Public Markets 8 Hours

Last updated: June 23, 2026, 11:30 PM ET

Global Markets Navigate Tech Selloff and Geopolitical Tensions

Asian stocks looked set to extend losses as a bruising Wall Street tech-led selloff deepened concerns that the artificial intelligence-driven equity rally may have run too far. Korean stocks, however, rebounded from a 10% rout, with investors refocusing on chipmakers’ earnings after what many saw as a selloff driven by technical factors. The yuan weakened for a fourth straight session against the dollar as China’s central bank showed flexibility in its currency management. Asian currencies broadly consolidated but may face pressure from risk-off sentiment spurred by the overnight tech stock sell-off.

Tech & AI Valuations Under Scrutiny

Stocks retreated sharply as fears about the sustainability of the artificial-intelligence boom caused a tech-sector rout, with the stratospheric rally leaving tech stocks vulnerable to sharp reversals. Nvidia’s AI chips banned in China have doubled in price on the black market due to the U.S. crackdown on illicit exports. Chip maker Cerebras nearly doubled revenue but projects full-year negative margins, highlighting the heavy costs of the AI buildout, while Google-parent Alphabet is set to replace Verizon in the Dow Jones Industrial Average. The U.S. is also pressing Meta to agree to AI reviews, as the NSA lost access to a powerful AI model amid a dispute with Anthropic.

Energy Markets Face Shifting Supply Dynamics

Oil futures fell on signs of easing supply disruptions in the Middle East, with Macquarie slashing its Brent forecast anticipating a rapid recovery of flows. Despite earlier concerns, more tankers are openly crossing the Strait of Hormuz following peace talks, though ship insurers are still set for major claims from the Iran war, according to Allianz. The blockade of the strait has stranded almost 1,200 cargo ships carrying goods worth $125 billion, raising concerns about global maritime trade. UAE oil exports have surged to 85% of pre-war levels, even as President Trump’s claims about Iran talks are contradicted by Tehran.

Corporate Dealmaking and Listings

AirPods maker Luxshare is gauging interest for a Hong Kong listing that may raise about $3 billion. In the U.K., Ari Emanuel is in talks to buy West End and Broadway giant ATG for $6 billion. Morgan Stanley is capping withdrawals from a $7 billion private credit fund at 5%, allowing less than half of the redemptions shareholders requested. Meanwhile, Elon Musk’s SpaceX has added billions in debt while cutting its interest costs, and Sanrio Co. shares briefly jumped after its full-year profit forecast beat estimates.

Fixed Income and Currency Markets

Japanese government bond futures edged higher, tracking mild gains in the U.S. Treasury market as traders priced in potential Federal Reserve rate cuts. Options traders are building bets that the market overreacted to the Fed’s hawkish pivot, challenging futures markets’ aggressive interest rate hike expectations. China’s central bank has set the daily guidance rate for the yuan weaker for a fourth straight session, showing flexibility in currency management as the dollar advances. Pacific Investment Management Co. sees China’s export glut boosting emerging-market bonds by helping to keep inflation under control across the developing world.

Index Providers and Market Status Reviews

MSCI has delayed its Indonesia downgrade verdict and frustrated South Korea, citing the need to further evaluate reforms announced by regulators. MSCI Inc. has again postponed its review on Indonesian equities until November, stating it needs more time to assess transparency reforms. In its latest review, MSCI Inc. reclassified Bulgaria to frontier market status, while keeping South Korea in its emerging-market index and refraining from a formal review process that could elevate its market to developed status.

U.S. Politics and Policy

A federal judge has barred ICE from making arrests in immigration courts nationwide. Congress cleared a housing bill, cementing a rare bipartisan feat. James R. Gadwood, the president’s nominee for chief counsel at the Internal Revenue Service, works at a firm that has represented Mr. Trump in tax matters. The Senate voted to curb Trump’s war powers, directing an end to the Iran war and rebuking the president on his war powers.

Housing and Consumer Goods Sectors

KB Home reported lower revenue as the difficult housing market persists, with revenue falling to $1.11 billion from $1.53 billion a year prior. Slate Auto’s all-electric truck, priced in the mid-$20,000s, aims to prove that affordable cars can be both profitable and adored. FedEx revenue rose on growth in package yields and volume, though its profit ticked down due to costs related to its freight spinoff and business optimization. Nike has named Pfizer’s David Denton as its next CFO, effective August 17, as the company struggles with its turnaround.

Other Market Developments

The Reserve Bank of India’s swap covers only the principal of deposits, not interest, for non-resident Indians looking to leverage them to draw dollars. The U.K.’s grid operator issued a rare summer power supply warning as soaring temperatures put stress on the energy system, while a government climate adviser argues British households are not electrifying fast enough. Colombia’s natural gas reserves remained near an 18-year low, increasing pressure to secure additional import capacity.