Canada: Canadian stocks experienced a decline driven primarily by a fall in crude oil prices. A report released showed Investor sentiment turned cautious as domestic inflation saw a rise to 2.9 percent in May. This unexpected increase in inflation has led to speculation that the Bank of Canada might consider further interest rate cuts to stabilize the economy. The cautious approach by investors reflects concerns over the potential impact of prolonged inflation on the overall economic outlook.

USA: The Nasdaq index saw gains, fueled by a rebound in Nvidia and other AI-linked stocks. These stocks had previously experienced a selloff, but investor confidence returned, driving their prices up. Market participants are also paying close attention to the comments from Federal Reserve officials. Their insights are eagerly anticipated as they will provide critical guidance on the future trajectory of monetary policy. Investors are keen to understand how the Fed plans to navigate the current economic landscape, especially in light of recent market volatility.

European: European shares declined significantly, largely due to Airbus issuing a profit warning. This announcement had a ripple effect, negatively impacting Airbus’s stock and dragging down other aerospace-related stocks. The profit warning from one of Europe’s largest aerospace companies has raised concerns about broader industry challenges, including supply chain disruptions and commercial risks. Investors reacted by pulling back from aerospace stocks, reflecting apprehension about the sector’s near-term prospects.

Japan: Meanwhile, Japan’s Nikkei index rose, achieving its highest close in over two months. The rise was driven by a strategic shift among investors from semiconductor stocks to value stocks. A weaker yen provided support to export-related shares, making Japanese goods more competitive in international markets. This currency effect, combined with the shift in investment strategy, has bolstered the Nikkei, showcasing a divergence in market movements compared to Western indices.

U.S. Dollar and Gold: The U.S. dollar eased slightly, reflecting a minor shift in currency markets. Despite this, gold prices remained stable, showing little movement.