Public Markets 3d Briefing
×Geopolitical Tensions Shake Markets
Oil prices bloomberg.com surged for a second day as the US and Israel intensified their war against Iran, with the conflict's impact on Persian Gulf energy assets deepening. US oil futures climbed as much as 4.4%, while Brent crude reached a four-month high. The escalating conflict has disrupted global energy supplies, with Norway's Norsk Hydro shutting down wsj.com its Qatari aluminum smelter after its joint-venture partner halted gas supplies amid Iranian attacks.
Private Markets Under Pressure
Blackstone wsj.com faced record outflows of $1.7 billion in its $82 billion private credit fund during the latest quarter, highlighting growing concerns in the sector. Meanwhile, Apollo CEO Mike Arougheti bloomberg.com dismissed UBS's forecast of 15% private credit default rates as "absolutely wrong," while Apollo CEO Marc Rowan bloomberg.com warned of a "shakeout" in private markets that could last beyond the short term. The private credit market faces mounting pressure from investor redemptions and fears of AI disruption to software companies, with Blue Owl ft.com sliding below its listing price.
Public Market Volatility
Canadian stocks bloomberg.com fell most since April's tariff-fueled rout as the Middle East conflict unnerved investors, who exited even traditional safe havens like gold. The S&P 500 ended the week lower wsj.com, while gold prices extended losses wsj.com as the stronger dollar and inflation concerns weighed on sentiment. The UK's FTSE 100 slipped investing.com as Chancellor Reeves downgraded the 2026 growth forecast amid market turmoil.
Technology and Innovation
Colgate-Palmolive wsj.com is turning to AI evangelist Iraklis "Kli" Pappas to drive employees toward using artificial intelligence for more than just polishing emails. Meanwhile, Chrome finance.yahoo.com accelerated its release schedule amid new competition, while MiniMax investing.com surged following strong AI revenue growth in its first results since its Hong Kong IPO.
Real Estate and Infrastructure
Two Canadian real estate funds bloomberg.com halted redemptions as they consider going public, while UAE aluminum maker Emirates Global Aluminum bloomberg.com looks to overseas stocks to avoid delivery delays caused by the Iran conflict. The UK is mulling revival bloomberg.com of switch auctions to boost gilt liquidity, as market turmoil continues to roil fixed-income markets.
Healthcare and Pharmaceuticals
Medline's private equity backers bloomberg.com began a stake sale worth $3.4 billion, capitalizing on a rally in the medical supplier's stock since its debut. Novo Nordisk invested €432 million bloomberg.com to upgrade an Irish factory for producing Wegovy weight-loss pills for markets outside the US.
Energy and Commodities
Iraq bloomberg.com started shutting oil production at its largest fields, making deeper reductions as the Hormuz blockage filled storage. OPEC+ agreed to resume bloomberg.com oil output increases at an accelerated pace as the US-Israeli conflict threatened to bolster crude prices. Meanwhile, Russia bloomberg.com positioned itself to boost oil income as the war disrupted Hormuz shipping routes.
Financial Services
Goldman Sachs private credit chief bloomberg.com called limits on fund withdrawals "features, not bugs" as the $1.8 trillion market faces increasing pressure. Wells Fargo leveraged AI bloomberg.com to improve productivity and empower its workforce, while JPMorgan and Wells Fargo committed $1 billion bloomberg.com in debt to support the management buyout of hospital operator Select Medical.
Emerging Markets and Global Trade
Canada bloomberg.com committed $2.6 billion to boost critical minerals projects, while Argentina bloomberg.com expanded incentives to attract shale oil investors. The Democratic Republic of Congo's main copper export route reopened bloomberg.com after heavy rains damaged a bridge, easing supply concerns for the world's second-largest producer.
Market Sentiment and Strategy
Soros Fund Management CIO Dawn Fitzpatrick bloomberg.com warned investors face a "painful" 18 to 24 months as markets grapple with geopolitical risks and AI disruption threats. Meanwhile, HSBC investing.com upgraded Block citing a "material increase in earnings power," while Jefferies investing.com forecast a 31% fall in 2026 global smartphone shipments amid AI-related risks.
Regulatory and Policy Developments
The SEC pushed back bloomberg.com against a new wave of high-leverage ETF plans, using a rare group call to renew its opposition to increasingly aggressive fund structures. The UK lifted sanctions ft.com on British accountant John Michael Ormerod, who was previously added to sanctions lists as part of efforts to disrupt Russia's shadow fleet of vessels.