Nasdaq week flat as oil jumps and yields rise

Two big forces shaped markets this week: the Federal Reserve’s rate outlook and the worsening conflict involving Iran. Investors were forced to weigh strong corporate earnings against a renewed inflation threat from higher energy prices and rising Treasury yields. The result was a cautious tone across U.S. equities, even as some companies delivered standout results.

Oil back above $90 as tensions intensify

U.S. crude gained more than $5 over the week to trade back above $90 a barrel, close to a three-month high. The move followed fading hopes for a near-term ceasefire after continued exchanges of strikes between the U.S. and Iran and fresh attacks on oil tankers in the Strait of Hormuz. Reports also said the Trump administration would not return to the expired Memorandum of Understanding and would instead seek an agreement that covers both the strait and Iran’s nuclear program.

Higher oil prices matter because they can feed into broader inflation, which complicates the Fed’s decision-making. That pressure came at a sensitive time for markets already focused on how long interest rates may stay elevated. The geopolitical backdrop added another layer of uncertainty to an already rate-sensitive trading week.

Earnings strength failed to lift the Nasdaq-100

Second-quarter earnings season also came to a close, with large-cap chipmaker Broadcom posting results that beat expectations and showing nearly 100% annual growth. That helped the Nasdaq-100® end the quarter with almost 80% annual earnings growth, underscoring how powerful profit momentum has been among the index’s biggest names. Even so, the market did not reward the numbers with a broad rally.

The Nasdaq-100® finished the week flat as inflation concerns and the prospect of higher-for-longer rates overshadowed the earnings backdrop. At the same time, the 10-year Treasury yield rose about 5 basis points to 4.8%, reinforcing the message from bond markets that borrowing costs remain a live issue. For equity investors, the week highlighted a familiar tension: strong profits can support valuations, but they do not always offset pressure from energy prices and rising yields.

This article is not investment advice and recommends no asset, level or direction; a single session's move is not evidence of a trend. For background see Economy, Budget Deficit, Central Bank, and for terms the finance glossary.