Public Markets 3 Hours

Last updated: May 25, 2026, 8:30 AM ET

Forex & Geopolitics

Major currencies rallied against the dollar as optimism over a potential U.S.-Iran peace deal dented demand for the safe-haven greenback. The euro and sterling gained, while the Australian dollar, often seen as a risk proxy, advanced sharply. The moves accelerated after President Trump struck a more cautious tone on the negotiations, with traders interpreting his remarks as a sign diplomatic progress could ease Middle East tensions and reduce oil price risks.

Equities & Sectors

In Asia, energy stocks drew support from climbing oil prices, with Santos and other producers gaining on supply concerns. Conversely, transport shares faced headwinds as Cathay Pacific warned of sustained pressure on premium travel yields, while Bangkok Airways slid on rising jet fuel costs. The divergent moves highlighted sector-specific impacts from the same geopolitical backdrop.

Corporate Finance

Rapid-commerce firm Zepto filed for a June IPO, targeting a $1 billion raise that would value the Indian startup at roughly $5 billion. The deal tests investor appetite for loss-making tech firms after a long dry spell. In Europe, CDP moved to boost its stake in payments group Nexi, topping a recent €9 billion approach from CVC, setting the stage for a potential bidding war for the Milan-listed fintech.

Rates & Credit

The prospect of a September Fed rate cut drove demand for duration, with U.S. Treasury yields slipping and Japanese government bonds extending their rally. Meanwhile, rising energy costs pressured airline bonds as fuel expenses surged, and Chicago's upcoming muni bond sale is being closely watched as a gauge of municipal market resilience amid the volatile rate environment.