Global Equities Retreat on Trade Tensions
Equity markets saw a sharp pullback, driven by signs of overheating and renewed uncertainty over President Donald Trump’s trade policy positioning. The S&P 500 dropped 2.4% over the week, dragging broader indices lower, with the MSCI Global Index down 2.6%.
Ukrainian equities were mostly under pressure. Shares of Astarta and IMC slid 2.3% and 4.8%, respectively. Kernel stock, however, advanced 3.4% to PLN 18.72 after the company disclosed an independent valuation of PLN 19.45 per share — the price offered to shareholders participating in a sell-out process initiated by a minority investor. While no official squeeze-out has been announced, expectations are growing that a full takeover bid may follow.
In political developments, US President Donald Trump has made clear that he wants a deal to end Russia’s war in Ukraine by August 8. Kyiv and Moscow have held three rounds of talks in Istanbul this year that yielded exchanges of prisoners and bodies, but no breakthrough to defuse the more than three-year conflict.
A crucial question is whether Trump will continue to show an interest in ending Russia’s war against Ukraine in the coming months, or will he walk away, as he and other administration officials have repeatedly suggested he might.
In the U.S., Microsoft briefly crossed the USD 4 trillion market cap threshold following a strong quarterly earnings report, before settling back to USD 3.9 trillion amid the broader market correction. NVIDIA remains the only U.S. company with a market capitalization above USD 4 trillion.
Amazon disappointed investors with its latest earnings release, triggering a 7.2% decline in its share price over the week.
POLITICS AND ECONOMICS
- India Set to Defy Trump on Russian Oil Purchases
- Ukraine’s Public Debt Climbs to USD 185bn, Reaching 92% of GDP
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