Public Markets 3 Days

Last updated: May 22, 2026, 5:32 AM ET

Equities & Tech Rally

The S&P 500 extended its winning streak toward its longest run since 2023 as a tech-led advance fueled index futures and pushed the benchmark into unfamiliar territory. Brent crude ticked up to $105 amid the rally, while emerging-market stocks booked a second straight day of gains with the benchmark on track for a weekly advance as AI optimism continued to draw inflows. European equities rebounded across the week, with the FTSE 100 set to rise every trading day, even as strategists warned the case for European stocks would degrade materially unless the Strait of Hormuz reopens soon. In Japan, Lenovo shares neared all-time highs after the PC maker reported its fastest revenue growth in five years, with CEO Yuanqing Yang targeting $100 billion in annual revenue within two years on the back of AI-driven demand. The rally carried into Friday, with copper and other base metals advancing as traders latched onto signs that diplomatic efforts to resolve the U.S.-Iran conflict were gaining traction.

Oil, Energy & Geopolitical Risk

Oil prices rose in early Asian trade as high Middle East tensions kept supply disruption risks elevated, with Brent settling near $105 and global crude stockpiles being drawn down at a record pace according to Goldman Sachs. A first oil tanker to exit the Strait of Hormuz since the war began is set to arrive in Japan, marking a tentative resumption of Persian Gulf shipments, while Iran and Oman are in talks over a Hormuz ship payment system that suggests no imminent resolution. Total Energies is exploring a sale of a 50% stake in some European renewables assets as it seeks a partner for green investments, and the French energy giant is weighing a lawsuit against the Baltic Exchange following the Hormuz closure. On the demand side, Total Energies also flagged a potential drop in staff bonuses for Qatar Airways after tens of thousands of flights were canceled, and the airline posted lower profit as war-related disruptions hit its global schedule. Goldman Sachs warned that crude stockpiles are falling at a record pace, while G7 finance ministers declined to discuss a second emergency oil release, with France saying countries need clarity on the conflict before tapping reserves.

M&A & Corporate Deals

Estée Lauder and Puig terminated merger talks, sending Puig shares down more than 14% in Madrid while Estée Lauder's stock jumped 11.5% in post-market trading. In a separate blockbuster, CVC Capital Partners and Groupe Bruxelles Lambert offered $12.5 billion to take Recordati private, valuing the Italian drugmaker at more than $12 billion in what would be one of the largest healthcare deals this year. The deal aims to delist Recordati from Euronext Milan and support expansion into rare diseases. JPMorgan is in discussions to offload exposure to $4 billion in private-equity-linked loans as PE firms grapple with a prolonged slowdown, while Julius Baer expects first-half profit to be substantially higher despite slowing client activity after a strong start. On the space front, SpaceX postponed the launch of its redesigned Starship, with the company estimating it has spent $15 billion on development, and the Wall Street Journal reported that SpaceX's Starlink unit is generating the bulk of the company's revenue.

Luxury, Retail & Consumer

Richemont beat expectations as strong demand for Cartier jewelry offset weaker sales in the Middle East and Africa, with full-year sales rising more than forecast on pricey bracelets and rings. The Swiss group booked quarterly sales of €5.4 billion, up 13% year on year at constant rates. Elsewhere in consumer, Starbucks faced a backlash in South Korea after offering discounts on May 18, the anniversary of the 1980 Gwangju massacre, prompting public criticism over the marketing misstep. In Britain, retail sales fell as the Middle East conflict hit household spending, while the UK borrowed £24.3 billion in April, more than expected. Australia's Guzman y Gomez scrapped its U.S. expansion plans after Mexican-themed dishes failed to win over local diners.

Currencies & Fixed Income

The Sri Lankan rupee surged to become Asia's best-performing currency, snapping a nine-day losing streak, while India's central bank may need to draw on its 2013 taper tantrum playbook to defend the beleaguered rupee. South Korea's finance ministry and central bank warned the dollar-won exchange rate had become excessive, saying they would take decisive action if needed, and the country plans to trim long-term bond sales in June. The Singapore dollar weakened slightly amid uncertainty over U.S.-Iran talks, and the Philippine peso at 63.50 per dollar was deemed manageable by central bank governor Eli Remolona as long as the decline stays measured. U.S. Treasuries surged on optimism that the U.S. and Iran were nearing a deal, while the 30-year yield hit its highest since 2007 as inflation concerns mounted. Toyota Motor's finance unit sold a ¥100 billion bond with the five-year coupon at its highest since 1999, and Renault priced its second-largest Samurai bond offering ever as investors chased higher-yielding assets. Aflac joined the rush into Japan's yen bond market with a ¥65.9 billion sale.

China & AI

China imposed new export controls on chemical ingredients shipped to the U.S., Mexico and Canada in a further sign of cooperation with Washington on fentanyl crackdowns. Chinese regulators are scrutinizing companies and funds after AI-fueled stock moves, asking some listed firms for more detail on their AI strategies, while the National Team is expected to cut ETF holdings by about 90% by mid-year. DeepSeek's senior management told potential investors it will prioritize AGI research over short-term commercial returns as the startup advances a $10 billion funding round. On the short-selling front, Fahmi Quadir, dubbed "The Assassin," is shifting strategy to go long Korean stocks after years of betting against overvalued names. Carson Block warned of an AI-created financial crisis, while SoftBank insiders are growing uneasy over founder Masayoshi Son's $60 billion bet on OpenAI.