In orbit of new historical high moves its three main indicators Wall Street at the last May meeting, with the investment audience watching the diplomatic thriller between Washington and Tehran. The prospect of a definitive agreement on the release of the crisis in Middle East It depresses oil prices, while removing market fears of a new stagnation shock.
On the dashboard, indicators record mild rise, heading toward another triple record, the third in a row and with S&P 500 locking the impressive 9 consecutive weeks of climb —the largest since December 2023.
In particular, at this time, Dow Jones is strengthened by 0.72% by first surpassing the 51,000-unit milestone, at 51.035, S&P 500 making profits 0.36% at 7.591 units and Nasdaq is recording a 0.36% "breaking" for the first time the 27,000-unit barrier, at 27.015.
May turns out to be an excellent month for Wall Street, as S&P 500 is strengthened overall by nearly 5%, Dow Jones by 2%, while technology Nasdaq stands out with monthly profits of 8%, powered by an unprecedented rally in the artificial intelligence industry.
Analysts' attention is on the terms of the 60-day meeting memorandum (MoU) to extend the truce and remove restrictions on navigation in the Straits of Ormuz. The text of the agreement is reportedly under the final approval of President Donald Trump, with Vice President J.D. Vance confirming that the two sides are negotiating certain details concerning Iran's nuclear programme.
Despite midnight reports of launches of Iranian missiles, markets focus on the diplomatic route. As a result, Brent-type oil retreats by 1.6% to $91-92 a barrel, heading towards its largest monthly drop since the pandemic, while the American slow (WTI) slides to $87. The retreat of energy prices sparked the trigger for a new rally in American bonds (Treasuries), especially after the statements of the President of the Fed of Minneapolis, Neil Kaskari, who reassured investors by noting that it is early to conclude that interest rates should be further increased.
At the heart of business interest is once again the artificial intelligence ecosystem, which has led microchip manufacturers to a 70% astronomical rally since early April.
Dell Technologies currently makes an explosive jump of over 30%, as the company exceeded analyst estimates for the first quarter and upgraded the guideance for annual revenues and profits, seeing strong demand for servers supporting AI applications. The positive news swept up Hewlett Packard Enterprise (+12%) and Super Micro Computer (+7%).
On the other hand, space sector shares are under pressure after the news that Elon Musk's SpaceX reduced its target to $1.8 trillion. AST SpaceMobile retreats by 14% and Rocket Lab by 5%.
Major losses are recorded by clothing companies. Gap subsides vertically 15% after downgrading forecasts for its annual sales, while American Eagle Outfitters loses 11% as she disappointed investors by keeping the guidance unchanged for its comparable sales.
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