Shares of gold-backed lenders such as Manappuram Finance and Muthoot Finance fell nearly 3% after gold prices slid as expectations of US Federal Reserve rate hikes lifted the dollar index to a more than one-year high. International spot gold dropped below $4,000 per ounce, while MCX gold futures logged a two-day fall of more than Rs 5,800 per 10 grams. The decline in bullion prices reduces the value of pledged collateral, which can constrain loan disbursements and weigh on asset quality for gold-loan companies.

Shares of India’s metal producers including Vedanta, NALCO and Hindustan Zinc fell as much as 3% in a single session as metal prices slid on the London Metal Exchange. Silver has dropped as much as 14% this week to a seven-month low, while aluminium fell to a three-month low and copper and zinc hit multi-month lows. The moves were attributed to a stronger dollar, fading Middle East risk premium linked to U.S.-Iran talks, and rising expectations of a Federal Reserve rate hike later this year.

Brent crude fell to $72.40 a barrel on June 25, down 42% from its April 30 peak of $126 and back to levels seen before the Iran war began on February 28. The U.S. energy secretary said flows through the Strait of Hormuz reached at least 20 million barrels in the past 24 hours, with traffic largely restored. The drop in oil prices eased pressure on airline fuel costs, sending IndiGo and SpiceJet up 3.5% to 4% in a single session.

Micron Technology jumped about 15% after the market close after its quarterly sales forecast beat Wall Street estimates, signaling sustained AI-driven demand for high-bandwidth memory and data-center chips. The strength in US futures helped lift Asian equities, with South Korea’s Kospi up nearly 5% in early trading and the MSCI Asia Pacific Index up more than 1%. SK Hynix also said it plans a US listing and is seeking about $29 billion in the offering.

The Reserve Bank of India revised how banks calculate and report foreign-exchange exposure by ending separate onshore and offshore net open position calculations. Banks may include accumulated surpluses from overseas operations in their net open position, while forex risk capital charges must be held against the actual net open position. The RBI also clarified that eligible structural foreign-currency investments, such as capital investments and certain unremitted overseas earnings, can be excluded from net open position calculations. Gold positions will be measured separately, a change aimed at internal risk management and capital use rather than altering gold spot or futures market dynamics.

Qualcomm said it will acquire AI startup Modular in an all-stock deal valued at nearly $4 billion to build an AI inference software platform that works across different chips and takes on Nvidia’s CUDA. The company is aiming to strengthen its position in the datacenter AI market and reduce CUDA’s developer lock-in. Modular’s software supports chips from Nvidia, AMD and other vendors, positioning it as a neutral layer for AI deployment. The transaction is expected to close in the second half of 2024.

J.P. Morgan lowered its Brent crude price forecasts for 2026, projecting $86 a barrel in Q3 and $80 in Q4, with an end-2026 level of $78. The bank cited smaller-than-expected draws in OECD commercial inventories and a larger-than-expected decline in oil demand. It also said private operators have largely avoided drawing down stocks, leaving refineries reliant on releases from the U.S. Strategic Petroleum Reserve (SPR). The report expects a sizable oversupply in 4Q26 through 1H27 that could force production curbs in early 2027.

Australian shares rose slightly after May core inflation came in hotter than expected, reinforcing expectations that the RBA could tighten policy further. The S&P/ASX 200 added 0.2%, with technology stocks rebounding 5.2% even as U.S. semiconductor leaders such as Micron had fallen more than 13% in the prior session. In the U.S., S&P 500 moves were mixed as financials and healthcare gained while semiconductors lagged. Gold failed to draw support in the absence of a clear flight-to-safety bid or signs of a turning point in real yields.

U.S. stocks ended lower on Tuesday, with the Nasdaq and the S&P 500 closing at one-week lows as semiconductor shares sold off. The Philadelphia SE Semiconductor index and the S&P 500 information technology sector both declined, while Nvidia, AMD, Intel and Marvell weakened. Investors questioned whether debt-funded AI capital spending is sustainable and grew more cautious about the Fed potentially hiking rates again in December, pushing volatility to a one-week high.