Energy stock funds lead gains as tech, bonds slump

Technology stock funds, a sector many anticipated would outperform, instead saw a decline of 1.4%. The broader U.S. stock market averaged a loss of 1.8%, and taxable bond funds fared worse with an average decline of 2.2%. International stock funds also struggled, losing 0.6% on average, while municipal bond funds saw an even steeper drop of 5.6%.

The shift in market dynamics was largely attributed to the war with Iran, which propelled oil, gas, and refined fuel prices higher. This surge in energy costs, in turn, contributed to a significant rise in interest rates, impacting the broader financial landscape.