By the end of the day, the Dow Jones Index (US30) rose by 1.73%. The S&P 500 Index (US500) increased by 0.41%. The Technology Index NASDAQ (US100) closed lower by 0.53%. The main driver of optimism was the signing of a ceasefire agreement between Israel and Lebanon, which reduced the geopolitical premium in commodities, pushed oil prices down, and led to a decline in US Treasury yields. The NASDAQ 100 Technology Index closed in negative territory due to a deep drop in the semiconductor sector, which had been the main engine of the market throughout the current year. The main blow fell on Broadcom shares, which plunged by 15%; despite strong net profit figures, the company’s conservative revenue outlook for artificial intelligence (AI) chips failed to meet Wall Street’s inflated expectations.

European indices closed in the green yesterday. By the end of the day, Germany’s DAX (DE40) rose by 0.60%, France’s CAC 40 (FR40) closed with a gain of 1.15%, Spain’s IBEX 35 (ES35) increased by 0.55%, and the UK’s FTSE 100 (UK100) ended the trading session higher by 0.27%.

The Swiss franc (CHF) stabilized at 0.79 per US dollar, remaining in close proximity to its lowest level since early April. Pressure on the national currency intensified after the release of May inflation data, which came in below analysts’ expectations and effectively deprived the Swiss National Bank of reasons to raise interest rates at the upcoming June meeting. Annual inflation in the country remained at 0.6%, which, although being the highest level since December 2024.
A sharp reversal occurred in the global energy market: prices for US light crude WTI collapsed by more than 3%, falling to 92 dollars per barrel and breaking a three‑day rally. The main trigger for profit‑taking and the drop in prices was the sudden appearance of diplomatic breakthroughs in the Middle East crisis. The White House officially stated that Israel and Lebanon had reached preliminary agreements on a ceasefire. But the downward momentum in oil remained limited, as the real situation in the Middle East is still far from stable. Any breakdown of the announced ceasefire within the next 24 hours could instantly return WTI prices to their recent four‑month highs.

The US natural gas prices (XNG) recorded a powerful rally, rising above 3.3 dollars per million BTU (British thermal units) and hitting a four‑month high. Fresh data from the Energy Information Administration confirmed that US LNG exports soared to a historic record of 573.5 billion cubic feet of gas equivalent. Commercial gas inventories in the US increased by only 95 billion cubic feet for the week, which was significantly worse than analysts’ expectations of a larger increase of around 101 billion cubic feet, confirming strong physical undersupply in the market.

In Asia on Thursday, Japan’s Nikkei 225 (JP225) fell by 1.36%, China’s FTSE China A50 closed lower by 1.40%, Hong Kong’s Hang Seng (HK50) declined by 1.48%, and Australia’s ASX 200 (AU200) dropped by 1.13%.

The Australian dollar (AUD) continues to decline against the US dollar, falling to 0.711 and reaching its lowest levels in the past two weeks. The weakness is driven by a correction in the technology sector and cooling interest in AI‑related assets, which negatively affects risk‑sensitive currencies, including the Australian dollar. At the same time, the US dollar is supported by persistent inflation in the US and expectations of continued tight Federal Reserve policy. The Reserve Bank of Australia maintains a cautious tone after three rate hikes since the beginning of the year. RBA Governor Michele Bullock noted that policy tightening is already affecting economic activity, but inflation remains too high for the regulator to signal the end of the cycle. The market is almost fully pricing in a rate hold at the upcoming meeting, but the probability of another hike by August remains high.

The New Zealand dollar (NZD) fell to around 0.585 US dollars, ending the current week with a loss of more than 2% of its value. The downward movement of the national currency is driven by investors’ broad reluctance to take risks due to the lack of tangible progress in peace negotiations between the US and Iran. Nevertheless, the large‑scale decline of the “kiwi” was partially contained by tight domestic monetary factors. Market participants continue to actively price in a high probability of an interest rate hike by the Reserve Bank of New Zealand at the upcoming July meeting.