Global stock market overview for the week of June 15–20

🌍 Global equities ended the week of June 15–20 with a cautiously positive tone, supported by improved risk sentiment after the US–Iran framework agreement and expectations that the Strait of Hormuz would return to more stable operations. The sharp decline in oil prices helped ease concerns over energy-driven inflation, giving risk assets room to recover after a period dominated by geopolitical pressure.
📈 The US market remained the main driver, with the Dow Jones reaching new record highs, the S&P 500 posting moderate gains, and the Nasdaq outperforming on strength in technology and semiconductors. Investor appetite continued to favor AI, chip-related names, and broader technology infrastructure, although the rally was not one-sided as profit-taking emerged during the middle of the week.
🏦 The Federal Reserve kept interest rates unchanged at its June meeting, but its tone remained cautious as inflation risks were not fully dismissed. The hawkish tilt kept US yields elevated and created short-term pressure on high-valuation stocks, especially in the technology sector. As a result, last week’s rebound looked more like a relief rally than a confirmed shift into a more durable uptrend.
🔄 Sector rotation was clearly visible. Energy stocks came under pressure as oil prices fell, while airlines, transportation, industrials, and some cyclical sectors benefited from lower fuel costs. Semiconductors remained a bright spot, supported by expectations around AI capex and policy support for domestic chip production in the US.
🌏 Regional performance was mixed. Europe initially benefited from lower energy prices, while Japan and South Korea remained resilient thanks to technology and AI supply-chain exposure. In contrast, Hong Kong and China underperformed as higher USD-linked rates, cautious domestic sentiment, and profit-taking in technology shares weighed on the market.
🧭 Looking ahead, markets may continue to trade with a cautiously constructive bias. Key factors to watch include US Core PCE, PMI data, Fed commentary, and the actual implementation progress of the Hormuz agreement. Softer inflation and stable oil prices could help sustain the recovery, while a more hawkish Fed or renewed geopolitical risk could quickly bring volatility back.
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