US Inflation Expected to Ease in June, but Fed Rate Hike Risks Persist Amid Middle East Tensions 
South Korea Central Bank Set to Raise Interest Rates as Inflation Stays Elevated 
Gold Price Holds Near $4,000 as Middle East Tensions and Fed Rate Hike Bets Grow 
Gold Price Holds Near Record High as Cooling U.S. Inflation Offsets Fed Caution 
Asian Stocks Rise as Softer U.S. Inflation Boosts Sentiment Despite Middle East Tensions 
Australia Consumer Sentiment Rises in July as Fuel Price Relief Lifts Confidence 
UBS Boosts China Tech Bets, Adds Kuaishou and Meituan to Focus List 
China Q2 2026 GDP Misses Forecast as Weak Domestic Demand Offsets Export Strength 
Asian Stocks Slide as Oil Surge, U.S.-Iran Tensions and Fed Rate Bets Weigh on Markets 
Oil Prices Surge as U.S.-Iran Conflict Escalates and Strait of Hormuz Risks Grow 
European Stocks Slip as Middle East Tensions and Hormuz Threat Rattle Markets 
Dollar Holds Steady Ahead of U.S. CPI as Oil Surge, Middle East Tensions Keep Markets on Edge 
South Korea’s KOSPI Triggers Trading Curb as AI Chip Stock Selloff Deepens 
Goldman Sees Foreign Investors Driving India Stock Market Recovery 
Port of Los Angeles Posts Record June Cargo Volume as Importers Rush Ahead of U.S. Tariffs 
Asian share markets opened the week on a cautious note, largely tracking weaker Wall Street futures, as extreme volatility in silver prices and a packed global economic calendar unsettled investors. The sharp moves in commodities, combined with upcoming corporate earnings, central bank meetings, and key economic data, set a nervous tone for global financial markets.
Silver prices plunged as much as 5% early Monday, extending Friday’s dramatic 30% sell-off that forced leveraged investors to unwind crowded positions. Market participants also cited the temporary halt in trading of the UBS SDIC silver futures fund in China as a catalyst for the rout. Precious metals volatility spilled over into gold, which fell 1.4% to around $4,807 an ounce after losing nearly 10% in the previous session.
Oil prices also declined sharply, with Brent crude sliding nearly 3% and U.S. crude dropping close to 2.8%. The pullback followed comments from U.S. President Donald Trump suggesting Iran was “seriously talking” with Washington, easing immediate fears of a U.S. military strike and reducing geopolitical risk premiums in energy markets.
Equity markets reflected the unease. MSCI’s Asia-Pacific index excluding Japan fell 0.7%, with South Korean stocks down 1%. Japan’s Nikkei bucked the trend, rising 0.7% as opinion polls pointed to a likely landslide victory for Prime Minister Sanae Takaichi’s Liberal Democratic Party. Investors anticipate aggressive fiscal stimulus and a weaker yen under her leadership, potentially supporting Japanese exporters.
In Europe, futures for the Euro STOXX 50 and DAX edged lower ahead of a heavy earnings week covering nearly 30% of regional market capitalization. U.S. futures also softened, with investors closely watching results from major technology firms such as Alphabet, Amazon, and AMD, particularly regarding AI spending and profitability.
Currency markets were relatively steady, with the dollar holding near $1.1847 per euro, while the yen weakened to around 155 per dollar. Attention now turns to central bank decisions from the Federal Reserve, European Central Bank, Bank of England, and Reserve Bank of Australia, alongside the upcoming U.S. payrolls report, which could reshape expectations for interest rate cuts later this year.
