Morgan Stanley Sees Chinese Auto Market Recovery Gaining Momentum in Late Summer 
Wall Street Ends Lower as AI Stocks Drag Markets, Fed Rate Outlook Shifts 
US Dollar Slips After PCE Inflation Data as Fed Rate Hike Expectations Stay Elevated 
Japan Signals Preference for Low Interest Rates as BOJ Policy Debate Intensifies 
SpaceX Eyes Starlink Mobile Phone Service to Challenge Verizon, AT&T, and T-Mobile 
Australian Household Spending Rebounds Strongly in May as Travel and Dining Drive Consumer Growth 
Trump Requests $11 Billion More in Farm Aid as Rising Costs Pressure U.S. Farmers 
Iran Attack in Strait of Hormuz Pushes Oil Prices Higher 
South Korea’s KOSPI Plunges as Apple Price Hikes and OpenAI IPO Delay Shake AI Chip Stocks 
Gold Price Ends Lower for Fourth Week Despite Rebound as Fed Rate Hike Bets Strengthen 
S&P Affirms Brazil’s BB Credit Rating with Stable Outlook Amid Fiscal Challenges 
South Korea’s KOSPI Jumps Over 5% as Samsung, SK Hynix Rally on Micron Earnings Boost 
Asian Markets Rally as Micron and Qualcomm AI Outlook Lifts Global Tech Stocks 
Wall Street Ends Mixed as Micron Surges, Apple Drops After Price Hikes 
US Dollar Slips After PCE Inflation Data Eases Fed Rate Hike Expectations 
Oil Prices Rebound as Strait of Hormuz Tensions Return After Ship Attack Near Oman 
Gold Drops Below $4,000 as Strong US Dollar and Fed Rate Hike Expectations Pressure Bullion 
Global financial markets ended Friday on a weaker note as major stock indexes declined, led by a sharp selloff in technology shares amid renewed skepticism over artificial intelligence investments. Rising U.S. Treasury yields and a firmer dollar further pressured equities, highlighting investor caution despite the traditionally strong year-end period for stocks.
Technology stocks were the worst-performing sector in the S&P 500, falling nearly 3% as concerns about high spending and shrinking margins in the AI and cloud computing space intensified. Shares of chipmaker Broadcom plunged more than 11% after it warned about margin pressures, while Oracle extended losses with another drop following weak forecasts and heavy investment spending. Nvidia, a key AI bellwether, also declined, reflecting broader uncertainty around the sustainability of the AI-driven rally.
Market sentiment was further weighed down by comments from U.S. Federal Reserve officials who opposed this week’s interest rate cut. They emphasized that inflation remains too elevated to justify aggressive easing, pushing U.S. Treasury yields higher. The benchmark 10-year Treasury yield climbed above 4.19%, marking its second consecutive weekly increase, and rising yields added pressure on equity valuations.
Despite the Fed’s 25-basis-point rate cut earlier in the week, policymakers signaled a pause in further reductions, even as concerns grow about a cooling U.S. labor market. Recent jobless claims data showed the largest weekly increase in new unemployment filings in over four years, adding complexity to the outlook for monetary policy.
Global markets mirrored the cautious tone. European stocks fell, with bond yields in Germany reaching multi-year highs as investors began pricing in the possibility of future euro zone rate hikes. Currency markets saw the U.S. dollar edge higher, while sterling weakened after data showed the UK economy unexpectedly contracted. The yen remained under pressure ahead of an anticipated Bank of Japan rate hike.
Commodities also retreated, with copper sliding sharply from record highs on fears of an AI-driven demand bubble bursting. Oil prices posted a weekly decline as supply concerns outweighed geopolitical risks, underscoring the broader risk-off mood across global markets.
