Public Markets 3 Hours

Last updated: May 25, 2026, 2:30 AM ET

Energy & FX

Oil futures dropped toward $70/barrel in Asian trading as advancing U.S.-Iran nuclear talks signaled potential relief for Strait of Hormuz shipments, a move that lifted emerging-market assets and pressured the dollar. The selloff extended to fuel prices in the UK, which analysts estimate have surged 50% since the waterway's blockade began, squeezing consumer spending. While India's rupee climbed on oil-relief hopes, Sri Lanka's currency is set for a broader recovery by year-end as the central bank hikes rates and global crude declines. Meanwhile, Adnoc quietly rerouted oil tankers around Hormuz via its own fleet, circumventing Iranian and U.S. naval patrols to maintain exports.

Fixed Income & Credit

Japanese government bonds underperformed global peers as domestic risk compensation spiked since the Iran conflict began, highlighting homegrown pressures even as oil retreated. In the corporate space, SoftBank launched a ¥260bn retail bond targeting individual investors, mirroring a similar $1.6 billion offering two months prior. Conversely, UK business lending fell to a near-30-year low as tighter regulation and weak growth stifled credit for small firms. In a shift from legacy books, Bank SMBC Indonesia sold 19.9 trillion rupiah in pension loans to BTN, realigning its Indonesian portfolio.

Tech & Policy

The AI rally pushed global momentum stocks to a record, marking their best run in decades despite geopolitical turmoil, while Big Tech accelerated bond issuance to fund AI data center expansions. However, calls grew for stricter oversight of AI firms like Anthropic and SpaceX, with proposals for presidentially-nominated directors. Meanwhile, EU merger policy confusion deepened as conflicting signals from commissioners clouded a promised competition overhaul, unsettling dealmakers.

Corporate Moves

Hong Kong's Jardines struck a $2.4bn Australian radiology deal, its first since a strategic pivot, acquiring I-MED to expand in healthcare. In Italy, state lender CDP plans to raise its Nexi stake to 29.9%, backing the payments group's long-term digital strategy. Separately, fertilizer producers cut output as the Iran war squeezed sulfur supplies, threatening yields in poorer countries reliant on phosphate imports.