Global Markets Revive Risk Appetite: S&P 500 Nears Record High and Energy Prices Fluctuate

The easing of tensions in the Middle East has sparked a broad surge in risk appetite across global markets.

De‑escalation and Mild Oil Price Dip

The reduction in Middle‑East friction pulled U.S. crude oil to around $80, easing inflation concerns modestly.

S&P 500 Nears Record and Trillion‑Dollar Titans

■S&P 500 rose %1.5, edging toward a new record.

■Amazon.com broke history by surpassing $3 trillion in market cap, becoming the fifth company to do so.

■Nvidia, Alphabet, Microsoft, and Apple maintain their top‑four positions.

■Bloomberg Magnificent Seven Index logged its best day since March.

Bond and Treasury Market Volatility

■U.S. Treasury yields receded after last week’s sharp swings.

■Futures indexes opened higher across Europe and the United States.

HSBC’s Quarterly Earnings and Share‑Buyback Initiative

■HSBC beat forecasts with a $2.6 billion “special items” boost to its Q2 profit.

■The bank announced a new share‑buyback programme of up to $1 billion.

Divergent Performance in Asian Markets

■South Korea equities remained volatile amid lingering concerns over AI‑driven trading.

■MSCI Asia‑Pacific index slipped %0.7, with eight of eleven sectors posting losses.

Markets are buoyed by the Middle‑East de‑escalation, yet investors remain cautious, awaiting clearer signals on interest‑rate trajectories and U.S. employment data. Tightening credit conditions and the contraction in SME loan growth may raise liquidity risk for banks, prompting a more prudent stance from central banks. The surge in short‑term external debt and peak foreign‑bond purchases underscore the fragility of global capital flows, a factor that could elevate borrowing costs and dampen growth, especially in emerging economies like Turkey.