Daily News 4th June 26
Daily News
Asia-Pacific Markets Open Lower on Renewed Middle East Tensions; Dow Drops 600 Points as Oil and Yields Rise; Gold Slips to $4,450; SpaceX Targets $135 IPO Price at $1.77 Trillion Valuation
04 June 2026
Today in Brief
Asia-Pacific markets opened lower Thursday, tracking Wall Street losses, as U.S.-Iran tensions kept oil prices elevated and stoked inflation fears. Kuwait International Airport was struck by Iran early Wednesday, a day after CENTCOM confirmed it had defeated multiple Iranian ballistic missiles and drones and launched self-defence strikes on Qeshm Island. Israeli Prime Minister Benjamin Netanyahu told CNBC that Israel and the U.S. are prepared to strike Iran again if necessary. On Wednesday, the Dow fell 620.72 points to 50,687.07, the S&P 500 dropped 0.74% to 7,553.68 — snapping a nine-day win streak — and the Nasdaq declined 0.89% to 26,853.98; WTI rose 2.41% to $96.02 per barrel and Brent gained 1.89% to $97.81. President Trump said Iran agreed not to have nuclear weapons but noted "they can change their mind." Gold traded around $4,450 an ounce, down nearly 2% for the week, as tighter monetary policy expectations weighed. WTI pulled back toward $95 Thursday as investors assessed the conflict's impact on Hormuz traffic. The OECD slashed its 2026 global growth forecast to 2.8%, warning of further damage without a durable peace deal. Israel and Lebanon agreed to implement a ceasefire contingent on a full Hezbollah withdrawal from the South Litani Sector. Netanyahu told CNBC he and Trump have "tactical disagreements" but align overall. SpaceX filed to IPO at $135 per share, targeting a $75 billion raise at a $1.77 trillion valuation, with Goldman Sachs as lead banker. CrowdStrike beat Q1 FY2027 estimates but its stock dipped 2.78% in aftermarket trading. TSMC's CEO expressed confidence in AI-driven semiconductor demand at the firm's annual shareholders' meeting. Alphabet upsized its equity offering to $84.75 billion to fund AI infrastructure ambitions.
Asia-Pacific markets open lower on renewed Middle East tensions
Asia-Pacific markets opened lower Thursday, tracking Wall Street losses, as tensions between Iran and the U.S. keep oil prices elevated, stoking energy and inflation worries. The Kuwait International Airport was struck by Iran early Wednesday, just a day after the U.S. Central Command said it had defeated multiple Iranian ballistic missiles and drones, as well as launched "self-defence strikes" on Qeshm Island in the Persian Gulf. This was in response to "attempted attacks" by Tehran, it said. If necessary, Israel and the U.S. are prepared to strike Iran again, Israeli Prime Minister Benjamin Netanyahu told CNBC in an exclusive interview.
Dow closes 600 points lower as rising Treasury yields and oil prices pressure stocks
Stocks fell on Wednesday, with the S&P 500 snapping a nine-day win streak, as oil prices and Treasury yields moved higher amid worries the U.S.-Iran conflict could keep lifting inflation. The 30-stock Dow Jones Industrial Average pulled back 620.72 points, or 1.21%, to end at 50,687.07. The broad market S&P 500 fell 0.74% to end at 7,553.68, while the tech-heavy Nasdaq Composite declined 0.89% to 26,853.98. Oil prices rose following the U.S. and Iran launching new strikes. West Texas Intermediate futures rose 2.41% to settle at $96.02 per barrel, while Brent crude gained 1.89% to settle at $97.81 per barrel. President Donald Trump said on Wednesday that Iran agreed to not have nuclear weapons, but he added that "they can change their mind."
Gold traded around $4,450 an ounce on Thursday and was down almost 2% for the week
Gold traded around $4,450 an ounce on Thursday and was down almost 2% for the week, weighed down by growing expectations that central banks may need to raise interest rates to counter an energy-driven inflation shock stemming from the Middle East conflict. Hopes for a peace agreement also faded after the US and Iran exchanged strikes, with Bahrain and Kuwait caught in the crossfire during the most serious escalation since the ceasefire took effect in early April. The prolonged conflict and the near-shutdown of the crucial Strait of Hormuz have kept energy prices elevated, fueling inflation concerns and reinforcing expectations of tighter monetary policy. In the US, Cleveland Fed President Beth Hammack said the Fed could be forced to raise rates soon if inflation pressures continue to intensify.
WTI crude futures fell toward $95 per barrel on Thursday
WTI crude futures fell toward $95 per barrel on Thursday after three consecutive sessions of gains, as investors assessed escalating tensions between the US and Iran that continue to cloud prospects for a peace agreement and the normalization of Middle Eastern energy flows. Following a US strike on an empty oil tanker bound for Iran on Tuesday, Iran launched attacks on US naval bases in Bahrain and Kuwait, as well as commercial vessels. Shipping through the Strait of Hormuz, a key route for roughly one-fifth of global oil and LNG supplies, has remained subdued since the conflict began. Still, reports suggest traffic through the waterway has picked up over the past two weeks, with some vessels operating in coordination with the US military, though volumes remain well below pre-conflict levels.
Netanyahu says he and Trump have 'tactical disagreements' but agree overall amid Iran war
Israeli Prime Minister Benjamin Netanyahu in a wide-ranging interview with CNBC's Sara Eisen in Jerusalem on Wednesday talked about his relationship with President Donald Trump, played down concerns about the world's oil supply being constrained due to the war with Iran, and touted Israel to investors. The sitdown came on the heels of reports that Trump had cursed at Netanyahu in a phone call over Israel's continued military action against Hezbollah in Lebanon as the U.S. pursues peace negotiations with Iran. The war, which Trump initially suggested would last for several weeks, has entered its fourth month. The conflict has spurred economic angst and oil supply concerns around the globe, with crude prices hovering just below $100 a barrel.
Trump says Iran agreed to not have nuclear weapons, but 'they can change their mind'
The Iranian regime has agreed not to have nuclear weapons, President Donald Trump has said — but he added that Tehran could still "change their mind." "I did have to say we have to do something about Iran, because regardless of how well we're doing [economically] we can't let them have a nuclear weapon," he said in the interview with the New York Post's "Pod Force One" podcast, which was published Wednesday. "They've already agreed they're not going to have a nuclear weapon." When asked to confirm that the Iranian regime had agreed to that term, Trump said, "Oh yeah, they've agreed to that." "I mean, now they can change their mind, but that was one of the things they've had to agree, they've agreed to that. That was the big thing," he said.
OECD warns of global slowdown as U.S.-Iran war stymies economic growth prospects
The Organisation for Economic Cooperation and Development has slashed its global growth outlook, warning that the economic damage from the U.S.-Iran war could dramatically worsen unless a durable peace settlement is reached quickly. In its June Economic Outlook, the OECD said global growth is now expected to slow from 3.4% in 2025 to 2.8% in 2026, before recovering to 3.1% in 2027 — should the current energy price shock start easing by the middle of this year. But that's assuming a time-limited disruption scenario in which a peace agreement is reached and current disruptions to the Strait of Hormuz are swiftly resolved, said Stefano Scarpetta, the OECD's chief economist.
Israel and Lebanon agree to implement ceasefire
Lebanon and Israel have agreed to the implementation of a ceasefire, according to a joint statement with the United States released by the State Department on Wednesday following negotiations in Washington. The ceasefire is contingent on a complete cessation of fire from the Iran-aligned Hezbollah militia and the evacuation of all its operatives from the South Litani Sector, according to the statement. The two sides had agreed last month to a ceasefire but hostilities had continued. Israel invaded Lebanon in March in pursuit of Hezbollah which fired across the border in support of Tehran. Iran has said it will not agree to a deal to end the conflict with the United States and Israel launched in late February unless a ceasefire also covers Lebanon. Lebanon and Israel agreed to further direct negotiations to build confidence and resolve other outstanding issues, the statement said on Wednesday.
SpaceX targets $135 IPO price at valuation of $1.77 trillion
Elon Musk's SpaceX set a fixed price of $135 per share ahead of officially marketing its initial public offering, according to a filing with the Securities and Exchange Commission on Wednesday. SpaceX said it plans to sell 555.6 million shares, which would amount to a $75 billion fundraise. The underwriters have an option to purchase an additional 83.33 million shares at the IPO price, amounting to $11.2 billion. Musk will own over 82% voting control after the offering, the filing said. Goldman Sachs is the lead banker for the offering, followed by Morgan Stanley, Bank of America, Citigroup and JPMorgan Chase. Typically, at this stage of the process, new issuers will offer a price range that allows a company and its advisers to gauge demand sensitivity at different levels.
CrowdStrike Q1 2027 beats expectations, stock dips
CrowdStrike Holdings Inc. reported strong financial results for Q1 FY2027, surpassing analyst expectations with an EPS of $1.10 against a forecast of $1.07 and revenue of $1.39 billion compared to the anticipated $1.36 billion. Despite these positive results, the company's stock fell 2.78% in aftermarket trading, closing at $767.48, reflecting a complex investor sentiment. Despite the earnings beat, CrowdStrike's stock dropped 2.78% in aftermarket trading, closing at $767.48. This decline may reflect broader market trends or investor concerns over valuation. The stock remains below its 52-week high of $785.66 but significantly above its 52-week low of $342.72.
TSMC boss upbeat on outlook as AI boom shows no sign of easing
Taiwan's TSMC, the world's largest contract chipmaker, is confident in its growth over the next few years, thanks to robust demand for computing power and advanced semiconductors as it rides an AI boom, its chief executive said on Thursday. C.C. Wei, speaking at TSMC's annual shareholders' meeting in the northern Taiwanese city of Hsinchu, said customers are still positive on the outlook for AI, although the company continues to monitor the impact of rising component costs. "We continue to see increasing adoption of AI models across consumer, enterprise and sovereign AI applications," Wei said. "This trend is driving demand for greater computing power, which in turn supports strong demand for advanced semiconductor chips."
Alphabet to raise $84.75 billion in upsized equity offering to fund AI ambitions
Alphabet has increased the size of its equity offerings to $84.75 billion, in a sign of strong investor appetite for big tech companies as they expand their AI infrastructure and computing power. On Monday, the Google parent said it would raise $80 billion, as big tech companies compete to out-build each other with AI data centres to get ahead in what executives see as a once-in-a-generation AI race. In a filing dated June 2, Alphabet said it now aimed to raise $18 billion through the sale of Class A and C shares and $16.75 billion from depositary shares. It had earlier planned to raise $30 billion through concurrent public offerings backed by investment banks, split evenly between the two. The company's plans to raise $10 billion through a private placement of shares to Berkshire Hathaway and another $40 billion at-the-market offering program in the third quarter remain unchanged.
