Global Markets and U.S. Inflation: A Delicate Balancing Act

On Wednesday, global shares were trading near record highs, while oil prices recovered from a three-session slump as Middle East tensions eased. The recent ceasefire between Israel and Iran contributed to stabilizing market conditions, allowing a focus on U.S. inflation and interest rate prospects.

At a NATO summit, President Trump highlighted the swift resolution of the 12-day conflict with Iran, which he hopes will lead to curbing its nuclear ambitions. Meanwhile, Federal Reserve Chair Jerome Powell is scheduled for Congressional testimony, discussing the implication of moderate inflation and the possibility of future interest rate adjustments.

Benchmark indices such as the S&P 500 and Nasdaq hovered near record levels thanks to gains in tech and communication sectors. In contrast, the Dow dipped slightly. On the global stage, European shares fell, but Asia-Pacific shares gained. Oil futures saw an uptick, with Brent crude and WTI prices increasing.

(With inputs from agencies.)