📌 Global Market Overview | Thursday, May 21, 2026 Markets stayed in risk-on mode as optimism around U.S.–Iran negotiations improved sentiment. Reports of progress toward a draft agreement and safer shipping through the Persian Gulf pushed U.S. equities higher, sent the Dow Jones to a new all-time high, and pulled oil lower. Falling oil eased inflation fears, reducing pressure on Treasury yields and the dollar. Still, markets remain cautious, as unresolved disputes over uranium enrichment and Iran’s nuclear stockpiles show the path to a final agreement remains fragile. Economic data was mixed. U.S. services PMI slowed to 50.9, while manufacturing PMI rose to 55.3. Jobless claims held steady at 209K, and housing data beat forecasts, but the Philadelphia Fed index slipped back into contraction. 🌍 Key Headlines 🔹 Fed officials stayed cautious. Barkin said policy is well-positioned, while Goolsbee warned inflation remains a major issue. 🔹 Europe weakened. Eurozone, German, and French PMI data softened, reinforcing stagflation concerns. 🔹 UK services PMI fell to 47.9, entering contraction, while industrial orders hit their weakest level since 2020. 🔹 Japan’s exports beat expectations (+14.8%), but softer PMI data suggests fragile momentum. 🔹 Australia’s unemployment rose to 4.5%, boosting expectations the RBA may pause tightening. 📊 Market Snapshot 🟡 $XAU Gold: $4,542 (-0.03%) 📈 $NDX Nasdaq: +0.62% 📈 $SPX S&P 500: +0.46% 📈 $DJI Dow Jones: +0.70% (ATH) 🛢 $WTI Oil: -1.06% 💵 $DXY Dollar Index: +0.08% ₿ $BTC Bitcoin: +0.18% 10Y Treasury Yield: 4.57% 🧭 Bottom Line Markets are balancing optimism from lower oil and diplomacy against sticky inflation and central bank caution. If oil keeps falling and negotiations improve, risk assets may extend gains—but inflation and Fed policy remain the biggest threats. 📅 Tomorrow’s Focus Japan inflation, UK retail sales, German data, Canadian retail sales, U.S. consumer sentiment, and Fed Governor Waller’s speech.