Public Markets 8 Hours

Last updated: May 26, 2026, 2:35 PM ET

Markets & Geopolitics

U.S. equity futures rose 0.6% as investors priced in hopes that diplomatic progress on Iran would keep the Strait of Hormuz open, even as two more supertankers departed the Persian Gulf and Israeli strikes intensified in Lebanon. Oil prices dipped on the optimism, while Treasury yields continued climbing as traders priced in a higher real-rate regime that has Treasury Secretary Scott Bessent with limited tools to arrest the selloff. U.S. consumer confidence edged down in May amid widespread price worries tied to the Iran conflict, compounding pressure on sentiment. The Fed faces a risk of falling behind the curve as rising consumer prices become the dominant threat, according to Citadel Securities, which urged a shift toward higher rates.

Energy & Nuclear

A proposed U.S. program to give Cold War-era plutonium to start-ups for nuclear fuel has drawn scrutiny, but shares of Sam Altman-backed reactor firm Oklo jumped after it said it is in talks to participate in the same initiative. Meanwhile, natural gas futures rose as producers cut output over the holiday weekend and more domestic supplies flowed to LNG export terminals on the Gulf Coast. In Europe, the ECB signaled it will do everything in its power to tame inflation, while private-credit fueled AI investment is itself flagged as a risk to financial stability. Russian crude loading resumed at the key Black Sea export terminal after a Ukrainian drone attack, according to satellite data.

Deals & IPOs

Webster Financial shareholders approved a $12 billion takeover by Banco Santander, clearing the final hurdle for the deal. Eli Lilly agreed to spend up to $4 billion acquiring three vaccine developers targeting shingles, Epstein-Barr virus, and other pathogens. Warner Bros. Discovery boosted a loan sale for a second time to fully replace $15 billion of short-term financing. The Roundhill Memory ETF surged 87% in 50 days to become the fastest fund to reach a $10 billion valuation, riding AI-driven demand for memory chips. Applied Aerospace & Defense sought $682.5 million in an IPO backed by Greenbriar Equity, while Safepoint Holdings targeted $283.3 million for its underwriter debut.

Corporate Governance & AI

BP ousted chairman Albert Manifold over "serious concerns" about governance and conduct, just months into the role. The move sparked investor unease but analysts said it was preferable to tolerating excessive executive control. A UK law firm faced a court reprimand for an AI-generated legal error, as a judge warned against outsourcing reasoning to software. A Stanford-led study found AI hiring tools produce clear racial disparities, with candidates failing algorithmic screens facing systemic rejection across firms. Crypto exchange OKX linked employee evaluations to AI proficiency, and hedge funds are pivoting from software into semiconductors.

Sports & Culture

MSG Sports shares hit a record after the New York Knicks advanced to the NBA Finals for the first time in nearly three decades. In Spain, Jonathan Andic stepped down temporarily from Mango amid a probe into his billionaire father's fatal fall. Groupon announced nearly a quarter of its workforce would be cut as it restructures toward an AI-native model.

Climate & Weather

A spring heat wave broke records across the U.K., Spain, and France, with authorities warning of unprecedented temperatures that climate scientists attribute to more frequent and intense heat events. Scientists are reconsidering a worst-case warming scenario, raising questions about whether some climate risks have been overstated. Kenya plans $772 million in green bonds to boost agricultural output and climate resilience.