US equity markets posted modest gains for the week, navigating a volatile stretch shaped by competing forces: a sharp early-week technology selloff triggered by a strong May jobs report that reinforced rate-hike expectations, followed by a recovery driven by optimism surrounding a potential US-Iran peace deal and enthusiasm around SpaceX’s market debut. The S&P 500 gained 0.7% for the week, recovering from a mid-week drop as progress toward an interim agreement to reopen the Strait of Hormuz lifted sentiment and prompted a rotation out of technology and into more economically sensitive sectors. Treasury yields declined across the curve as easing oil prices tempered inflation concerns and reduced near-term pressure on Federal Reserve rate hike expectations. The May Consumer Price Index rose 4.2% year-over-year, in line with expectations, driven largely by energy prices tied to the Iran conflict. Overall, last week reflected a market in transition — grappling with elevated inflation, shifting rate expectations, and geopolitical uncertainty — leaving investors in a cautious but selectively optimistic posture as they await further clarity on the path of monetary policy and the Middle East conflict.