New York Fed: expected quits rate rose to its highest level since February 2023.

Israel struck military targets inside Iran after an Iranian missile attack, threatening a fragile ceasefire and disrupting talks. Oil prices surged, with Brent crude up as much as 5% intraday. Andy Lipow of Lipow Oil Associates said the weekend escalation exposed the ceasefire's fragility and increased geopolitical risk — the Strait of Hormuz could remain closed longer than expected and Iran may further restrict Red Sea shipping. Harris Kourshid, CIO at Karobaar Capital LP, said markets had underestimated deep divisions among parties and were oscillating between pricing in a deal and pricing reality. He added that even if the U.S. and Iran reach a peace agreement, oil flows would not immediately normalize: sea mines in the Strait of Hormuz must be cleared, closed fields may take months to restart, and drone and missile damage to energy infrastructure requires repair.

Pacific Tsunami Warning Center issued tsunami alerts for the Philippines, Indonesia, Palau, Yap and Papua New Guinea.