Economic pessimism has set in – but there are reasons for Australians to be hopeful 
Gold Prices Rise Above $4,000 as Inflation Data and Weaker Dollar Boost Demand 
China Expands Export Controls, Adds 20 Japanese Companies to Restricted List 
Wall Street Ends Lower as AI Stocks Drag Markets, Fed Rate Outlook Shifts 
US Stock Futures Rise as US-Iran Ceasefire Hopes Boost Market Sentiment 
Oil Prices Drop as Middle East Supply Recovery Eases Market Concerns 
China Sets 1.25% Overnight Reverse Repo Rate Below Market Expectations 
Gold Price Falls as Fed Rate Hike Fears and U.S.-Iran Tensions Weigh on Bullion 
S&P Affirms Brazil’s BB Credit Rating with Stable Outlook Amid Fiscal Challenges 
South Korea’s KOSPI Plunges as Apple Price Hikes and OpenAI IPO Delay Shake AI Chip Stocks 
Iran Attack in Strait of Hormuz Pushes Oil Prices Higher 
China Factory PMI Seen Returning to Growth in June as AI Export Demand Supports Economy 
US Dollar Slips After PCE Inflation Data Eases Fed Rate Hike Expectations 
Oil Prices Rebound as Strait of Hormuz Tensions Return After Ship Attack Near Oman 
Bank Regulation Rollbacks in the U.S. and UK Could Increase Financial Risks, Study Warns 
Asian Currencies Stay Range-Bound as Investors Eye China Data, RBNZ Outlook and U.S.-Iran Ceasefire 
Asian Markets Hit by Tech and Luxury Slowdown
Asian equities tumbled on Wednesday following disappointing earnings from European tech giant ASML and French luxury firm LVMH. These underwhelming results shook investor confidence, with key Asian stock indices in the red.
South Korea's tech-heavy index fell 0.6%, while Japan's Nikkei dropped 1.8%, led by chip stocks. Taiwan's stocks slipped 1.2%, contributing to a 0.32% decline in MSCI’s broadest index of Asia-Pacific shares outside Japan.
ASML Earnings Disappoint, Chip Stocks Hit Globally
ASML, a major supplier to chipmakers like TSMC, Intel, and Samsung, reported lower-than-expected sales forecasts for 2025. Despite a boom in AI-related chips, other semiconductor sectors remain weak, causing customer caution.
“The ASML numbers were not good, signaling broader issues in the semiconductor market outside of AI,” said Nick Ferres, CIO at Vantage Point Asset Management.
China’s Luxury Demand Falters
French luxury brand LVMH also reported declining demand in China, further dampening optimism around China’s stimulus measures. Investors are now closely watching China’s upcoming announcement on property sector policies, hoping for more robust action to stabilize growth.
U.S. Dollar Strengthens on Fed Rate Expectations
In the U.S., shifting expectations regarding the Federal Reserve's interest rate cuts have buoyed the dollar. The U.S. dollar index hovered near its highest levels since August, driven by speculation of a 25 basis point rate cut in the coming months.
Oil Prices Steady Amid Middle East Uncertainty
Oil prices remained steady after recent declines, with Brent crude rising 0.4% to $74.56 per barrel, and U.S. West Texas Intermediate up 0.5% at $70.93, as markets remained uncertain about Middle East tensions and global supply risks.
