Good morning, you're listening to Markets Desk.
The bond market is sending a clear warning signal today as the ten-year Treasury yield crossed five percent for the first time since two thousand twenty three. That move, driven by an Iran-linked inflation shock, pushes borrowing costs higher across the economy — squeezing mortgages, corporate debt, and equity valuations simultaneously. Traders will be watching whether this level holds or accelerates further selling pressure.
On the AI policy front, the debate over how to govern artificial intelligence is now playing out at the highest levels. Microsoft published a thirty-seven page code of conduct for its AI systems, with the company's AI chief calling the moment urgent. That came just as President Trump publicly rejected calls for more AI regulation and took direct aim at Anthropic CEO Dario Amodei, who had urged a slowdown in development. The tension between Silicon Valley caution and Washington's hands-off posture is sharpening fast.
Turning to equities, Meta remains in focus as investors weigh the company's staggering capital expenditure outlook — between one hundred thirty billion and one hundred forty-five billion dollars this year. That number has rattled sentiment, but historical patterns suggest investors who sell into that fear have often regretted it, as heavy infrastructure spending has previously preceded significant long-term gains.
That's the tape. Markets Desk, signing off the floor.
