Developments in the Middle East remain the focus of attention on Wall Street, and energy prices have retreated somewhat following the ceasefire agreement reached in the region. Oil prices have fallen from $100 per barrel a month ago to around $70. The decline in oil prices is primarily driven by strong expectations of a rapid recovery in supply from the Gulf region.Currently, oil prices have almost entirely given up their gains and are essentially back to the levels seen before the outbreak of the war with Iran.
Major U.S. stock indices will wrap up a solid first half of the year next week,with the S&P 500 Index (SPX) up more than 7% so far in 2026, though the market experienced a more challenging period in June. This week, high-flying semiconductor stocks saw significant volatility as investors adjusted their optimistic expectations for AI-driven earnings.The performance of tech stocks—particularly chip stocks—continues to dominate attention on Wall Street.
The Philadelphia Semiconductor Index (SOX) has surged 85% since hitting its annual low in late March, but pulled back this week as investors assessed whether the rally had become overheated.Strong earnings reported Wednesday evening by memory chip maker Micron Technology (MU) provided support for the sector, but the tech-heavy Nasdaq Composite Index (IXIC) still fell more than 4% this week.
Gold prices experienced another week of sharp volatility.Initial dip-buying and safe-haven demand gave way to another round of heavy selling amid a combination of stronger-than-expected U.S. economic data, persistent inflation, a strengthening dollar, and rising expectations of a Federal Reserve rate hike, pushing gold prices back toward the $4,000 mark.However, in a last-minute surge, gold prices rebounded to the $4,100 mark.
Remain highly vigilant in the coming week, as a “data tsunami week” is on the horizon. Compounded by the fact that on Friday, July 3,U.S. markets will be closed for the Independence Day holiday, effectively shortening next week’s trading days. As this coincides with the end of the month, the end of the second quarter, and the end of the first half of the year—a period when institutions typically rebalance their portfolios—market liquidity is highly susceptible to sudden disruptions. This could trigger a systemic and sharp spike in volatility, which in turn would profoundly impact the risk appetite and trading behavior of global short-term traders.