Worries about the war with Iran sent oil prices back to $100 per barrel and stocks sinking worldwide. The S&P 500 fell 1.5% Thursday and returned to big swings following a couple days of relative calm. The Dow Jones Industrial Average dropped 1.6%, and the Nasdaq composite sank 1.8%. The center of action was again the oil market, where the price of a barrel of Brent crude got as high as $101.59. Treasury yields climbed in the bond market on worries about higher inflation and fewer cuts to interest rates by the Federal Reserve.
A heat wave has gripped parts of Europe, with temperatures reaching 43 degrees Celsius in southern France. This extreme heat has increased the risk of wildfires, particularly in regions like Hungary and Bulgaria. Fires also caused fresh evacuations in Turkey's northwest. On Monday, France placed 12 departments on red alert, its highest heat warning. Social media images showed empty streets and residents trying to stay cool. The heat wave, France's second this summer, started Friday and is expected to last all week. Other European countries, including Hungary and the U.K., are also experiencing record-breaking temperatures and issuing warnings.
French President Emmanuel Macron praised his country's ties with Britain on the first day of a state visit. The trip that began on Tuesday mixes royal pageantry with thorny political talks about stopping migrants from crossing the English Channel in small boats. Macron and U.K. Prime Minister Keir Starmer will also try to advance plans for a post-ceasefire security force for Ukraine. Macron addressed Britain's Parliament and said that even though Britain has left the EU, it "cannot stay on the sidelines." Macron's three-day stay is at the invitation of King Charles III. It is a symbol of the U.K. government's desire to reset relations with the bloc after Brexit.
