Daily News 17th June 26
Daily News
Dow Tops 52,000 for First Time as Oil Slides; Tech Sell-Off Drags S&P 500, Gold Holds Above $4,300
17 June 2026
Today in Brief
Asian markets advanced Wednesday, with Japan's Nikkei 225 hitting a new high (up 0.91%), South Korea's Kospi adding 0.42% and Australia's ASX 200 up 0.58%, after all three major U.S. averages rose Monday on the potential U.S.-Iran deal. The Dow closed at a record 51,999.67 on Tuesday — topping 52,000 intraday for the first time — as investors rotated out of chipmakers into cyclicals, but the S&P 500 fell 0.57% to 7,511.35 and the Nasdaq dropped 1.15% to 26,376.34 on a chip sell-off. Brent settled at $78.96 and WTI at $76.05, the first close below $80 since early March, while gold held above $4,300.
The U.S.-Iran interim deal is set to be signed Friday in Switzerland, with three Iranian tankers already exiting the Hormuz blockade. New Fed Chair Kevin Warsh is expected to withhold his "dot" from Wednesday's rate outlook. Japan's May exports grew 17%, the fastest since 2022. The U.S. held off blacklisting DeepSeek and 100+ firms. In deals: SpaceX agreed to buy AI coding startup Cursor for $60 billion, Intel began production of its 18A-P node eyeing an Apple deal, GM partnered with Lockheed Martin on defense, and Reliance Jio is set to file for a $4 billion IPO.
In Asia, Japan's Nikkei 225 hit a new high, rising 0.91%, while the Topix gained 0.91%
In Asia, Japan's Nikkei 225 hit a new high, rising 0.91%, while the Topix gained 0.91%. South Korea's Kospi added 0.42% and the small-cap Kosdaq advanced 1.49%. Australia's benchmark S&P/ASX 200 was 0.58% higher. Hong Kong Hang Seng Index slipped 0.37%, while mainland China's CSI 300 was marginally higher. The moves came after all three major averages rose on Monday, following an announcement from President Donald Trump that the U.S. and Iran had reached a potential deal to end the war.
Dow climbs above 52,000 for first time as oil prices fall, but tech sell-off knocks down S&P 500
The Dow Jones Industrial Average rose to a record high on Tuesday as investors rotated out of chipmakers and into cyclical stocks amid declining oil prices. The 30-stock index advanced 328.64 points, or 0.64%, for a record close of 51,999.67. It scored a new all-time intraday high of 52,190.29 in the session. The S&P 500 fell 0.57% and ended at 7,511.35, while the Nasdaq Composite pulled back 1.15% to 26,376.34. Pulling down the tech-heavy Nasdaq, a number of chip stocks suffered losses Tuesday. Advanced Micro Devices dropped more than 7%, while Broadcom fell 4%. Micron Technology shed 6%. Nvidia lost more than 2%. Elsewhere, oil prices extended their drop from the prior trading day. Brent crude futures fell 5.06% to close at $78.96 a barrel. U.S. West Texas Intermediate futures declined 5.82% to $76.05 a barrel. It was the first settle below $80 a barrel for both since early March.
Gold traded above $4,300 per ounce on Wednesday and was up more than 2% so far this week
Gold traded above $4,300 per ounce on Wednesday and was up more than 2% so far this week, as investors awaited the signing of a US-Iran peace agreement that is expected to restore oil flows through the Persian Gulf, helping ease concerns over inflation and interest rates. The two countries are scheduled to sign an interim deal in Switzerland on Friday, offering Tehran broad economic incentives, including the immediate resumption of its oil exports. Market participants also turned their attention to the Federal Reserve's upcoming policy decision, where officials are widely expected to leave interest rates unchanged. The meeting will be the first chaired by Kevin Warsh, though he is not expected to submit a "dot" to the FOMC's quarterly rate projections. Earlier this week, the Reserve Bank of Australia left its benchmark interest rate unchanged at 4.35%, while the Bank of Japan raised its policy rate by 25 basis points to 1%.
Crude oil fell toward $75 per barrel on Wednesday, sliding for the fifth straight session
Crude oil fell toward $75 per barrel on Wednesday, sliding for the fifth straight session and reaching its lowest level since early March, as expectations of increased supply continued to weigh on prices ahead of the signing of a peace agreement between the US and Iran. The two countries are scheduled to sign an interim deal in Switzerland on Friday, offering Tehran broad economic incentives, including the immediate resumption of its oil exports. Tankers from other nations are also expected to resume passage through the Strait of Hormuz once the agreement takes effect, although shipping companies remain cautious about its long-term durability.
Fed Chair Warsh expected to withhold 'dot' from central bank's interest rate outlook
When the Federal Reserve wraps up its policy meeting Wednesday, one important thing could be missing — a dot. The central bank's Federal Open Market Committee is set to release its quarterly update of where individual officials expect interest rates to head this year and through 2028 and beyond. Markets closely parse the grid, known more commonly as the "dot plot," for information on how Fed officials view the economy and its impact on monetary policy. However, most Fed watchers on Wall Street expect new Chair Kevin Warsh won't participate, either because he feels he's not ready after having only been in office since May 22 — or simply because he doesn't like the dot plot and its implications for "forward guidance."
Three Iranian tankers exit U.S. blockade for first time in months as shipowners eye Hormuz in 'wary disbelief'
At least three Iranian tankers carrying nearly five million barrels of crude oil have exited the U.S. Navy blockade in the Strait of Hormuz in the first such outbound shipment in two months, as shipowners cautiously reposition ahead of a U.S.-Iran deal signing in Geneva on Friday. Two supertankers named Diona and Hero 2 — both owned by the National Iranian Tanker Company and under U.S. sanctions — made it through the U.S. Navy blockade perimeter, carrying a combined total of 3.8 million barrels of Iranian crude oil, according to shipping data provided by Kpler. A third Iran-linked tanker carrying 1 million barrels of Iranian crude exited the blockade line on Wednesday, according to Kpler. "Their apparent departure from the blockade suggests that other Iranian-trading tankers are also preparing to resume trading," said Michelle Wiese Bockmann, senior maritime intelligence analyst at Windward.
U.S. holds off blacklisting China's DeepSeek, more than 100 firms deemed security risks
The U.S. has held off adding China's AI startup DeepSeek, memory chipmaker CXMT and more than 100 other companies flagged as national security risks to a trade blacklist, according to two people familiar with the matter, as the Trump administration tries to avoid escalating tensions with Beijing. DeepSeek, CXMT and other companies were approved by an interagency committee last year for addition to the Commerce Department's Entity List, which is being reported for the first time. Reuters is also exclusively reporting the large number of companies awaiting publication on the list. DeepSeek, whose low-cost AI model sent shockwaves through the technology world in January 2025, has supported China's military and intelligence operations, a senior U.S. State Department official told Reuters last year.
Japan May exports grow at fastest pace in over three years, beating estimates, as chip demand soars
Japan's exports in May grew at their fastest pace since November 2022, rising 17% year on year, driven by robust demand for cars and semiconductors. Growth was higher than the 16.2% expected by economists polled by Reuters, and up from the 14.8% in April. While export value rose, volumes barely shifted, recording just a 0.5% increase, signaling that much of the gains in value were likely due to price and foreign exchange-related impact as the yen stays weak. The surge in exports was powered by a 17.9% year-on-year jump in shipments to China and a 12.5% surge in exports to the U.S. Beijing is Tokyo's largest trading partner, while Washington is its second-largest. Exports to the Middle East took a hit due to the U.S.-Iran war, falling 32%.
Intel begins production of most-advanced chip, inching closer to possible Apple deal
Intel has begun production of its most-advanced chip node, bringing the company one step closer to a possible deal to make some chips for Apple devices. Intel announced it's making the new chip node, 18A-P, at the VLSI Symposium in Honolulu, Hawaii, on Tuesday. "This is a journey, and while we have more work ahead, we appreciate the opportunity to share the progress we are making," Intel foundry head Naga Chandrasekaran said in a statement. Chandrasekaran called the development a "signal to Intel Foundry customers and partners that we are fully committed to leading edge process innovation over the long term." First announced last year, 18A-P is now in what's known as "risk production," an early production stage with data indicating it will meet customer requirements upon final qualification.
SpaceX to acquire the AI coding startup Cursor for $60 billion
SpaceX on Tuesday announced it entered a formal agreement to buy the artificial intelligence startup Cursor for $60 billion worth of stock, a hotly anticipated deal. The announcement comes just days after Elon Musk's rocket-maker debuted on the Nasdaq in the biggest initial public offering ever. Cursor built a popular AI coding tool that helps software developers generate, edit and review code, and the company has experienced explosive growth since its founding in 2022. In November, Cursor said it crossed $1 billion in annualized revenue, according to a release at the time. Cursor was also ranked at No. 37 on the annual CNBC Disruptor 50 list in 2026. The $60 billion in class A common stock that SpaceX has agreed to pay to acquire Cursor represented a 3.4% dilution at the aerospace and tech conglomerate's IPO valuation.
General Motors announces new defense partnership with Lockheed Martin
Automaker General Motors on Tuesday announced a new partnership with defense company Lockheed Martin to scale manufacturing and expand production capabilities. The deal was facilitated by the U.S. Department of Defense, according to Bruce Brown, GM's vice president of strategy at GM Defense, and will focus on munitions and more. "What makes this moment especially important is that the country needs more than great technology. It also needs the capacity to build, scale and deliver reliably," Brown said on a call with reporters. "This is where GM can help. Across our company, we bring deep experience in advanced engineering, digital development, supply chain discipline and manufacturing at scale." Lockheed Chief Operating Officer Frank St. John said it was too early to say what projects it would invest in with GM Defense.
Ambani's Reliance Jio set to file for $4 bln IPO within days
Reliance Jio Infocomm, India's largest wireless operator, could file draft papers for a roughly $4 billion initial public offering within days, the Financial Times reported on Wednesday, citing people familiar with the matter. The listing, one of India's most anticipated stock market debuts, may be launched ahead of billionaire Mukesh Ambani's annual address to shareholders of conglomerate Reliance Industries later this week, according to the report. The IPO would mark a key milestone for Ambani, who had pledged last year to list Jio in the first half of 2026. The timetable has slipped amid weaker market conditions and a challenging year for Reliance Industries, the FT reported.
