Public Markets 24 Hours

Last updated: May 27, 2026, 5:32 AM ET

Global Equities

Equity markets rallied to fresh highs on Tuesday as optimism surrounding U.S.-Iran peace talks outweighed fresh military exchanges, with the S&P 500 closing at a record after Goldman Sachs strategists lifted their year-end target to 8,000 from 7,500, joining Morgan Stanley and Deutsche Bank in forecasting 17% total returns. Technology shares led gains across Europe, where stocks edged closer to pre-war records amid easing oil prices, while in Asia, chipmakers dominated as SK Hynix joined the trillion-dollar club alongside Micron and Nvidia, propelling South Korean equities up 100% year-to-date. Tesla posted 67% sales growth in the EU, signaling recovery from a prolonged slump, and Adani Power contributed to a $200 billion market cap for its parent group as India's heat wave boosted energy demand.

Energy & Commodities

Oil prices retreated 1.3% in early Asian trade after OPEC+ signaled potential output increases, with Brent crude dropping below $70 as investors priced in progress toward reopening the Strait of Hormuz despite ongoing hostilities. European gas markets remained complacent about LNG supply risks despite low winter inventories, according to Rabobank, while a fire erupted at Russia's Tuapse port following Ukrainian drone strikes that underscore supply vulnerabilities. Base metals climbed broadly with copper and aluminum advancing on peace optimism, and SQM boosted lithium guidance as first-quarter profits topped estimates on robust battery storage demand.

Fixed Income & Currencies

Japanese government bonds drew firmer demand at the 40-year auction, exceeding 12-month averages as higher yields attracted investors despite Middle East-driven inflation concerns, while superlong JGB yields rose on expectations that elevated oil prices could pressure inflation higher. Treasury yields fell modestly as markets weighed the prospect of a Hormuz reopening deal, though the ECB warned of sudden repricing risks as investors downplay threats from the Iran conflict. Euro gains face ceiling pressure around $1.1650-$1.1660, ING noted, as Fed rate-rise expectations offset ECB tightening bets, and companies in the U.S. and UK ramped up FX hedging amid war-driven volatility.

Corporate Developments

BP removed Chairman Albert Manifold immediately after board concerns over bullying behavior and governance oversights, marking the latest leadership shakeup that has seen two CEOs and two chairs replaced in three years. Akzo Nobel rejected a €13 billion takeover bid from Nippon Paint and Sherwin-Williams, sending shares up 16% as the company maintained its Axalta merger plan. CVC sold its Naturgy stake for $3.57 billion, following BlackRock's $3.3 billion exit in March, while Webster Financial shareholders approved Banco Santander's $12 billion acquisition. Samsung workers approved a bonus deal worth approximately $340,000 average payouts after union negotiations over AI profit sharing.

Geopolitical Risk & Policy

European growth forecasts darkened considerably as German Chancellor Merz's advisers nearly halved their 2025 outlook to 0.9% from 1.7%, citing Middle East war impacts and U.S. trade policy drag. France maintained its deficit reduction path targeting 5% of GDP this year and below 3% by 2029 despite conflict headwinds, while French consumer confidence plunged to three-year lows in May. The ECB cautioned on market repricing dangers as investors underestimate Iran war risks, and Thailand plans $5 billion in notes and loans to ease living costs while shunning bonds amid surging sovereign yields.

Technology & AI

The memory chip frenzy propelled SK Hynix and Micron above $1 trillion market caps as AI demand reshapes valuations, fueling the Roundhill Memory ETF's 87% surge within 50 days of launch. Capgemini unveiled a strategic plan targeting 5.5%-7.5% compound annual growth through 2028 on agentic AI opportunities, while UBS's Asia Pacific chief warned AI will have ramifications on jobs despite productivity gains. SpaceX nears IPO lift-off with favorable terms for Elon Musk that some governance experts say benefit the founder at shareholder expense, driving rocket and satellite stocks sharply higher.

Regulatory & Legal

The FDA delayed its decision on AstraZeneca's breast cancer drug after an oncology advisory panel voted against recommendation, extending the review period amid regulatory uncertainty. A Stanford study found AI hiring tools create "clear racial disparities" with systematically rejected candidates, while UK law firm Pinsent Masons faced court reprimand over AI research errors. Short seller Andrew Left told jurors no law bars post-research trades in his criminal securities fraud trial, and Ireland's cabinet agreed on legislation to ban trade with Israeli settlements in occupied Palestinian