Public Markets 3 Days

Last updated: May 28, 2026, 5:31 PM ET

Retail Earnings Beat Inflation Headwinds

Burlington Stores lifted its full-year outlook after fiscal first-quarter profit and sales exceeded expectations, joining a string of retailers benefiting from value-conscious shoppers navigating persistent inflation concerns. Costco reported higher third-quarter profit as its membership model continues drawing inflation-weary consumers seeking bulk savings, while American Eagle Outfitters posted 10% revenue growth to $1.2 billion despite declines at its core brand, buoyed entirely by lingerie label Aerie. Hormel Foods achieved its sixth consecutive quarter of organic top-line growth in the fiscal second quarter, signaling progress in its multi-year turnaround strategy. Best Buy logged rising sales and higher profit in the first quarter, driven by strong demand across gaming, computers and mobile devices. Kohl's narrowed its quarterly loss on improved same-store sales, demonstrating early traction in its own restructuring efforts. Bath & Body Works reported lower first-quarter sales as the company works through a strategic overhaul aimed at returning to growth.

Technology Valuations Surge Amid AI Infrastructure Boom

Anthropic topped OpenAI to become the world's most valuable AI startup with a $900 billion valuation following $65 billion in new fundraising, leapfrogging OpenAI's $730 billion mark as both companies compete for frontier model dominance. Dell Technologies raised its fiscal year outlook to $165-169 billion in revenue after sales soared 88%, reflecting enterprise demand for AI-capable infrastructure. Salesforce recorded first-quarter profit of $2.11 billion while pushing its Agentforce AI tools as a growth accelerator, and BCG's CEO Christoph Schweizer pointed to higher revenues and headcount in response to predictions that AI threatens traditional consulting models. IREN Ltd. borrowed approximately $3.6 billion to provide computing capacity to Microsoft, illustrating the capital intensity of AI infrastructure expansion. Pimco warned investors to be cautious with high-yield data center debt, noting that winners and losers are emerging as the market matures.

Financial Markets Eye Iran Resolution

Citadel Securities' Scott Rubner argued the pain trade in US equities points higher as investors may be underestimating chances of a "timely" reopening of the Strait of Hormuz triggering broad relief rallies. The dollar fell against all major peers after reports that the US and Iran reached an agreement to extend the ceasefire, pending President Trump's approval, while gold rose on easing rate hike bets as the tentative deal reduced inflation concerns. However, Treasuries resumed their decline as renewed US-Iran clashes pushed oil higher and fueled inflation fears, reversing earlier gains from optimism around diplomatic progress. US crude-oil stockpiles posted a fifth straight weekly drop, falling 3.3 million barrels, as the market processes supply disruptions from Middle East tensions.

Regulatory Scrutiny Intensifies Across Sectors

The Federal Trade Commission launched an antitrust investigation into rising fertilizer costs, with Chair Ferguson announcing the probe at an event in Texas. ABC complied with FCC license renewal orders for eight local broadcast stations while calling the agency's demands unconstitutional in a dispute over editorial oversight. A federal court ordered the customs chief to address tariff refund compliance, signaling new concerns about the Trump administration's efforts to repay $166 billion in illegally imposed tariffs. Jefferies Financial Group faces an investor class action lawsuit over bond purchases made by its 352 Capital fund in a water vending machine firm that federal prosecutors labeled fraudulent. The Winklevoss twins' crypto firm jointly filed to overturn their CFTC settlement, seeking to reverse a regulatory win against the company.

Corporate Governance Shakeup Continues

Clorox CEO Linda Rendle will step down for health reasons after more than two decades at the consumer goods company, marking another leadership transition amid industry challenges. Tyson Foods turned to board member Jeff Schomburger to succeed Donnie King as chief executive, as the meatpacking giant continues its operational turnaround. BP fired its chairman in a sudden move that raises questions about board personnel decisions, continuing a long history of management turmoil at the UK oil giant. Charlie Shamieh will inherit Berkshire Hathaway's insurance business when Ajit Jain retires, positioning the 59-year-old as heir to the conglomerate's insurance juggernaut.

Capital Markets Evolution Accelerates

Canadian online brokerages Wealthsimple and Questrade will offer pre-IPO access to investors as startup funding rounds intensify, joining a wave of platforms democratizing private market exposure. Kalshi Inc. launched a political power index tracking shifting Republican-Democrat dynamics, marking its first product beyond popular event contracts. Bridgepoint Group is raising €5 billion for a European direct lending fund, targeting financing opportunities as traditional deal flow slows. BCI expanded into private equity fund financing amid a prolonged deal slump, creating dedicated teams to support buyout firms seeking alternative capital sources. KKR's Scott Nuttall said trading private credit is likely to happen, following early moves by Apollo Global Management to create secondary markets for illiquid assets.

International Developments Shape Market Outlook

Mubadala Investment Co. seeks to raise $1.91 billion through an unregistered Global Foundries share block sale, as Abu Dhabi's sovereign fund adjusts its semiconductor portfolio. China sold $885 million of green bonds in its Hong Kong debut, a year after entering the international ESG debt market. Nomura Holdings raised profit targets 50% after a record year, as CEO Kentaro Okuda pushes for stable growth. The EU's six largest economies advanced plans for a bloc-wide capital markets union, hoping to spur continental action after years of delay. Bank of Canada officials warned markets face vulnerability to sharp corrections despite functioning well through recent global shocks.