Markets Rally as Pause in U.S. Strikes Sends Oil and Yields Lower

Overview

• Global stocks rose and Europe's CAC 40 gained as Brent crude fell about 6% to roughly $90 a barrel after no new U.S. strikes on Iran were reported.
• U.S. officials said Washington held back from further strikes to give diplomacy a chance, and markets priced the pause as a reduction in near‑term risk.
• Government bond yields that climbed during last week’s oil spike retraced, with France’s 10‑year yield moving back toward about 3.9%, easing pressure on sovereign borrowing costs.
• The fall in oil hit energy producers such as TotalEnergies while helping energy‑intensive industrial firms like Saint‑Gobain and ArcelorMittal.
• Investors are now focused on a busy week of major tech earnings and central bank announcements, which will determine whether the reprieve lowers inflation expectations and funding costs.