On Tuesday, the US stock indices finished the session in the green, supported by encouraging inflation data that reduced the likelihood of a Fed rate hike this month. By the end of the day, the Dow Jones index (US30) rose by 0.02%. The S&P 500 index (US500) gained 0.38%. The tech‑heavy Nasdaq (US100) closed Tuesday in the green at 1.10%. Investor optimism outweighed concerns related to rising energy prices amid the US-Iran conflict, allowing the technology and financial sectors to show a confident recovery.

The semiconductor sector recovered a significant portion of the previous day’s losses: shares of Nvidia, Micron, and Broadcom closed higher. The banking sector showed mixed dynamics: JPMorgan and Bank of America rose following earnings releases, while Goldman Sachs jumped 9% after reporting better‑than‑expected financial results; meanwhile, Citi faced a sell‑off, losing 5.3%. A sharp contrast came from IBM shares, which fell 25.2% – the company missed expectations and warned of constrained client spending, as businesses are currently concentrating investments on chip and memory components.

In his testimony before Congress, Fed Chair Kevin Warsh reaffirmed the central bank leadership’s firm determination to restore price stability and prevent persistently high inflation. He expressed confidence that, with the right policy course, the five‑year period of elevated inflationary pressure will remain in the past. The head of the regulator described the current state of the US economy as resilient, noting moderate growth in consumer spending and stable increases in manufacturing output.

European indices closed higher on Tuesday. By the end of the day, Germany’s DAX (DE40) rose by 0.13%, France’s CAC 40 (FR40) closed strongly at 2.20%, Spain’s IBEX 35 (ES35) gained 0.11%, and the UK’s FTSE 100 (UK100) closed up 0.30%. The positive dynamics followed the release of US inflation data, which came in below forecasts. This led to a decline in sovereign‑bond yields, easing financing conditions for major European corporations and restoring optimism across regional markets. The banking sector reacted with gains of more than 1% in BNP Paribas, ING, and Deutsche Bank. At the same time, energy companies such as Schneider and Siemens Energy strengthened, supported by renewed interest in artificial‑intelligence infrastructure.

On Tuesday, crude oil prices (WTI) held above $79 per barrel amid escalating military confrontation: the US carried out additional airstrikes on Iranian targets, and Tehran claimed responsibility for an attack on two oil tankers in the Strait of Hormuz. Despite overall tensions, prices retreated from daily highs after President Donald Trump announced he would not impose a 20% fee on cargo passing through the strait under US protection. Instead of direct tariff collection, Washington intends to replace these revenues with new trade and investment deals with Middle Eastern partners.

In Asia, Japan’s Nikkei 225 (JP225) rose by 0.74%, China’s FTSE China A50 (CHA50) closed up 2.33%, Hong Kong’s Hang Seng (HK50) gained 0.52%, and Australia’s ASX 200 (AU200) closed at its opening price. On Wednesday, the Chinese stock market showed mixed dynamics. Investors reacted to ambiguous macroeconomic data: GDP growth in the second quarter slowed to 4.3% year‑on‑year, below market expectations (4.5%) and the lower bound of the government’s target range (4.5-5.0%). This was the lowest reading since Q4 2022. Another concerning signal was the acceleration of fixed‑asset investment decline to 5.7% in the first half of the year. However, the report also contained positive indicators: industrial production growth in June accelerated to 5.3%, retail sales unexpectedly rose by 1%, and the urban unemployment rate fell to a yearly low of 5.0%.