16.06.2025

US Stock Markets on the Mend Despite Geopolitical Tensions

US Stock Markets Begin the Week in the Green

The US stock markets are expected to start the new trading week in the green after suffering significant losses on Friday. This comes amidst an environment marked by geopolitical tensions, particularly due to the conflict that has erupted between Israel and Iran. Despite this nervousness, there are hopes for a recovery in the markets, as key shipping routes such as the Strait of Hormuz remain open, and the US has so far stayed out of the conflict.

Geopolitical Tensions and Oil Price Developments

The conflict between Israel and Iran has made the markets jittery. A prolonged war could lead to a rise in oil prices, which could further pressure the markets. So far, the oil market has reacted moderately to the tensions, indicating that a full-on ‘Armageddon scenario’ is not yet anticipated. Nevertheless, a longer conflict could drive oil prices above the $80 mark.

Market Expectations and Economic Indicators

The Dow Jones Industrial is expected to be up by about 0.6% an hour before the market opens, while the Nasdaq 100 is anticipated to rise by 0.8%. On Monday, June 17, the Empire State Index for June will be released, projected at -5.0. On Tuesday, June 18, retail sales for May will be reported, expected to decline by -1.2%.

Stock Market Hours and Holidays

The New York Stock Exchange (NYSE) is open on weekdays from 9:30 AM to 4:00 PM local time, which corresponds to 3:30 PM to 10:00 PM in Europe. It is crucial to keep an eye on stock market holidays, as trading is halted on those days. An overview of stock market holidays for 2025 is available online.

Overall, the US stock markets face a challenging week, where geopolitical tensions and economic indicators will influence the markets.