Oil dips, tech shares retreat as European markets open July
Oil prices continue to ease and tech shares retreat as European markets open the new month, with WTI crude down 0.7% to $69.00 and S&P 500 futures falling 0.2%.
European markets opened the third quarter with a cautious tone as oil prices extended their decline and technology shares retreated, reflecting a shift in risk sentiment at the start of July.
WTI crude fell 0.7% to $69.00, continuing to ease as traders focus on the brighter side of US-Iran developments. Traffic along the Strait of Hormuz has shown healthier signs, though a significant reopening has not yet materialized. Meanwhile, tech shares are falling back after a sluggish June, with S&P 500 futures down 0.2% and Nasdaq futures losing 0.5%. European indices are also feeling the pressure, contributing to a mixed mood across markets.
For currency traders, the move lower in oil prices could weigh on commodity-linked currencies such as the Canadian dollar and Norwegian krone, while the risk-off tilt may support traditional safe havens like the US dollar and Japanese yen. The shift in equity sentiment also highlights the ongoing interplay between geopolitical developments and market dynamics. Check NowPrice's fx page for real-time pricing on oil-sensitive pairs and risk-on/risk-off barometers.
Looking ahead, traders will monitor any further US-Iran headlines and the weekly EIA crude inventory report for additional direction on oil. On the equity side, the focus will be on whether tech shares can stabilize or if the retreat deepens, with key US jobs data later in the week also likely to influence broader market sentiment and currency flows.