On Friday, US stock indices fell sharply amid growing investor concerns about the consequences of the prolonged conflict with Iran. Market participants fear that further increases in energy prices will intensify inflationary pressure and force the Federal Reserve to keep interest rates high for longer.
By the end of the day, the Dow Jones (US30) fell by 1.07% (weekly result -0.05%). The S&P 500 (US500) declined by 1.24% (weekly result +0.31%). The Technology Index NASDAQ (US100) closed lower by 1.54% (weekly result -0.21%). Pressure intensified due to profit‑taking in the technology sector after a prolonged rally driven by artificial intelligence.

The largest declines were seen among semiconductor and memory‑chip manufacturers: Intel shares fell by 5%, AMD dropped by 3%, and Micron Technology lost 4%. Nvidia declined about 2%. The exception was Microsoft, whose shares rose 4% after Bill Ackman announced that Pershing Square had opened a position in the company. Boeing shares continued to fall, losing another 3%, as investors reacted cautiously to Donald Trump’s statement that China intends to purchase 200 Boeing aircraft, viewing the figure as only slightly above previously expected delivery volumes.

In mid‑May, the Mexican peso weakened to around 17.3 per US dollar amid a stronger US currency and rising US Treasury yields. Pressure on the peso also came from weak domestic macroeconomic data. Mexico’s economy contracted by 0.8% in the first quarter, worse than market expectations, increasing concerns about slowing economic activity. Although the Bank of Mexico previously cut the key rate to 6.5%, the regulator indicated that the easing cycle is likely nearing its end. The central bank adopted a more cautious stance due to inflation risks driven by high oil and fuel prices, which limit room for further rate cuts.
The Canadian dollar weakened slightly to around 1.37 per US dollar, extending its decline after reaching a seven‑week high at the end of April. Pressure on the Canadian currency increased amid US dollar strength following higher‑than‑expected US inflation data. Additional support for the US dollar comes from geopolitical tensions in the Middle East. At the same time, rising oil prices partially limit the Canadian dollar’s decline, as Canada’s economy and currency traditionally benefit from a stronger commodity sector and higher export revenues.

Bitcoin (BTC/USD) fell to around 76,000 dollars, reaching its lowest level in more than two weeks amid deteriorating global risk appetite due to the escalation of the US-Iran conflict. Another negative factor was a large capital outflow from US spot bitcoin ETFs: investors withdrew more than 1 billion dollars over the past week, marking the first weekly outflow of this magnitude since late January.

By the end of the day, Germany’s DAX (DE40) fell by 2.07% (weekly result -1.57%), France’s CAC 40 (FR40) closed down by 1.60% (weekly result -1.45%), Spain’s IBEX 35 (ES35) declined by 1.05% (weekly result -1.58%), and the UK’s FTSE 100 (UK100) ended the session down by 1.71% (weekly result -0.37%).
On Friday, WTI oil prices rose more than 4.5%, climbing to around 106 dollars per barrel, with weekly gains reaching roughly 11% amid the continued effective closure of the Strait of Hormuz. The market remains under severe strain due to the threat of disruptions to global oil supplies, as diplomatic efforts to resolve the conflict have yielded no results. Limited tanker movement through the strait is increasing concerns about supply shortages and supporting persistently high energy prices.

Silver (XAG/USD) fell more than 8%, dropping to 76 dollars per ounce and extending its decline for the second consecutive session amid rising concerns about accelerating US inflation and potential further monetary tightening. Pressure on the market came from fresh data showing that in April, producer prices as well as import and export prices in the US rose at the fastest pace since 2022, while consumer inflation reached its highest level since 2023. Investors link the increase in price pressure to the prolonged Middle East conflict and ongoing restrictions on shipping through the Strait of Hormuz, which support high energy prices.

In Asia, Japan’s Nikkei 225 (JP225) fell by 1.99% (weekly result -2.84%), China’s FTSE China A50 closed down by 1.05% (weekly result -1.39%), Hong Kong’s Hang Seng (HK50) declined by 1.62% (weekly result -1.32%), and Australia’s ASX 200 (AU200) fell by 0.11% (weekly result -0.68%).
On Monday, Chinese stock indices closed with moderate gains. The market was supported by the technology sector, which offset pressure from weak macroeconomic data. The top performers were companies linked to artificial intelligence and semiconductors. At the same time, China’s economic data increased concerns about slowing domestic activity. Retail sales growth in April slowed sharply to 0.2% year‑over‑year, the weakest result since December 2022. Industrial production also slowed to 4.1%, the lowest level since July 2023, while the unemployment rate improved slightly, falling to 5.2% from March’s 5.4%, the lowest in three months.

Hong Kong’s economy grew by 5.9% year‑over‑year in Q1 2026, confirming preliminary estimates and accelerating from a revised 4% increase in the previous quarter. This was the strongest pace of expansion since Q2 2021. The main drivers were resilient domestic demand, rising consumer spending, and increased investment activity. On a seasonally adjusted quarterly basis, GDP rose 2.9%, the fastest growth in nearly five years. Against this backdrop, authorities maintained their 2026 growth prognosis in the range of 2.5-3.5%.

On Thursday, the US stock market closed higher. By the end of the day, the Dow Jones (US30) rose by 0.75%. The S&P 500 (US500) increased by 0.77%. The technology index Nasdaq (US100) closed up by 0.88%. The main driver of growth was once again the artificial‑intelligence sector: shares of Cisco Systems jumped 13.4% after raising its revenue and profit outlook, and Nvidia surged 4.4%, extending its monthly gain to 15% after the US allowed shipments of H200 chips to ten Chinese companies.

Additional support for markets came from optimism ahead of the US-China summit in Beijing. US Treasury Secretary Scott Bessent stated that the two sides are discussing accelerated approval of certain Chinese investment deals, as well as a possible reduction of tariffs on several non‑critical goods. Investors expect that negotiations between Donald Trump and Xi Jinping will help ease global trade tensions and support further growth in the technology sector, despite ongoing pressure from high interest rates and geopolitical risks.

On Thursday, European stock indices posted solid gains for the second consecutive day amid strong corporate earnings and improving sentiment around the US-China summit. By the end of the day, Germany’s DAX (DE40) rose by 1.32%, France’s CAC 40 (FR40) closed up by 0.93%, Spain’s IBEX 35 (ES35) gained 0.83%, and the UK’s FTSE 100 (UK100) ended the session up by 0.46%. Technology companies led the gains, as positive signals from talks between US tech‑sector leaders and the Chinese delegation strengthened expectations of further demand growth for artificial‑intelligence infrastructure. Against this backdrop, ASML shares jumped 5.5%, and Infineon rose 3%. Siemens also supported the market, with its shares rising 2.6% after strong financial results and positive forecasts.

On Thursday, WTI oil prices held near 100 dollars per barrel as market participants continued to assess the situation around the Strait of Hormuz and the results of negotiations between Donald Trump and Xi Jinping. According to reports from Iran, around 30 vessels passed through the strait in recent hours, and Tehran began allowing transit of some Chinese ships, which slightly eased concerns about a full blockade of the key oil‑supply route. Despite signs of limited progress, fundamental risks for the market remain high. The International Energy Agency reported that in the first quarter, oil and fuel shipments through the Strait of Hormuz fell by nearly 6 million barrels per day and warned that a severe global supply deficit may persist at least until October, even if the conflict ends next month.

The US natural‑gas prices rose to 2.92 dollars per MMBtu, hitting a seven‑week high as the market continued to react to reduced production and moderate storage‑injection rates. According to the EIA, 85 billion cubic feet of gas were injected into storage during the week ending May 8, matching analyst expectations, below last year’s level of 109 billion cubic feet, and only slightly above the five‑year average. Additional support came from declining production volumes: several producers, including EQT, reduced activity amid persistently low spot prices, resulting in daily output at its lowest level in 15 weeks.

In Asia on Friday, Japan’s Nikkei 225 (JP225) fell by 0.98%, China’s FTSE China A50 closed down by 1.34%, Hong Kong’s Hang Seng (HK50) rose by 0.01%, and Australia’s ASX 200 (AU200) increased by 0.12%.

The Australian dollar (AUD) fell to 0.72 US dollars, retreating from its recent four‑year high and showing a weekly decline of about 0.6% amid broad US dollar strength. The US dollar is supported by persistently high energy prices and ongoing disruptions to shipping through the Strait of Hormuz. In Australia, the Reserve Bank (RBA) has already raised rates three times since the beginning of the year in response to inflationary pressure caused by the global energy crisis linked to the Middle East conflict. Markets now estimate the probability of another rate hike by August at around 80%.

On Friday, the New Zealand dollar (NZD) fell to 0.586 US dollars and is heading toward a weekly decline amid weak manufacturing‑sector data. The manufacturing PMI fell to 50.5 in April from 52.8 a month earlier, reaching a seven‑month low. Despite the Reserve Bank of New Zealand’s (RBNZ) cautious stance following the economy’s recent exit from recession, markets continue to price in the likelihood of further tightening amid rising inflation risks. The probability of a rate hike at the end of the month is estimated at around 40%, while a July increase is already almost fully priced in.

On Wednesday, the US stock indices mostly rose, with the S&P 500 and Nasdaq 100 updating historical highs amid the ongoing rally in the technology sector. By the end of the day, the Dow Jones (US30) fell by 0.14%. The S&P 500 (US500) rose by 0.58%. The Technology Index Nasdaq (US100) closed higher by 1.04%. The main driver of growth once again was shares of processor and memory‑chip manufacturers, which remain key beneficiaries of the global boom surrounding artificial intelligence and investments in AI infrastructure.

Shares of Nvidia, Tesla, and Apple strengthened significantly, supporting the rise of the so‑called “Magnificent Seven.” Additional optimism came from US President Donald Trump’s visit to China, joined by the heads of major American technology companies. Markets expect that the upcoming summit between Trump and Chinese President Xi Jinping may lead to new trade agreements, especially in the strategically important semiconductor sector, which could ease tensions in the technological standoff between the US and China.

European indices closed in the green yesterday. By the end of the day, Germany’s DAX (DE40) rose by 0.76%, France’s CAC 40 (FR40) closed up by 0.35%, Spain’s IBEX 35 (ES35) gained 0.46%, and the UK’s FTSE 100 (UK100) ended the session up by 0.58%. The market was supported by strong corporate earnings and investor optimism ahead of US President Donald Trump’s visit to China, which helped offset persistent concerns about the conflict with Iran and high energy prices.

On Wednesday, WTI oil prices held near 102 dollars per barrel, trimming part of their intraday losses after a rapid increase of more than 7% over the previous three sessions, as tensions in the Middle East and the rapid decline in global inventories continued to support the market. According to the IEA, global oil stocks fell by about 4 million barrels per day in March and April, while Saudi Arabia reported to OPEC that its production had dropped to the lowest level since 1990. The agency warned that the market may remain in a state of severe supply shortage at least until October, even if the conflict between the US and Iran ends in the coming months. Additional support for prices came from US data showing a 4.3‑million‑barrel decline in crude inventories last week – almost twice as strong as market expectations.

The US natural gas prices rose to 2.87 dollars per MMBtu, once again approaching their highest levels in more than six weeks amid ongoing production cuts and improved demand expectations. The market is supported by declining US gas output, as several energy companies, including EQT, have reduced production due to a prolonged period of low spot prices, aiming to ease oversupply pressure.

In Asia on Friday, Japan’s Nikkei 225 (JP225) rose by 0.84%, China’s FTSE China A50 closed up by 0.66%, Hong Kong’s Hang Seng (HK50) gained 0.15%, and Australia’s ASX 200 (AU200) fell by 0.46%. In Australia, investor sentiment was pressured by warnings in the federal budget for 2026, where authorities pointed to serious risks associated with the ongoing fuel crisis and high energy prices. The market fears that the proposed support measures may be insufficient to fully protect the economy from the effects of the external inflation shock.

Investors expect a reduction in geopolitical tensions and hope for possible stabilization of bilateral relations ahead of the Donald Trump–Xi Jinping summit in Beijing. Additional support for the market came from the overall rise in Asian exchanges, where technology companies once again led the gains.