China Q2 2026 GDP Misses Forecast as Weak Domestic Demand Offsets Export Strength 
South Korea Raises Interest Rates to 2.75% as Inflation and Weak Won Drive Tightening 
AI Chip Stocks Face Valuation Pressure as Investors Shift Toward Big Tech and Software 
US Inflation Expected to Ease in June, but Fed Rate Hike Risks Persist Amid Middle East Tensions 
Asian Currencies Stay Rangebound as Middle East Tensions, Weak China GDP Weigh on Sentiment 
Asian Stocks Slide as Chip Selloff Deepens Ahead of TSMC Earnings 
US Stock Futures Fall as Netflix Outlook, Chip Selloff and Iran Tensions Weigh on Markets 
ECB's Kocher Says No Inflation Spillover Yet From Iran Conflict, Warns Risks Remain 
Oil Prices Climb as Trump Escalates Iran Pressure, Strait of Hormuz Risks Grow 
Oil Prices Rise as U.S. Strikes on Iran Raise Strait of Hormuz Supply Fears 
Asian Stocks Slide as Nikkei Leads Losses on Tech Selloff and Rising U.S.-Iran Tensions 
Malaysia Q2 Economy Grows 5.8%, Beating Forecasts on Strong Tech Exports and Domestic Demand 
Gold Price Holds Near Record High as Cooling U.S. Inflation Offsets Fed Caution 
IEA Warns China Rare Earth Export Curbs Could Threaten $6.5 Trillion in Global Production 
Gold Prices Head for Biggest Weekly Loss Since June as Fed Rate Outlook Weighs 
U.S. Imposes 25% Tariff on Select Brazilian Imports After Section 301 Trade Investigation 
Brazil Weighs IP Curbs, Patent Suspensions After New U.S. Tariffs 
European equity markets remained largely flat Wednesday as investors digested fresh corporate earnings and inflation data. Germany’s DAX rose 0.3%, France’s CAC 40 held steady, and the UK’s FTSE 100 slipped 0.1%.
Markets have stabilized following renewed optimism over a temporary U.S.-China trade truce, which helped recover losses triggered by tariff concerns. Volatility has decreased as attention shifts to earnings reports and macroeconomic indicators.
German inflation slowed to 2.2% in April, down from 2.3% in March, supporting expectations that the European Central Bank (ECB) will continue its rate-cutting cycle. ECB policymaker Francois Villeroy de Galhau signaled in an interview that further easing is likely by summer, noting that Europe is unlikely to face U.S.-style inflation pressure stemming from Trump-era tariffs.
In corporate news, Burberry posted stronger-than-expected Q4 sales and full-year adjusted operating profit. German energy firm E.ON reported an 18% jump in Q1 adjusted EBITDA, while Spain’s Ferrovial saw core earnings rise 19%, fueled by U.S. toll highway operations. Danish pharmaceutical firm Lundbeck raised its full-year guidance after a 16% revenue increase. French train maker Alstom projected improved margins for 2025/26 after exceeding cash flow expectations.
However, Spanish telecom Telefonica posted a Q1 net loss after write-downs in Latin America.
Meanwhile, oil prices retreated slightly from recent highs. Brent crude dropped 0.5% to $66.32 and WTI slipped 0.5% to $63.38, after API data showed a 4.3 million barrel increase in U.S. crude inventories last week. This raised concerns about sluggish demand despite a temporary easing in global trade tensions. Official U.S. Energy Information Administration data, due later, will offer further insight into the supply-demand balance.
