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(1) Trade sources revealed that Kuwait Oil Company sold 2 million barrels of Kuwait Export Blend crude oil via tender to Indian end-users, with July delivery and delivered onboard. The specific price was not disclosed. (2) This move reflects the recent surge in crude oil sales by Gulf-producing nations. Previously, the US and Iran reached an interim agreement to end hostilities and reopen the Strait of Hormuz, significantly alleviating supply disruption risks. Oil-producing countries are now actively pushing for stranded port inventories to return to the market. (3) Kuwait's increased sales are directly related to the improved transit conditions in the Strait of Hormuz. With navigation restored, previously cargoes delayed by logistical bottlenecks are being released more quickly, potentially exerting extra supply pressure on the spot market in the short term. (4) The batch of cargo heading to India, a traditional demand center, reflects Asian buyers replenishing inventories following a decline in oil prices. However, with more Gulf cargoes entering the market, the spot discount may face further widening pressure. (5) Oil-producing countries like Kuwait are proactively increasing supply, combined with new uncertainties brought by the International Maritime Organization's suspension of evacuation operations in the Strait. The short-term crude oil market supply and demand dynamics are becoming more complex. Follow-up is needed to monitor whether other Gulf-producing nations will also ramp up sales.

As of the week ended June 24, global equity funds saw net inflows of only $7.51 billion—a sharp drop of about 86% from $55.53 billion the previous week. Risk appetite cooled dramatically, mainly due to market concerns over debt-driven expansion of technology spending, while the Federal Reserve's hawkish stance continued to weigh on sentiment.Technology sector funds experienced a single-week net outflow of $17.83 billion, almost completely reversing the $21.5 billion net inflow from the prior week. Large tech companies such as SpaceX continuously entered the bond market for financing, raising investor caution towards the industry's increasing reliance on borrowing amid the investment boom.The May PCE year-on-year rose to 4.1%, marking the highest since April 2023 and strengthening market expectations that the Federal Reserve could raise rates by 25 basis points within the year. U.S. equity funds registered a net outflow of $3.53 billion for the week, while inflows into European and Asian equity funds fell notably from $11.71 billion and $3.82 billion in the previous week.Bond funds saw net inflows for the twelfth consecutive week, increasing by $10.85 billion during the week. Hard currency bond funds, short-term bond funds, and U.S. dollar-denominated medium-term bond funds attracted $3.1 billion, $2.42 billion, and $1.87 billion respectively, indicating continued pursuit of a balance between yield and safety.Money market funds suffered net outflows of $42.8 billion, the largest single-week redemption since April 15. Gold and other precious metal funds recorded net outflows for the sixth consecutive week, with $545 million net sold during the week, and energy funds ended their previous two-week inflow streak.Emerging market equity funds experienced net selling for the ninth consecutive week, with net outflows of $3.39 billion, but bond funds managed a net inflow of $13.2 million—the first in three weeks. The differentiated allocation patterns of capital across asset classes became increasingly apparent.

The rapid rise in U.S. Treasury yields has become one of the biggest headwinds for gold. Stronger-than-expected economic data is driving long-term yields higher, significantly increasing the opportunity cost of holding non-interest-bearing assets. Historical experience shows that climbing real yields have always been one of the strongest leading indicators of weakening gold prices.The U.S. Dollar Index is rebounding, supported by both safe-haven inflows and rising expectations of interest rate hikes. Dollar-denominated gold becomes more expensive for international buyers, suppressing global demand. Unless the dollar weakens again, strong upward momentum in gold prices is unlikely to be regained in the short term.Market expectations for a Federal Reserve rate cut have been sharply revised downward, further diminishing gold's appeal. Persistent inflation stickiness and robust labor data have forced investors to postpone the timeline for monetary easing. Decision-makers are signaling higher rates for longer, boosting the relative returns of cash and fixed-income assets.From 2025 to early 2026, gold prices surged by more than 70% due to geopolitical risks, central bank purchases, and safe-haven demand. Such rapid gains inevitably trigger large-scale profit-taking, with institutions and hedge funds locking in returns as the rally weakens. In a long-term commodity bull market, corrections of 15% to 30% are part of a normal position rebalancing process.Continued outflows from gold ETFs reflect a clear cooling in safe-haven demand. As the weighting of geopolitical tensions in financial market pricing decreases, some capital is flowing from gold to risk assets. Although the long-term trend of central bank accumulation remains unchanged, weaker short-term investment inflows are intensifying the scale and speed of price declines.Volatility in global tech stocks is amplifying gold’s downside. When stock market declines prompt portfolio rebalancing, previously accumulated and highly profitable gold positions often become the first to be liquidated. This liquidity-driven selling further reinforces gold's negative feedback cycle.