A post by @FirstSquawk on X.

A surge in energy costs deepened negative market sentiment after President Trump said the U.S. does not need a deal with Iran, adding geopolitical risk to an already fragile backdrop. Bond yields climbed as investors positioned for the Federal Reserve to accelerate rate hikes in an effort to curb inflation. The combination of higher energy expenses and rising yields weighed on risk appetite across markets. The move matters because it signals investors expect tighter monetary policy and sustained inflationary pressure rather than a near-term pivot. What to watch next is whether energy prices keep climbing and whether Fed commentary confirms the market’s hawkish rate expectations.