Stocks fell with bonds as rising oil prices deepened concern about inflation and as investors questioned the longevity of the artificial intelligence trade. MSCI’s Asian share index dropped 1.2%, while US equity-index futures slipped 0.3% on speculation energy costs will stay elevated for longer. European shares were set to drop 1% at the start, while the dollar, the haven of choice since the Middle East war broke out in late February, rose for a fifth day. The inflation concerns weighed on government bonds, with the Treasury two-year yield climbing three basis points to 4.05% and the 10-year yield adding the same amount to 4.51%. Japan’s 10-year yield jumped as much as seven basis points after data showed producer prices in the nation rose at the fastest annual pace since 2023. Brent crude extended gains to more than 1% to trade above $107 per barrel after President Donald Trump said the US doesn’t need to reopen the Strait of Hormuz. Hours later though, he said country wanted the key waterway open. The loss of momentum in equities came after strong corporate earnings and a resilient US economy drove global stocks to successive record highs in recent weeks on bets that spending on AI will fuel profit growth. The rally has also overshadowed mounting concerns that oil above $100 a barrel will reignite inflation, reducing the scope for interest-rate cuts and potentially reviving the risk of further tightening. The absence, so far, of any significant breakthroughs from the bilateral summit between the US and China also weighed on markets. While Trump said he had a great meeting with his Chinese counterpart Xi Jinping, tensions exist over Taiwan. China urged reopening the Strait of Hormuz as soon as possible and called for talks on the Iran war. The US president will end his visit later Friday. Rising bond yields in Japan, the US and the UK are amplifying the sense of caution, Ueno said. “With yields rising globally and no sign of the trend slowing, there are worries about the impact on broader capital flows, including into equity markets,” he added. Elsewhere, the pound dropped for a fifth day after a new challenge to the leadership of UK Prime Minister Keir Starmer. On a positive note, first-quarter S&P 500 profits likely grew about 27% from a year ago, marking a sixth straight quarter of double-digit expansion, according to data compiled by Bloomberg Intelligence. It’s clear that Corporate America has become very skilled at adapting to a wide range of economic environments, according to Clark Bellin at Bellwether Wealth. For investors who missed the opportunity to put new money to work during the war-driven slide in March, he said “it’s not too late.” US After Hours FIG +10.2%, BOOT +9.3%, GLOB +4.5%, AMAT +1.8% higher on earnings; PZZA +8.5% on Reuters M&A report; AARD -17.5% as FDA places full clinical hold on ARD-101.
Nikkei -2.12% Hang Seng -1.59% CSI -0.83% Shanghai -0.65% Shenzen -0.42%
Eur$ 1.1636 CNH 6.8046 CNY 6.8021 JPY 158.62 GBP 1.3346 CHF 0.7860 RUB 73.1286 TRY 45.5440 WTI$ 103.17 +1.98% Gold 4,571 -2.29% BTC 80,452 -1.16% ETH 2,247 -2.22%
S&P -0.64% Nasdaq -1.04% EuroStoxx -1.47% FTSE -0.88% Dax -1.48% SMI -0.62%
Macro :
- AI Cash Buoys Newsom Budget as He Pitches New Software Tax
- Rally in Top Space Stocks Sets Short Sellers Up for Squeeze
Keep an eye on :
- AAPL US : Apple-OpenAI Relationship Frays, Setting Up Possible Legal Fight
Keep an eye on :
- AAPL US : Apple-OpenAI Relationship Frays, Setting Up Possible Legal Fight
- AMAT US : AMAT 3Q Adjusted EPS Forecast Beats Estimates: Snapshot
- BA US : Boeing Falls After Trump Unveils Smaller China Aircraft Order
- COL SM : Colonial SFL Socimi 1Q Recurring Net EU54.8M Vs. EU55M Y/y
- DXCM US : Elliott Takes Dexcom Stake in Bet on Glucose Monitors Market
- DNB NO : DNB Bank Initiates Share Buyback for 1% of Own Shares
- DOV IM : doValue 1Q Net Revenue EU106.7M Vs. EU128.2M Y/y
- DOV IM : doValue 1Q Net Revenue EU106.7M Vs. EU128.2M Y/y
- DKNG US : DraftKings Gets Only Sell Rating on Polymarket, Kalshi Threat
- FNTN GY : Freenet 1Q Ebitda Meets Estimates
- KOSKI FH : Koskisen Reports 1Q EPS of EUR 0.04
- MC FP : LVMH to Sell Marc Jacobs to WHP Global
- NNE US : Nano Nuclear Energy Q2 EPS $(0.18) Beats $(0.20) Estimate
- Open AI : OpenAI May Raise More Money as Compute Crunch Deepens, CFO Says
- OBEL BB : Orange Belgium, DAZN Reach Belgian Football Distribution Deal
- PZZA US : Papa John’s Up on Report Franchisee Joining Irth in Buyout Bid
- RUM US : Rumble 1Q Revenue Misses Estimates
- 005930 KS : Samsung Offers Unconditional Talks, Urges Union to Join Dialogue -- -7.5%
- SFER IM : Ferragamo 1Q Revenue Misses Estimates
- SHOP CN : Joshua Kushner’s Thrive Capital Invests $100 Million in Shopify
- SIE GY : Siemens Sees Mid-Term Revenue Growth of 6% to 9%
- SpaceX IPO : SpaceX IPO set to lock in Elon Musk’s control with Mars-linked pay deal
- STLA US : Stellantis, Dongfeng to Produce Peugeot, Jeep Vehicles in China
- SAX GY : Solid beat on OOH momentum but SaaS/E-Commerce weakness tempers upside… still, we see
- TPRO IM : Technoprobe 1Q Consolidated Revenue EU187.0M
- TSCO LN : Tesco Upgraded to Baa2 by Moody’s, Outlook Stable
- UNI IM : Unipol 1Q Direct Insurance Income EU4.81B Vs. EU4.49B Y/y
- WBD IM : Webuild Reports €3 Billion of New Orders Year to Date