Market Summary - June 18, 2026
Dollar at 1-year high, stocks rebound on renewed risk appetite
US Equities
US stock indices experienced a significant rally as Wall Street rebounded, driven by a surge in risk appetite following the historic signing of the US-Iran peace deal. The Nasdaq futures led the gains with a 2.0% increase, followed by the small-cap Russell 2000 at +1.3%, the S&P 500 at +0.9%, and the Dow Jones Industrial Average at +0.2%.
European Equities
European markets also saw a solid recovery, although there were notable divergences between core and peripheral indices. The Euro Stoxx 50 rose by 1.4%, with France's CAC40 and Italy's FTSE MIB both gaining 1.4% and 1.1% respectively. However, the UK's FTSE 100 fell by 0.3%, and Poland's WIG20 dropped by 1.5%.
Corporate News
- Amazon: In a strategic move, Amazon is reportedly planning to sell its custom Trainium chips to external data centers, challenging Nvidia's dominance in the AI chip market.
- Apple: CEO Tim Cook indicated that hardware price increases are likely due to rising chip costs, with potential smartphone price hikes of up to 20% for the upcoming iPhone 18.
- Accenture: Shares plummeted by 16.7% after a revenue miss and a cut in growth forecasts, raising concerns about the impact of generative AI on traditional tech consulting budgets.
- BMW: The company slashed its 2026 automotive EBIT margin outlook to a low of 1%-3% due to a sales downturn in China and rising operational costs linked to the Iran conflict.
Economics & Central Banks
- U.S. Jobless Claims: Initial claims fell to 226,000, indicating a stable labor market, although continuing claims rose slightly to 1.81 million.
- Bank of England: The BoE held its interest rate at 3.75% amid a hawkish split, citing persistent inflationary pressures.
- Swiss National Bank: The SNB maintained its policy rate at 0% and expressed readiness to intervene in the foreign exchange market.
- Norges Bank: Norway's central bank held its rate at 4.25% but signaled potential future tightening to address inflation.
FX, Energy & Precious Metals
FX
The U.S. dollar index surged to its highest level since May 2025, buoyed by a hawkish Fed outlook. The dollar strengthened against several currencies, including the Swedish and Norwegian krona.
Energy
Crude oil prices slightly declined, with Brent futures dropping to $78.30 per barrel, while natural gas prices spiked by 2.9% following a bullish EIA storage report.
Precious Metals
Gold and silver prices fell significantly due to rising real yields and a strong dollar, with gold futures down to $4,230/oz and silver futures plummeting to $66.10/oz.