The European Central Bank kept interest rates unchanged and maintained a neutral stance. Christine Lagarde, President of the European Central Bank, stated that the ECB does not focus on the exchange rate and does not have a direct target for it. She emphasized that the inflation path is assessed as stable, and forecasts indicate that inflation will gradually move toward the 2 percent target over the medium term. Lagarde also noted that wage indicators suggest easing wage pressures and that inflation conditions are at an appropriate level.

Macklem, Governor of the Bank of Canada, responded to a question about the BOC’s economic forecasts by saying that they cannot follow every threat made by President Trump, otherwise they would just go around in circles. Macklem also warned that rebuilding the economy and increasing productivity could take years. Structural changes required for the transition to a new economy may be painful, and Canada must accept these changes to avoid the worst-case scenario. He also noted that artificial intelligence has the potential to deliver economic growth without inflation, but so far there is little evidence of its impact on productivity.

The Dow Jones Industrial Average crossed the 50,000 point threshold for the first time and closed on Friday at 50,115 points. This 2.5 percent increase was mainly driven by optimism about the U.S. economy, lower interest rates, and the strong performance of companies such as Goldman Sachs and Caterpillar. Some analysts predict that if economic expansion continues, the index could reach 70,000 points by the end of the decade.

The first round of direct talks between the United States and Iran after months of tension was held on Friday in Oman. These indirect talks were conducted with Omani mediation. The main topic of the negotiations was Iran’s nuclear program. Iran stated that it is committed to peaceful enrichment but is not willing to completely halt enrichment. Both sides have planned the next round of talks for next week. These negotiations are taking place while the United States continues to apply pressure by deploying naval forces to the region, and Iran has threatened a decisive response to any attack. Iran’s stock market reacted positively, but markets are not very optimistic about the talks.