Geopolitical tensions and challenges for the Fed dominate the markets.

Today, investors' attention was drawn to reports of Iran launching at least four kamikaze drones towards ships passing through the strategic Strait of Hormuz. This information, reported by former President Donald Trump on the Truth Social platform, raised concerns about possible disruptions in global oil trade, as the Strait of Hormuz is a key transportation route for this commodity. In response to these events, Oman warned European allies about possible additional fees for ships passing through Hormuz, which could increase maritime transport costs. The United Arab Emirates, on the other hand, calmed the situation by stating that it is currently safe. These events may lead to increased volatility in oil prices and related assets.

On the financial markets, expectations regarding the further monetary policy of the Federal Reserve continue to dominate. The current Fed interest rate is 3.50-3.75%, and the next FOMC meeting is scheduled for the end of July. Available data indicates that 70.1% of market participants expect the current interest rates to be maintained, while 29.9% predict an increase to 3.75-4.00%. An additional factor that may influence the Fed's decisions is the development of artificial intelligence, as mentioned by Neel Kashkari from the Fed, suggesting that it may lead to the necessity of raising interest rates. These speculations are significant as they affect asset valuations and investors' decisions regarding future capital allocations.

Data on inflation from abroad also attracted the attention of investors. The CPI in Tokyo was 1.6%, which was in line with analysts' forecasts and indicates moderate inflationary pressure in the Japanese economy. Although this data pertains to Japan, it is observed by global investors in the context of assessing inflationary trends worldwide, which may influence central bank decisions and sentiment in financial markets.

Tomorrow's sessions may be dominated by further reactions to geopolitical tensions and speculation regarding the Federal Reserve's future actions. Investors will pay attention to any new information regarding monetary policy and the escalation of the situation in the Middle East, which may affect commodity prices and financial assets.