The US equities ended Wednesday’s session lower amid investor caution ahead of the start of big‑tech earnings season. By the end of the day, the Dow Jones Index (US30) fell by 0.01%. The S&P 500 Index (US500) declined by 0.14%. The tech‑heavy Nasdaq (US100) closed Wednesday in the red at 0.57%. Software developers and major tech platforms came under the most pressure ahead of Alphabet’s earnings release (-1.5%): Microsoft shares fell by 1.9%, and Meta by 2.6%. Meanwhile, chipmakers managed to partially recover recent losses: Nvidia shares rose by 2.3%, Broadcom by 2.7%, and AMD by 1.4%.

European indices closed Wednesday with confident gains. By the end of the day, Germany’s DAX (DE40) rose by 0.58%, France’s CAC 40 (FR40) closed up 0.89%, Spain’s IBEX 35 (ES35) gained 0.99%, and the UK’s FTSE 100 (UK100) closed up 1.24%.

Palladium (XPD) prices consolidated above $1,200 per ounce, recovering after falling to nearly a one‑year low recorded at the end of June. The main driver of the rebound was steady demand for hybrid electric vehicles (HEVs): major automakers are actively implementing software‑defined technologies in hybrids, supporting high palladium consumption in catalytic converters.

Crude‑oil prices (WTI) on Wednesday tested a six‑week high at $88.6 per barrel before correcting to $86.5 under the influence of inventory data. Markets continue to price in significant risks to global supply due to the Middle East conflict, which is hindering fuel exports from Gulf countries. The situation is further inflamed by strong statements from US Secretary of State Rubio, who accused Tehran of violating commitments and demanded guarantees of shipping safety in the Strait of Hormuz, as well as Iran’s abandonment of nuclear ambitions and support for proxy groups. Additional concern among traders is caused by Houthi threats in the Red Sea.

On Wednesday, Japan’s Nikkei 225 (JP225) fell by 0.18%, China’s FTSE China A50 declined by 0.54%, Hong Kong’s Hang Seng (HK50) dropped by 0.95%, and Australia’s ASX 200 (AU200) closed up 0.34%. Asian stock markets on Thursday showed mostly upward dynamics, supported by a rally in the semiconductor sector. The driver for growth was statements from major US tech giants about plans to maintain high investment volumes in AI infrastructure. Market participants were encouraged by Alphabet’s massive capital‑expenditure plans, with the company intending to invest up to $205 billion this year, strengthening the outlook for regional chip and equipment suppliers.

The Australian dollar (AUD) strengthened above $0.70, reaching a five‑week high on the back of strong labor‑market data, which fueled expectations of further hawkish action from the Reserve Bank of Australia. In June, employment increased by 76,300 people – the largest gain since April last year and significantly above analyst expectations – while the unemployment rate remained at 4.4%, and labor‑force participation reached a yearly high of 67%.

Bank Indonesia (BI) unexpectedly kept its key interest rate unchanged at 5.75%, diverging from market expectations of a 25‑basis‑point hike. Recall that at the two previous meetings, the regulator consistently raised the rate to support the rupiah and attract capital, resulting in a cumulative increase of 100 basis points since May – the highest level since April 2025. The current decision to pause is explained by the desire to simultaneously contain external risks and support national economic growth. The macroeconomic backdrop at the time of the meeting was characterized by an acceleration of annual inflation in June to 3.34% from 3.08% in May, bringing the indicator close to the upper boundary of the regulator’s target range of 1.5%-3.5%.