Last updated: May 18, 2026, 2:31 AM ET

Public Markets Briefing: Three-Day Overview

Global Bond Market Selloff

Government bonds across major economies extended their slide as escalating Middle East tensions fueled inflation concerns, with the U.S. 30-year Treasury yield climbing to a near-three-year high above 4.8%. Japanese government bonds led the global rout with 10-year yields reaching multi-decade peaks, while Japan's five-year bond auction drew weaker demand than the 12-month average amid heightened price volatility. The deepening bond market turmoil pushed India's stock bulls to reassess rupee strategies as U.S., UK and Japanese yields all climbed to multi-year highs. Analysts suggest bond traders are positioning for a new era of elevated borrowing costs with 30-year yields potentially heading toward a two-decade high above 5%.

Energy & Commodities

Oil prices edged higher after President Trump issued new warnings about Iran, calling into question the tenuous cease-fire in the Middle East, with geopolitical tensions pushing Brent crude to $87 per barrel. The Iran oil disruption forced Chinese refiners to slash output as crude imports plunged to multi-year lows, while U.S. energy exporters benefited from global demand that depleted domestic inventories. Agricultural markets reacted strongly with corn and wheat futures jumping after the White House outlined an additional commitment by China to buy U.S. farm goods beyond soybeans. Meanwhile, copper extended its retreat as inflation concerns tied to the Iran conflict and weaker-than-expected Chinese data weighed on industrial commodities.

Geopolitical Impact on Markets

The Trump administration's Iran policy hit American consumers with a $40 billion fuel bill as extra spending on petrol and diesel exceeded the cost of repairing the country's bridges or rebooting air traffic control systems. Qatar's vital gas exports paralyzed by Iranian attacks have stalled economic pivots intended to anchor the country's growth, creating ripple effects in global energy markets. Mortgage costs jumped sharply in North America and Europe despite central banks keeping rates on hold, reflecting how the Middle East conflict is seeping into housing finance. Investors entered a new week under the spell of the Iran war's key economic consequence: rising global interest rates and the inflation threat they signal.

Technology & AI

Wall Street firms raced to lift price targets on Japan's Kioxia Holdings after the memory-chip maker delivered a stronger-than-expected outlook, while chipmaker CXMT reported an eightfold jump in sales on its path to an IPO, bolstered by robust financials. Anthropic briefed the global financial watchdog on cyber flaws exposed by its new AI model, while tech workers voiced concerns about AI and began organizing for regulatory changes. Samsung Electronics shares jumped after company management entered make-or-break wage negotiations with its labor union aimed at averting a disruptive strike. In utilities, Next Era Energy discussed a $76 per share takeover of Dominion Energy in a deal that would create a $400 billion U.S. utility giant driven by booming demand from AI data centers.

Regional Market Movements

British takeovers surged 250% as global buyers bypassed political flux, with London's M&A advisers on track for their best year in more than a decade. The British pound faced increased bearish bets after Manchester Mayor Andy Burnham secured a pathway to potentially challenge for UK prime minister. In Asia, Korean stocks rebounded from the brink of correction on optimism over progress in Samsung Electronics' labor talks. Vietnam's largest gold retailer prepared for an IPO as the gold market evolves, while Vietnam's largest oil refinery maintained stable operations through June by diversifying crude supply. Indonesia's markets joined the global selloff with the rupiah hitting a record low, stocks sliding, and bond yields surging as trading resumed after a holiday.

M&A & Corporate Activity

Activist investor Elliott built sizable stakes in Bio-Rad Laboratories to boost the firm's underperforming stock price, while also taking positions in German lab-equipment supplier Sartorius. Jim Ratcliffe's Ineos took a €200 million punt on chemical sector peers, telling bondholders the sector is "undervalued." Singapore's Keppel faced the collapse of its S$1.4 billion sale of telecom provider M1 to Tuas after the local regulator suspended its assessment of the deal. Australia's government ordered Chinese investors to sell stakes in rare earths firm Northern Minerals, the second such intervention in two years. In Latin America, a small financial group close to the Trump family plotted a $200 million Venezuela SPAC deal seeking to capitalize on improving commercial conditions.

Specialty Markets

Gulf freight rates jumped significantly as shipping companies turned to trucks to move cargo, with businesses facing thousands of dollars in extra costs while lorries could only carry a fraction of the goods. Crypto exchange OKX reconsidered its