Oil and precious metals pulled back as the geopolitical risk premium eased. Brent fell nearly 3%, its first decline in six sessions, after President Trump signalled he may hold off on attacking Iran for now, while precious metals slipped from record highs. The move came despite Iran temporarily closing airspace around Tehran, highlighting how quickly positioning has shifted after an aggressive commodities rally.
Equity sentiment improved, led by technology, after TSMC reported a strong earnings beat that helped stabilise risk appetite. U.S. and European equity futures moved higher, and Asian markets recovered from earlier losses, with renewed confidence in AI demand offsetting recent concerns around stretched valuations. Investors appear to be rotating within equities rather than stepping away from risk, with leadership broadening beyond the most crowded tech names.
Elsewhere, attention remains on central banks and U.S. politics. Markets continue to price the next Fed rate cut around mid-year, with incoming data doing little to change that view. Debate around Chair Powell has resurfaced following comments linking the threat of a criminal indictment to the consequences of past interest-rate decisions, though expectations remain that policy settings will ultimately stay data-driven.
- S&P 500 futures +0.1%
- Nasdaq 100 futures +0.3%
- Bitcoin -1.3% to ~96,300
- Gold -0.4% to ~4,608/oz
- WTI crude -2.9% to ~60.24/bbl
