Public Markets 3 Hours

Last updated: May 29, 2026, 11:31 AM ET

Equities & Investment Flows

US stocks edged higher in early trading as investors weighed tentative signs of a pact to extend the Iran cease-fire against expectations that artificial intelligence spending will drive further corporate gains. Ford Motor Co. shares are poised for their best monthly gain in 17 years, lifted by the automaker's newfound status as a potential AI beneficiary that sparked an investor frenzy. However, BlackRock Inc. is trimming its equity exposure across its $220 billion model-portfolio business as US equities surge to record highs following a strong earnings season, while HSBC's Kettner cited blowout first-quarter results from technology megacaps as providing fundamental support to the rally despite elevated Treasury yields.

Energy & Geopolitical Risk

Oil prices fell amid diplomatic progress between the US and Iran, though the market remains volatile as roughly one-quarter of non-Iranian large tankers trapped in the Persian Gulf have managed to escape in what traders describe as a slow, stealthy trickle. Many of the ships still stranded in the region depend on coverage negotiated at Lloyd's, the centuries-old center of marine insurance where war-risk premiums have spiked. Meanwhile, an investigation revealed aging tankers are ferrying sanctioned oil to China by evading US enforcement through deceptive tactics, keeping supply concerns elevated despite the diplomatic thaw.

Fixed Income & Currencies

Japanese officials confirmed record yen intervention spending of more than $73 billion between April 28 and May 27 to lift its currency relative to the dollar, as the European Central Bank faces pressure to act sooner rather than later on Iran war fallout according to Governing Council member Dimitar Radev. Zambia's bonds jumped after the government launched a cash tender offer to buy back its $1.36 billion bond due in 2053, becoming the latest African nation to repurchase debt amid efforts to reduce servicing costs. In corporate credit, Shutterfly kicked off a $1.875 billion junk deal to refinance its looming debt pile, testing investor appetite for riskier paper.

Policy & Regulatory Moves

The main US derivatives regulator cleared the way for onshore trading of cryptocurrency perpetual futures contracts on registered platforms, bringing to America a popular trading instrument previously accessible only through offshore venues. The Trump administration proposed new USMCA auto rules requiring at least 50% of components and materials to come from American sources, a significant shift from the current pact that lacks US-specific requirements. In tax policy, US companies skirted at least $40 billion in taxes since the beginning of 2025 through schemes using havens including Malta, Bermuda, and Cyprus, while the administration designated Brazil's two largest drug gangs as terrorist groups following through on earlier threats.

Private Markets & Restructuring

Vietnamese leader To Lam warned that military power alone cannot ensure security at a major Asian defense forum, calling for mechanisms to prevent conflicts from spiraling amid ongoing regional tensions. Petra Diamonds Ltd. began restructuring its Finsch mine and is considering job cuts across the company as falling diamond prices and a strong rand erode profitability in the sector.