Last week’s key market movers:
- US–Iran deal optimism: The dominant driver. Progress toward a peace agreement pushed oil to multi‑month lows, eased inflation fears, lowered yields, and supported equities;
- SpaceX IPO and mega-cap IPO wave: The record-breaking IPO reinforced risk appetite but also sparked debate about liquidity being diverted from existing large-cap technology stocks;
- CPI and PPI confirmed persistent price pressures, despite some softer underlying details;
- The ECB raised rates by 25bp, signalling that inflation remains above target, reinforcing the “higher-for-longer” rates narrative.
Looking ahead:
- Iran military conflict (19 June): US and Iran agree to halt war and restart Middle East oil shipments. The agreement is expected to be signed on 19 June.