Financial Markets Daily Report18 junio 2026
The Fed decided to keep rates steady in its first meeting with Kevin Warsh as chair, opening the possibility of future rate hikes later this year. Investor mood soured on the hawkish bias, with US treasury yields rising significantly, especially in the short term, after retail sales numbers in May showed a stronger-than-expected economy.
In currency markets, the US dollar strengthened, especially against the euro, leaving the EUR/USD cross at 1.15. The Fed’s hawkish shift also drove equities down, while in the euro area stock indices advanced, led by the Spanish IBEX-35. Asian indices also advanced, albeit more modestly overall.
With no major news from the Middle East, markets showed a mixed tone, as investors focused on macro releases and the respective central banks meetings to assess the future path of interest rates. Energy prices ticked up on the day the 14 points of the agreement between the US and Iran were published, and market implied volatility rose sharply.