Month: June 2026

A U.S.-Iran diplomatic breakthrough triggered a de-escalation pivot across global markets, sending oil prices down 8.70% as the Straits of Hormuz partially reopened. U.S. equities saw a sharp rotation out of tech into defensives, while Treasury yields retreated on deflationary relief. Eyes now turn to a holiday-shortened week packed with front-loaded labor data that will test Fed Chair Warsh’s hawkish resolve

The US–Iran ‘ceasefire’ eased energy supply fears and lifted risk sentiment, while the Fed’s June meeting and new Chairman Warsh delivered a sobering reminder that inflation remains unfinished business. With rates held at 3.50–3.75% and a potential hike back on the table, markets are repricing the path to easier policy. AI-driven equities and India stood out as bright spots amid the recalibration.

A blowout US jobs report — 172,000 nonfarm payrolls against an 80,000 consensus — sent rate-hike odds surging to 70% by year-end, erasing all hopes of 2026 cuts.

Equities sold off sharply, with the Nasdaq plunging 4.7% on the week as Broadcom’s guidance disappointed, while US-Iran ceasefire talks collapsed by Friday, keeping oil elevated and gold under pressure.