Iran War: European Nations See Inevitable Hormuz Fees | Daybreak Europe 7/3/2026

Summary

Global equities bounce back after a tech-led selloff as a weak US jobs report dents Fed rate hike expectations. Bloomberg reveals European nations now accept that ships will likely pay fees to transit the Strait of Hormuz, while private credit funds face persistent redemption pressures. Aberdeen's head of multi-asset sees opportunities in European stocks and metals like copper, and notes a rotation from momentum to cyclicals.

• US June nonfarm payrolls rise only 57k, well below estimates, causing traders to slash Fed rate hike bets.
• Asian tech stocks rebound sharply, with Samsung and SK hynix recovering from deep losses.
• European nations resign to inevitability of Iran-Oman tolls on Hormuz transit, diverging from US and Gulf Arab stance.
• Iran struggles to find oil buyers despite US sanctions waiver, adding to supply overhang concerns.
• Private credit vehicles continue to see elevated redemption requests, though seen as normalization rather than systemic risk.
• Institutional positioning shift from momentum/TMT into cyclicals, while small caps outperform on AI infrastructure and M&A optimism.
• Aberdeen guest recommends European equities and industrial metals like copper, while keeping medium-term faith in US tech growth story.
• French political jitters mount ahead of Aix-en-Provence conference, with debt servicing costs soaring and no clear presidential successor.