Bonds & Stocks
A selloff in chipmakers dragged down stocks after leaders of artificial intelligence giants proposed slowing the technology’s development, with a rally in oil also weighing on sentiment. The S&P 500 fell 0.6%. The yield on 10-year Treasuries advanced two basis points to 4.99%.
Economy
The commercial mortgage backed securities market, long a mainstay of financing for America’s offices, apartments and malls, is being reshaped by a surge in data-center deals, forcing investors to grapple with an entirely new set of risks. From power availability and grid constraints to rapidly evolving requirements for cooling and computing density, CMBS buyers have been pushed into areas of underwriting that have historically had little to do with commercial real estate.
World
A meeting between Iran and several Gulf Arab nations over a temporary shipping lane through the Strait of Hormuz was postponed, highlighting tensions with the Islamic Republic.