• Geopolitical tensions are escalating as President Donald Trump reported that the US will not permit any uranium enrichment under a future nuclear deal with Iran, contrary to reports of a US proposal to allow limited enrichment. Trump also threatened potential military action in case talks collapse, although he recently deemed a strike “inappropriate” amid nearness to a resolution.

• Global trade tensions continue to be the dominant market sentiment in the meantime. US stock futures declined following renewed trade tensions with China and the EU. China reacted to Trump’s charges of breach of the trade deal, and the EU pushed back against his doubling of steel and aluminum tariffs, continuing uncertainty even as US stocks had a bullish May. The legal battle about the legality of Trump’s tariffs continues. Taiwan’s TSMC, one of the top chipmakers, conceded that US tariffs are indirectly hitting the company, though demand for AI chips remained robust.

• In other news, dealers of Chinese automakers are appealing to manufacturers to curb disproportionate shipments of cars, flagging aggressive price wars and pressure on profitability, a call which follows official warnings against the bruising competition. At the opposite end of the spectrum, Singaporean online brokerage Tiger Securities is doubling the Hong Kong staff as it aims for a greater share of growing offshore Chinese wealth. Earnings season for S&P 500 companies is wrapping up, with several significant reports this week.