Global equities pulled back last week, led by a rotation out of technology and AI-related stocks. The decline weighed on broader markets, despite some support from lower oil prices. Rates also edged lower as oil fell, while stronger US growth and sticky inflation supported the dollar.

• US and Asia technology stocks led last week’s selloff, with the Nasdaq Composite falling 4.6% and South Korea’s KOSPI down 7.1%. No single catalyst drove the move, but profit taking, higher rates, and concerns about SpaceX’s debt issuance likely contributed.
• Brent crude fell below $75 per barrel, nearly reversing its post-war gains, despite reports that the US and Iran exchanged strikes for the first time since the interim peace agreement. US inflation remained elevated despite lower oil prices. Core PCE rose 0.32% in May, as expected, lifting the year-over-year rate to 3.4%.
• The June flash US composite PMI rose to a five-month high, led by manufacturing, while business activity remained weak in Europe. Input prices stayed elevated but eased from May across regions.
• In the United Kingdom, Keir Starmer resigned as prime minister. Market reaction was muted, with gilt yields edging lower as the move was widely expected.

Sources: Bloomberg Index Services Limited, MSCI Inc., and Thomson Reuters Datastream. MSCI data provided “as is” without any express or implied warranties.
Notes: This edition was prepared on June 28, 2026, and it reviews developments of the prior month. The equity data are total returns net of dividend taxes of MSCI indexes in local currency. Global natural resources equities are represented by the MSCI All Country World Commodity Producers Index. The fixed income data are total returns for Bloomberg indexes. Gold Bullion uses near-month gold futures contracts, as traded on the COMEX, to determine performance. Currency performance is based on Reuters data.