Asian equities faced a setback, dropping 0.2% after five consecutive days of gains, primarily driven by a surge in technology shares. This decline comes amid conflicting messages from the US and Iran regarding potential peace negotiations to end the ongoing conflict, which has kept the Strait of Hormuz closed and disrupted oil supplies. Brent crude oil prices rose by 2.2%, reaching $96.30 per barrel, reflecting concerns over energy supply. Investor sentiment soured further after the White House dismissed Iranian reports of advancing negotiations. The US dollar gained strength, while the yield on the benchmark 10-year Treasury note rose to 4.50%. Analysts suggest that while the market remains hopeful for a resolution with Iran, elevated energy prices and inflation risks are making bond investors cautious. Attention is now focused on the upcoming release of the April personal consumption expenditures index, which could provide insights into future interest rate decisions and market directions.