demanding they retain records. The Supreme Court blocked Missouri's voting map again, while Vice President JD Vance privately gathered unvarnished views of the Iran war. Those behind-the-scenes assessments offered sobering conclusions that did not line up with what he, President Trump and other top administration officials were saying publicly.

Wealth, Ethics and Influence

Steve Witkoff, Trump's special envoy, made more than $250 million while in government, collecting nearly $107 million in 2025 from a holding company that includes a crypto business owned by his family and President Trump's. Questions over the president's own enrichment persist, with one analysis asking whether Trump is getting even richer and whether that constitutes a crime given the legal murkiness of his highly profitable second term. Fred Ehrsam, a Trump administration ally and co-founder of Coinbase, lived for months in a luxury Caracas hotel pursuing investments in Venezuela. UK sanctions against Israeli settlers divided British rabbis, who reacted with a mix of support, condemnation and concern about the ramifications for Jews in Britain.

Media, Technology and Society

ABC's Jimmy Kimmel took aim at the FCC over equal-time rules, saying an interview with Texas Senate candidate James Talarico couldn't air because of concerns over the regulations. Ryanair CEO Michael O'Leary disputed an account of a passenger sucked out of a plane window, saying "we don't think any part of his body got out the window," while a lawyer for the passenger pushed back. The TSA may allow passengers with Pre Check to bring water through security checkpoints, relaxing a strict policy in place for more than 20 years. Voters are increasingly asking AI about elections, and researchers are studying how the answers can vary by user. Apple's new iPhone duo drew scrutiny over how journalists review new smartphones and gadgets. The US Open quietly released tickets for its popular tournament, with hundreds appearing on Ticketmaster. After an epic match between Carlos Alcaraz and Ben Shelton ended at 3:30 a.m., cashiers, ushers and cleaning crews got to work with their next shift only hours away. In a personal essay, Chimamanda Ngozi Adichie reflected on her homeland after the death in Lagos of her toddler son, writing that Nigeria no longer feels as much like home.