Here are the top stories from global financial media overnight and this morning.
1. Fed Governor Cook Retains Position as Supreme Court Leaves Door Ajar for Trump
The U.S. Supreme Court, in a 5-4 decision, has reinforced the Federal Reserve's independence from the White House, ruling that a president cannot remove a central bank governor without cause.
On the same day, the Court also overturned a 91-year-old legal precedent in a separate ruling, expanding presidential authority to dismiss other senior federal agency officials.
The Court's decision allows Lisa Cook to remain in her role while former President Trump sought to remove her over allegations related to mortgage fraud. Chief Justice John Roberts, writing for the majority, stated that the Fed's long-standing tradition of independence in monetary policy is a cornerstone of the American system.
Roberts, joined by Justice Brett Kavanaugh and the Court's three liberal justices, noted that "Congress had good reason to limit the president’s power to remove a Federal Reserve governor."
2. Iran States No Plans for Doha Meeting with U.S., Reaffirms Control Over Strait of Hormuz
A senior Iranian official has reiterated Tehran's determination to maintain control over maritime traffic through the Strait of Hormuz, increasing pressure in ongoing negotiations aimed at permanently ending the conflict.
Iran's Deputy Foreign Minister, Kazem Gharibabadi, stated in an interview with Iranian state television that Iran hopes to reach an agreement with Oman, which controls the other side of the strait, to jointly monitor vessels. However, if "Oman is unwilling to do so for any reason," Iran will proceed with its own plans to control passage.
"We have warned Oman that other countries have no right to interfere in this matter," Gharibabadi said, adding that Iran would designate any temporary transit routes within the strait.
The remarks underscore Iran's stance that it does not intend to return to the pre-conflict status quo. A temporary peace agreement signed earlier this month stipulates a 60-day period without tolls but does not rule out the possibility of future fees for vessels.
3. SpaceX Drives U.S. Equity Issuance to Record $251 Billion in First Half
Wall Street bankers are optimistic following record issuance activity from SpaceX and Alphabet, fueling expectations for deal flow in the second half of 2026.
Compiled data shows that, excluding special purpose acquisition companies and other investment vehicles, total U.S. IPO and follow-on equity issuance reached a record $251 billion as of June 26, surpassing the previous first-half high set during the 2021 boom.
More deals are on the horizon, including ongoing IPOs in the coming weeks and a potential mega-follow-on offering from Anthropic PBC as early as October. Momentum is also expected to continue in other forms of financing like convertible bonds, as so-called hyperscale cloud providers seek investor capital to fund data centers and other AI infrastructure.
4. Alphabet Rises 4% in Dow Jones Debut
Alphabet shares rose 4% on Monday as the company officially joined the Dow Jones Industrial Average, replacing Verizon and gaining the symbolic status of a blue-chip stock.
Despite Monday's rebound, pressure remains. Even with the day's gains, Alphabet is on track for its worst monthly performance since February of last year, having closed lower in six of the past seven weeks. This marks a sharp reversal from its strong performance in May, when its market capitalization briefly surpassed Nvidia to become the world's most valuable company after hours.
Alphabet's inclusion in the Dow is seen as more symbolic than substantive. The stock is already a component of the S&P 500 and Nasdaq 100 indices, where most benchmarked assets are held, limiting the passive fund buying typically triggered by such index changes.
5. Citadel Securities Warns of Shifting Market Dynamics, Cites Warsh's Stance as Risk to Assets
Citadel Securities has stated that investors are underestimating Federal Reserve Chair Kevin Warsh's resolve to return inflation to the central bank's 2% target and the potential drag this could have on risk assets.
Nohshad Shah, the firm's Head of EMEA Fixed Income Sales, noted in a client report that the recent decline in oil prices does little to weaken the case for Fed rate hikes, as underlying inflationary pressures remain high.
He also pointed out that the AI-driven stock market rally is becoming more fragile, citing signs such as falling computing power prices, declining AI service spending, and increasing scrutiny over whether returns justify the massive expenditures.
6. U.S. Strategic Petroleum Reserve Drops by 5.5 Million Barrels to Lowest Level Since 1983
Data from the U.S. Department of Energy shows that crude oil inventories in the Strategic Petroleum Reserve (SPR) fell by 5.5 million barrels to 325.7 million barrels, the lowest level since May 1983.
This drawdown is part of a U.S. agreement to release 172 million barrels from the reserve to help fill the global inventory gap following the Iran conflict and assist in lowering fuel prices. U.S. crude inventories have declined rapidly in recent weeks due to strong export demand and refinery activity.
Since the conflict began in late February, total U.S. inventories, including commercial stocks and the SPR, have fallen by 111.4 million barrels to 743.3 million barrels as of June 19, marking the lowest level since 1984.
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