The US Tech sector hit by sell‑off. Oil prices decline on renewed negotiations

The US equity indices showed mixed performance on Monday ahead of the Federal Reserve meeting. The Dow Jones (US30) rose 0.51%. The S&P 500 (US500) edged up 0.02%. The Tech‑heavy NASDAQ (US100) closed in negative territory at 0.32%.

The main source of pressure on the market came from semiconductor stocks. Nvidia plunged 5% after major headlines: the company signed a $500 billion deal with SK Hynix for memory‑chip supplies for AI systems and provided OpenAI with a $250 billion guarantee for leasing computing capacity under a data‑center project. This reignited investor concerns about the sustainability of circular financing schemes in AI infrastructure should capital expenditures by major players slow. Shares of AMD (‑5.2%), Sandisk (‑11%), Micron (‑2.2%), and Intel (‑0.7%) also declined.

European indices closed higher on Monday. Germany’s DAX (DE40) gained 1.04%, France’s CAC 40 (FR40) rose 0.40%, Spain’s IBEX 35 (ES35) advanced 0.80%, and the UK’s FTSE 100 (UK100) added 0.42%. European equities outperformed North America amid a sharp drop in sovereign‑bond yields. A temporary pause in the US-Iran conflict eased inflation risks and revived hopes for stable LNG and fuel supplies from the region.

Crude oil prices (WTI) continued to fall, sliding to $81 per barrel, supported by growing optimism over a potential Middle East settlement. President Donald Trump reported “constructive negotiations” with Iran and the possibility of a deal, while warning that strikes could resume if talks break down.

Japan’s Nikkei 225 (JP225) rose 0.50% on Monday, China’s FTSE China A50 gained 0.89%, Hong Kong’s Hang Seng (HK50) increased 0.98%, and Australia’s ASX 200 (AU200) closed 1.39%. On Tuesday, Asian equity markets saw a sharp decline. The main driver was the continued sell‑off in semiconductor stocks, triggered by mounting investor concerns over circular financing structures in the AI sector and intensifying competition from China.

Hong Kong’s trade deficit narrowed to $52 billion in June 2026 from $58.9 billion a year earlier. Exports surged 53.4% year‑on‑year to a record $641.1 billion. Exports to Asia rose 54.4%, while shipments to other key markets such as the United States (114.3%) and Mexico (94.2%) also saw strong gains. Import growth was particularly notable from mainland China and Hong Kong (41.0%) and South Korea (176.7%). From January to June, the cumulative trade deficit reached $294.6 billion.