Public Markets 3 Days

Last updated: June 24, 2026, 5:30 AM ET

Global Markets & Macroeconomic Trends

A broad market selloff in artificial intelligence-related stocks continued to stabilize, with Nasdaq futures edging higher as investors awaited Micron Technology's earnings for further clues on the sector's sustainability. This followed a near $1.3 trillion wipeout in market capitalization for Nasdaq 100 stocks over recent sessions driven by AI jitters. South Korean stocks, particularly chipmakers like Samsung and SK Hynix, experienced significant volatility, with leveraged ETFs likely selling an estimated $6 billion of shares to rebalance leverage ratios amid AI doubts. Concerns over AI spending and valuations also weighed on tech stocks, though some analysts see further runway for a rally as AI infrastructure spending accelerates over the next quarters.

The global economic outlook remains a mixed bag, with traders scaling back bets on further European Central Bank interest rate hikes as the euro touched a one-year low amid slowing economic growth and falling oil prices. In contrast, the Bank of Japan Governor Kazuo Ueda reiterated the risk of inflation exceeding its 2% target, suggesting appropriate interest rate hikes. Australia's central bank is betting its rate hikes will curb inflation without significantly impacting jobs, citing the Phillips Curve to justify its stance. Meanwhile, Argentina's economy grew more than expected in the first quarter, despite rising unemployment and wages trailing inflation.

Energy & Commodities

Oil prices continued their decline on signs of easing supply disruptions in the Middle East, with hedge funds having boosted bearish bets on U.S. crude to their highest in nearly five months ahead of a US-Iran MOU. The closure of the Strait of Hormuz, however, has stranded almost 1,200 cargo ships carrying approximately $125 billion worth of goods, with geopolitical uncertainty cited as the top risk to the shipping industry according to Allianz. Iran and Oman have agreed to work on a pact for Hormuz transit costs, while Qatar expects normal LNG output to resume within weeks from undamaged facilities. Aluminum prices touched a three-month low as peace talk progress suggested returning supply. China's independent oil refiners have slashed operating rates to a nine-year low, reflecting the lingering impact of Middle East tensions on crude imports while Chinese zinc traders eye export opportunities. US diesel prices fell below $5 a gallon, offering some relief for inflationary pressures, even as President Trump ordered the Justice Department to investigate high gasoline prices that he claims are not falling fast enough.

Defense & Aerospace

German defense contractor Rheinmetall AG saw its shares slump as much as 16% following reports that Germany is dropping a major warships contract, contributing to the stock shedding over a third of its value year-to-date. Tankmaker KNDS has begun the process for an initial public offering in Paris and Frankfurt, testing investor appetite for defense stocks amidst a regional rearmament drive and potential listing in Paris and Frankfurt. The European Union Aviation Safety Agency has ordered urgent inspections of some Airbus A380 aircraft after discovering possible cracks in a wing component, affecting sixteen planes with some operators being asked for additional checks. US defense groups are scheduled to meet with President Trump as the administration seeks to rebuild conventional weapons stockpiles amid struggles in missile production.

Technology & AI

The global artificial intelligence sector's selloff is showing signs of stabilizing, with U.S. tech futures pointing to a positive open after a significant rout. Companies along the AI supply chain are rushing to boost capacity, with SK Hynix Inc. planning a landmark $29.4 billion US listing to fund its AI expansion as South Korean stock volatility hit record highs. Chipmaker Cerebras nearly doubled revenue but projects full-year negative margins, highlighting the substantial costs associated with the AI buildout while Nvidia's banned AI chips have doubled in price on China's black market. Alphabet shares dropped after a second AI leader departed for a rival, adding to concerns about AI spending and valuations and impacting Indian tech's Nifty share to a record low. Agility, a maker of humanoid robots used by companies like Amazon, is planning to go public via a $2.5 billion SPAC deal as IBM prepares to scale quantum computing. A peer-beating technology fund is increasing its exposure to China, betting on the nation's internet giants and hardware makers while its own AI bots are used by new hedge funds.

Corporate & Dealmaking

Prologis, the world's largest owner of industrial real estate, was rebuffed in a $16.6 billion takeover approach for UK rival Segro, urging shareholders to pressure the board to engage a bid Segro subsequently rejected. Abb Vie is acquiring Apogee for $10.9 billion to secure an inflammatory disease drug, marking its largest deal in over half a decade amid a surge of M&A in the healthcare sector as healthcare investors GHO and CBC weigh a new global fund. Apollo's flagship private credit fund faced significant redemption requests, meeting less than a third of withdrawal demands as an investor exodus accelerates while Temasek unit and Oman fund join a private credit deal. Electronics manufacturer Luxshare Precision Industry Co. is gauging interest for a $3 billion Hong Kong listing as SoftBank seeks a stake in Japan's top utility to power its AI ambitions.

Regional Markets & Currencies

European markets reacted calmly to the UK prime minister's resignation, though economic uncertainties persist with the FTSE 100 set for fresh losses and the pound slipping. Asian currencies consolidated against the dollar, potentially weighed down by risk-off sentiment stemming from the tech stock selloff while China weakened its yuan fixing for a fourth session. Japanese government bond futures edged higher, tracking mild gains in the U.S. Treasury market amid ongoing Middle East uncertainty. MSCI has delayed its Indonesia downgrade verdict until November, citing the need to further evaluate reforms, frustrating South Korea as Indonesia faces a potential market status downgrade. India's economic activity slowed in June, with a flash PMI survey showing businesses impacted by cost pressures and softening demand while its Nifty share for tech exporters shrinks to a record low.

Infrastructure & Utilities

The UK's grid operator issued a rare summer power supply warning due to soaring temperatures stressing the energy system as British households are not electrifying fast enough. Southern Water secured the final tranche of investment from a new shareholder, Asterion, as part of a £1.2 billion equity raise for network upgrades while the UK's BT pension fund lost £300 million on Thames Water. California is piloting a program to build solar panels over irrigation canals to generate electricity and prevent water evaporation as environmental regulations are cited as a problem for US solar industry.