📊 Market Summary
- Nasdaq: 19,662.49 (+0.24%)
- S&P 500: 6,045.26 (+0.38%)
- Dow Jones: 42,967.62 (+0.24%)
- KRW/USD Exchange Rate: 1,356.40 won (–1.03%)
U.S. stocks posted modest gains, recovering from a weak session the day before. With the PPI report in focus and optimism over easing trade tensions and softening inflation, investor sentiment improved.
📰 Major News & Key Issues
1. 🧾 May PPI Report Signals Easing Price Pressure
The May Producer Price Index rose just +0.1%, coming in slightly below expectations, with core PPI also showing modest gains. This is being interpreted as a sign that inflationary pressures are easing, increasing expectations for a Fed rate cut in the coming months.
2. 🤝 Progress in U.S.-China Trade Talks
High-level trade discussions in London between the U.S. and China reportedly moved closer to a tentative agreement on implementation mechanisms, which is fueling optimism in global markets.
3. 💹 Oracle Surges 13% on AI Cloud Momentum
Oracle posted stronger-than-expected quarterly earnings, particularly in its AI and cloud computing business segments, sending shares up by 13%. The rally provided fresh momentum for broader AI-focused stocks.
4. 📉 Bond Yields and Dollar Decline
The 10-year Treasury yield fell below 4.4%, while the dollar index dropped to a two-year low. The moves reflect growing hopes for easing inflation and diminishing trade risks.
5. 🛫 Geopolitical Risks Still Hover
Despite optimism, Trump’s renewed tariff threats and ongoing Middle East tensions keep geopolitical risks high. The VIX and other fear gauges remain elevated, reflecting investor caution.
🔭 Upcoming Events & Key Watchpoints
- June 13 (Fri): Preliminary University of Michigan Consumer Sentiment Index
- June 17–18: FOMC Meeting (key for rate guidance)
- Mid-June: Expected updates on U.S.-China trade progress
- Ongoing: Geopolitical risk monitoring (Mideast tensions, tariffs)
💡 Conclusion & Investment Strategy
📌 Conclusion
Signs of easing inflation and hope for trade détente boosted investor sentiment. AI and cloud names led gains, though geopolitical and tariff concerns continue to cap upside potential.
📌 Strategy Recommendations
- Focus on AI/Cloud Growth Stocks: Add exposure to leaders like Oracle, Microsoft, Nvidia
- Balance with Safe Havens: Consider TIPS, gold, and other defensive assets
- Diversify Globally: Combine cyclicals and defensives for balance
- Use Phased Entries Before Key Events: Buy in stages ahead of PPI, Fed meetings
- Hedge Geopolitical Risks: Use commodities and multi-currency assets for risk protection
📝 Final Thoughts
Markets showed a cautious but constructive rebound today. As signs point toward cooling inflation and potential progress on trade, optimism is rising—but not without risks. With tariffs and geopolitical tensions still looming, flexibility and diversification are essential. Long-term investors should stay grounded, react strategically to near-term volatility, and focus on structural growth trends like AI and digital infrastructure.