Financial Markets Daily Report
14 juliol 2026
Risk aversion intensified on Monday after President Trump reinstated the Hormuz blockade for Iranian ships and imposed a transit levy on non-Iranian cargo, fuelling concerns over energy supply disruptions. Brent crude oil prices rose sharply, inflation expectations moved higher and market volatility increased.
Money markets now price in two rate hikes by both the ECB and the Fed over the next twelve months. Fed Governor Waller's hawkish remarks, suggesting further tightening could be needed if core inflation remains elevated, reinforced the move. Sovereign yields rose across the US and euro area, with yield curves flattening.
European equities were mixed, while US and Asian indices declined, led by semiconductor stocks. In FX markets, the dollar strengthened against most major currencies and particularly the yen after reports that Japan's Finance Ministry has no plans to alter public pension fund allocations in a way that could trigger significant repatriation flows.