Wednesday, May 6, 2026

The Daily Market Flux - Your Complete Market Rundown (5/6/2026)

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Here is Your Complete Market Rundown (5/6/2026):

Markets Rally on Reports of Imminent U.S.-Iran Deal

U.S. stock futures climbed above 7,300 with the S&P 500 hitting new record highs while oil prices fell sharply after Axios reported the U.S. and Iran are nearing a deal to end hostilities. Bonds rallied and volatility declined on the diplomatic breakthrough hopes.

Oil Prices Plunge 8% on U.S.-Iran Peace Deal Reports

Crude oil tumbled sharply, with WTI falling to $93 per barrel and Brent dropping below $105, after reports emerged that the U.S. and Iran are nearing a framework deal to end hostilities. The decline reversed earlier gains that had pushed WTI above $100.

Company News

Advanced Micro Devices, Inc. (AMD)

Performance Overview

1D Change:  18.64%

5D Change:  25.11%

News Volume:  384

Unusual Volume Factor:  7x

AMD Surges 19% to Record High as AI Data Center Boom Drives Blowout Earnings and Analyst Upgrades

Advanced Micro Devices shares soared to an all-time high, jumping as much as 21% to surpass $420 and pushing the company's market capitalization toward $686 billion. The rally followed first-quarter results that topped estimates, with revenue reaching $10.3 billion—a 38% year-over-year increase—driven by 57% growth in data center revenue. CEO Lisa Su raised the company's second-quarter revenue guidance to approximately $11.2 billion and announced AMD had secured critical AI memory supply, though rising prices may pressure PC and gaming demand. The chipmaker's outlook sparked a wave of analyst upgrades and price target increases across Wall Street. Goldman Sachs upgraded AMD to Buy from Neutral with a $450 price target, citing agentic AI tailwinds. Bernstein upgraded the stock to Outperform, while KeyBanc raised its target to $530, Barclays to $500, and Baird to $625. At least eight major firms boosted their price targets, with analysts highlighting AMD's strengthening position in AI servers and CPUs. Su explained that AI is creating a larger opportunity for server CPUs than previously expected, with AMD now projecting the server CPU market will grow more than 35% annually through 2030 to reach $120 billion. The company's MI325X AI chips are seeing massive demand from hyperscalers, marking what analysts called a fundamental shift in AI purchasing cycles. The earnings beat triggered a broader rally in semiconductor stocks, with Intel gaining 6.6%, Super Micro Computer jumping 14%, and Arista Networks advancing alongside AMD. Some analysts noted parallels to the dot-com era chip stock surge, while others emphasized that AMD's results validate the ongoing AI infrastructure buildout. The stock's 19% gain marked its best post-earnings performance in seven years, with AMD shares up 99% year-to-date. Despite concerns about China GPU sales trajectory—which AMD declined to clarify beyond calling them "not material"—the overwhelming market reaction reflected confidence in the company's AI-driven growth story and execution capabilities.

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Amazon.com, Inc. (AMZN)

Performance Overview

1D Change:  0.53%

5D Change:  4.43%

News Volume:  208

Unusual Volume Factor:  1x

Amazon Shares See Mixed Institutional Activity as Anthropic Strikes Major Computing Deals with Google and SpaceX

Amazon shares experienced mixed institutional trading activity on May 6, with several firms including Chicago Capital LLC, Dupont Capital Management Corp, and Fisher Funds Management reducing holdings, while AE Wealth Management acquired 136,709 shares. Wall Street sentiment remains overwhelmingly positive, with 60 of 65 analysts rating the stock a buy and none recommending sell. The day's major development centered on Anthropic, the AI company backed by Amazon, announcing massive cloud computing commitments totaling approximately $363 billion. The firm committed $200 billion over five years to Google Cloud and $100 billion over a decade to Amazon Web Services, according to reports. In a surprising partnership, Anthropic also signed an agreement with SpaceX to access the Colossus 1 AI supercomputer featuring over 220,000 Nvidia GPUs, with both companies expressing interest in developing orbital AI computing capacity. Analysts raised concerns about cloud earnings sustainability, with one noting that OpenAI and Anthropic account for nearly half of revenue backlogs at major cloud providers including Amazon's AWS. Microsoft and Amazon were characterized as expensive, with earnings described as a "mirage" driven by these AI partnerships dominating 50% of cloud backlog. Amazon CEO Andy Jassy highlighted the company's AI business as comparable to AWS in potential, while the company announced it would open its logistics network to all businesses beyond marketplace sellers. Separately, Jassy sold $8.6 million in company stock. Political pressure emerged as Senator Bernie Sanders criticized Jeff Bezos over his $290 billion wealth and Amazon's automation plans, warning of 600,000 potential job losses. The broader market showed strength in AI infrastructure stocks, with combined Q1 revenue from Amazon, Alphabet, Microsoft and Meta reaching $430.6 billion.

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Nvidia Corporation (NVDA)

Performance Overview

1D Change:  5.75%

5D Change:  -0.75%

Nvidia Strikes $500M Corning Partnership as Competition Intensifies in AI Chip Market

Nvidia announced a major partnership with Corning on May 6, investing $500 million through warrants to purchase up to 18 million shares as part of a long-term deal to expand U.S. optical fiber manufacturing for AI infrastructure. The agreement will enable Corning to increase its U.S. optical connectivity capacity tenfold and fiber capacity by over 50%, with plans to build three new plants in North Carolina and Texas creating more than 3,000 jobs. Corning shares surged over 17% on the news, while Nvidia stock rose 5.5%. The partnership addresses a critical bottleneck in AI data center development, as advanced optical connectivity becomes essential for scaling AI infrastructure beyond GPU capacity alone. Nvidia received both traditional warrants for up to 15 million shares at $180 and pre-funded warrants for up to 3 million shares. Separately, TotalEnergies signed a contract with Nvidia and Dell Technologies to design and install Pangea 5, a next-generation supercomputer that will increase the energy company's computing power sixfold. Additional partnerships emerged throughout the day, including Simulations Plus collaborating with Nvidia on AI-accelerated drug development workflows, and Hut 8 securing a $9.8 billion AI data center lease built to Nvidia specifications. Despite these positive developments, Nvidia faces mounting competitive pressure in the AI processor market. Reports indicate the company's market share is declining as rivals including AMD and major customers develop alternative solutions. Samsung Electronics reached a $1 trillion market valuation driven by AI chip demand, joining an elite group alongside Nvidia. Alphabet's AI subsidiary Anthropic announced plans to spend approximately $200 billion with Google Cloud over five years, while also securing access to SpaceXAI's Colossus 1 supercomputer featuring over 220,000 Nvidia GPUs. Analysts noted Nvidia has lagged behind the broader semiconductor rally, with the stock underperforming peers despite remaining one of the market's largest companies by capitalization. Altimeter Capital CEO Brad Gerstner predicted Nvidia would become the first $10 trillion company, though investor concerns about intensifying competition persist. The company also faces headwinds from export restrictions to China, though management suggested the next quarter may ease those concerns.

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The Walt Disney Company (DIS)

Performance Overview

1D Change:  7.47%

5D Change:  6.6%

Disney Beats Earnings Expectations in New CEO Josh D'Amaro's Debut Quarter on Streaming and Parks Strength

The Walt Disney Company reported second-quarter fiscal 2026 results that exceeded Wall Street expectations, with adjusted earnings per share of $1.57 versus estimates of $1.51 and revenue of $25.17 billion beating forecasts of $24.87 billion. The strong performance marked the first earnings report under new CEO Josh D'Amaro, who outlined a growth strategy focused on three pillars: creative excellence, streaming expansion, and continued investment in theme parks and cruise lines. Entertainment revenue rose 9.7% year-over-year to $11.72 billion, driven by improved streaming profitability and successful film releases including new Avatar and Zootopia movies. The company's streaming business showed accelerating growth momentum, with D'Amaro positioning Disney+ as the company's "digital centerpiece" and identifying reduced subscriber churn as the "single most significant opportunity" for the business. Sports revenue reached $4.61 billion while Experiences revenue totaled $9.49 billion. Despite the overall beat, domestic theme park attendance declined 1% in the quarter, attributed to reduced international travel. However, guest spending at resorts increased, and management indicated no change in consumer behavior due to rising gasoline prices. The company confirmed its Abu Dhabi theme park plans remain unchanged and ruled out any sale or spinoff of its linear TV networks. Disney projected approximately 12% adjusted earnings per share growth for fiscal 2026 and announced plans for increased share buybacks. The company also revealed development of a "super app" as part of its digital strategy. Goldman Sachs raised its price target on Disney shares to $145 from $130 following the results. The stock surged as much as 8% during trading, with analysts praising D'Amaro's strategic vision and the company's ability to navigate economic uncertainty while maintaining momentum across its entertainment and experiences divisions. The results demonstrated resilient consumer spending patterns and positioned Disney for continued growth under its new leadership.

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Earnings Events

Uber Shares Rally on Strong Q1 Earnings Beat and Robust Bookings Growth

Uber reported mixed first-quarter results but exceeded expectations with trips rising 20% and gross bookings jumping 25%, driving sharp stock gains as second-quarter guidance surpassed Wall Street forecasts.

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DoorDash Stock Surges 14% on Earnings Beat and Record Membership Growth

DoorDash shares rallied sharply after reporting first-quarter earnings that exceeded expectations despite missing revenue targets. The delivery platform posted record membership signups and strong customer engagement, while issuing upbeat quarterly order value guidance that offset the revenue shortfall.

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Equinor Q1 Profit Beats Expectations Despite Revenue Miss

Equinor reported first quarter net income of EUR 225 million with adjusted operating income of $2.86 billion, exceeding analyst estimates of $2.64 billion. Revenue of $27.84 billion fell short of the $28.81 billion forecast, though production averaged 2.31 million barrels of oil equivalent per day.

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Albemarle Surges 6% as Lithium Recovery Drives Earnings Beat

Albemarle shares jumped 6% after the lithium producer reported stronger-than-expected quarterly results, driven by rising lithium prices and increased sales volume signaling a market recovery.

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Arm Holdings Surges 13.6% on Record Q4 Revenue Beat

Arm Holdings shares jumped after posting record quarterly revenue that exceeded analyst estimates, with strong earnings results and positive guidance driving the rally in after-hours trading.

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MetLife Q1 Earnings Beat Expectations on Investment Income and Asia Growth

MetLife's first-quarter profit exceeded Wall Street forecasts, driven by higher private equity portfolio gains, strong investment income growth, robust group benefits results, and increased demand in Asia markets.

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Fortinet Surges 18% on Strong Q1 Earnings Beat and Raised Guidance

Fortinet's stock jumped 18% after reporting strong first-quarter results that exceeded expectations and raising full-year guidance, easing investor concerns about potential AI-related disruption to the cybersecurity firm's business.

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Zillow Beats Earnings But Shares Slide 8% on Weak Revenue Guidance

Zillow Group reported higher first-quarter profits despite lower traffic, topping earnings estimates. However, shares fell nearly 8% as the company's second-quarter revenue outlook disappointed investors, with the midpoint missing expectations amid ongoing housing market uncertainty.

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Utz Brands Reports Mixed Q1 Results, Maintains Full-Year Outlook

Utz Brands exceeded first-quarter earnings per share estimates but fell short on revenue expectations, with margin improvements offsetting EPS decline while the company reaffirmed its fiscal 2026 guidance.

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Technology Events

Chipmakers Surge on AI Demand as AMD Forecast Sparks Sector Rally

Semiconductor stocks rallied sharply following AMD's upgraded outlook driven by strong AI demand, with AMD jumping 20.9% and Micron gaining 6.6%. Memory chipmakers saw particularly strong gains despite concerns about unsustainably high profit margins, as AI applications reshape traditional market dynamics. The sector-wide surge included Nvidia, Intel, and SanDisk, reflecting investor enthusiasm for AI-related chip demand.

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Anthropic Partners with SpaceX for Major Computing Expansion

Anthropic has secured a compute partnership with Elon Musk's SpaceX, gaining access to the Colossus 1 supercomputer featuring over 220,000 NVIDIA GPUs and 300 megawatts of capacity. The AI company plans to use this additional computing power to directly improve capacity for Claude Pro and Claude Max subscribers amid surging demand. Anthropic also announced increased API rate limits for Claude Opus models and unveiled new features including a "dreaming" capability to help AI agents self-improve, along with multiagent orchestration tools. The partnership includes exploration of future orbital AI computing capacity, marking an unusual collaboration between the rivals in the AI space.

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Nvidia and Corning Strike $500 Million Partnership to Expand U.S. Optical Manufacturing for AI Infrastructure

Nvidia and Corning announced a multiyear partnership to strengthen U.S.-based manufacturing of optical connectivity components critical for AI data centers. Under the agreement, Nvidia purchased $500 million in Corning warrants, including rights to buy up to 15 million shares at $180 and 3 million pre-funded shares. Corning plans to increase U.S. optical connectivity capacity tenfold and fiber capacity by over 50 percent, constructing three new plants in North Carolina and Texas that will create more than 3,000 jobs. The deal addresses a growing infrastructure bottleneck as AI data centers require advanced optical links beyond traditional GPU components. Corning shares surged up to 20 percent on the announcement.

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Hut 8 Signs $9.8 Billion Texas AI Data Center Lease

Cryptocurrency miner Hut 8 signed a 15-year lease worth $9.8 billion for 352 megawatts of capacity at its Beacon Point AI data center campus in Texas. The deal increases Hut 8's total contracted AI data center capacity to 597 megawatts, with initial delivery expected in third quarter 2027.

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Oil And Gas Events

Oil Prices Plunge Up to 8% on Reports of U.S.-Iran Peace Deal Progress

Crude oil prices tumbled sharply after reports emerged that the United States and Iran are nearing a framework agreement to end hostilities. Brent crude fell as much as 7% to around $101 per barrel, while WTI dropped 8% to a two-week low of $93 per barrel. President Trump signaled possible de-escalation in the Middle East conflict, triggering a broad risk-on sentiment across global markets. The sharp decline in oil prices boosted equities, with major stock indices surging on reduced geopolitical risk. European energy shares fell 2.2% on the news. Meanwhile, Alberta's oil production reached 4.168 million barrels per day in March, up 0.4% month-over-month but down 0.6% year-over-year, according to Alberta Energy Regulator data.

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US Crude Inventories Drop 2.3 Million Barrels, Meeting Expectations as Demand Weakens

US crude oil stocks fell 2.3 million barrels for the week ended May 1, matching analyst estimates, according to EIA data. Total petroleum inventories declined 11.1 million barrels, including a 5.2 million barrel draw from the Strategic Petroleum Reserve. However, implied oil demand dropped 1.6 million barrels per day to 19.5 million, driven by declines in gasoline, jet fuel, and distillate consumption.

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US Gasoline Surges Past $4.50 Per Gallon, Highest Since July 2022

US retail gasoline prices exceeded $4.50 per gallon Tuesday, marking the highest level since July 2022, according to GasBuddy data. The surge reflects rising costs linked to war impacts on consumers and a growing fuel crunch in Iran. Despite the spike, analysts advise drivers against rushing to pumps, noting that refineries in five states are getting back up to speed, which could bring relief soon.

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Crypto Events

Bitcoin Surges Past $82,000 on Easing US-Iran Tensions and Institutional Demand

Bitcoin climbed above $82,000 for the first time in three months, marking a 6.5% gain since May 1. The rally was initially fueled by reports of potential US-Iran peace negotiations, though momentum cooled slightly as Iran continued reviewing terms. Bitcoin ETFs recorded nearly $1 billion in inflows as institutional players including BlackRock and JPMorgan increased crypto exposure. Strategy, previously known for its never-sell Bitcoin policy, signaled potential sales amid losses. The surge triggered significant short liquidations after President Trump halted operations in the Strait of Hormuz, sending oil prices down 12% below $90. Analysts at Cryptoquant are now eyeing $93,000 as the next target, while altcoins including Ethereum, XRP, Zcash, and Dash posted double-digit gains alongside Bitcoin's advance.

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Strategy Abandons "Never Sell" Bitcoin Policy as Zcash Surges 30%

Michael Saylor's Strategy is reconsidering its signature "never sell" Bitcoin approach, exploring tactical sales for tax optimization amid losses. Bitcoin faces 67 consecutive days of bearish pressure while options traders position for potential rallies. Meanwhile, Zcash jumped 30% in 24 hours, outpacing XRP and Ethereum, as XRP approaches a critical $1.50 resistance level.

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JPMorgan, Ripple, and Mastercard Complete Cross-Border Settlement Pilot Using Tokenized Treasuries on XRP Ledger

Ondo Finance, JPMorgan, Mastercard, and Ripple successfully completed a pilot program settling tokenized U.S. Treasuries on the XRP Ledger, linking it with traditional interbank settlement systems for cross-border transactions.

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Morgan Stanley Launches Crypto Trading on E*Trade Platform with Competitive Pricing

Morgan Stanley is introducing cryptocurrency trading to its E*Trade platform, initially through a pilot program charging 50 basis points per transaction. The rollout will eventually extend to all 8.6 million E*Trade clients by late 2026. The 0.5% fee structure undercuts major competitors including Coinbase and Robinhood, marking a significant entry by the $1.9 trillion financial institution into retail crypto trading.

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Geopolitics Events

Trump Signals Progress on Iran Nuclear Deal, Says Uranium Would Come to US

President Trump told PBS the US is "closing in on a deal" with Iran that would transfer Iranian uranium to the United States and prohibit underground nuclear facilities. Trump warned of resumed bombing if negotiations fail and suggested an agreement could materialize before his China visit, though he cautioned he's felt close to a deal before.

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U.S. Forces Disable Iranian Tanker Attempting to Breach Gulf of Oman Blockade

U.S. Central Command reported disabling an Iranian-flagged oil tanker in the Gulf of Oman on Wednesday after the empty vessel attempted to reach an Iranian port in violation of a U.S. blockade. American forces issued multiple warnings before taking action against the ship.

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Trump Pauses Strait of Hormuz Escort Operation Amid Iran Negotiations

President Trump halted a US military operation to guide commercial vessels through the Strait of Hormuz, citing progress toward a comprehensive agreement with Iran. The decision came hours after senior officials detailed the escort mission designed to counter Iran's blockade of the strategic waterway. The Iranian blockade remains in effect.

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U.S. and Iran Near Agreement on One-Page Memo to End Conflict

The White House is close to reaching an agreement with Iran on a one-page memorandum of understanding to end hostilities, according to U.S. officials and sources briefed on the matter. The memo would establish a framework for subsequent detailed nuclear negotiations between the two nations.

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Macro Events

St. Louis Fed's Musalem Signals Policy Flexibility Amid Elevated Inflation and Tariff Uncertainty

St. Louis Federal Reserve President Alberto Musalem said current economic scenarios could warrant rate cuts, increases, or an extended pause, emphasizing the Fed's commitment to its 2% inflation target. Speaking in Alabama, Musalem noted inflation remains "meaningfully" above target while consumers and businesses face pricing pressures. He cited tariff uncertainty and geopolitical tensions as key challenges, though positive factors like favorable financial conditions support the economy. Musalem indicated the Fed's focus has shifted more toward inflation risks, stating that achieving the 2% target represents the best path for supporting growth and employment.

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Private Payrolls Rise 109,000 in April, Complicating Fed Policy Outlook

U.S. private sector employment increased by 109,000 jobs in April, according to ADP, up from March's revised 61,000-62,000 and near consensus estimates of 99,000-120,000. Small businesses fueled the growth acceleration. The modest gain presents a challenge for Federal Reserve policymakers, as the labor market shows neither enough strength to justify immediate concern nor sufficient weakness to clearly support rate cuts.

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Fed's Goolsbee Warns Productivity Gains Could Drive Inflation Higher

Chicago Fed President Goolsbee cautioned that household expectations of income gains from rising productivity could increase spending and push inflation upward, warning against overestimating AI-driven economic benefits.

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Treasury Yields Drop on Iran Peace Hopes and Supply Reduction Plans

Treasury yields fell as markets anticipated Iran peace negotiations and reduced coupon supply, while foreign demand shows signs of weakening. Treasury Secretary Bessent will address Japan's weak yen concerns during next week's visit.

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Healthcare Events

Harel Insurance Adjusts Healthcare Portfolio While ROVI Cuts Revenue Guidance

Israeli insurer Harel Insurance Investments trimmed holdings in AMD, ResMed, and Pegasystems while maintaining significant positions in Walmart ($8.76M) and Teva Pharmaceutical ($1.40B). Spanish pharmaceutical company ROVI reduced its 2026 revenue guidance citing lower pharma demand. In strategic moves, Coiled Therapeutics announced a pivot to oncology assets, while Horizon Investments initiated a new position in Jazz Pharmaceuticals. One Health Group appointed Joe Hopwood as commercial manager.

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Biotech Firms Report Clinical Trial Updates Across Multiple Therapeutic Areas

Eupraxia Pharmaceuticals released initial Phase 1b/2a data for its eosinophilic esophagitis treatment at Digestive Disease Week, showing results on inflammation and fibrosis markers. Medicus Pharma announced dose-response findings from its Phase 2 skin cancer trial. Xencor previewed Phase 1 data for XmAb942 and its TL1A/IL-23 bispecific candidate. Tonix obtained GPO coverage for fibromyalgia drug TONMYA. Kura Oncology and Aktis Oncology scheduled presentations at Bank of America's Healthcare Conference.

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Novo Nordisk Raises 2026 Outlook on Strong Obesity Drug Demand and China Patent Extension

Novo Nordisk lifted its 2026 guidance as obesity drug demand remains robust and generic Ozempic competition in China delays until 2027, despite March 2026 patent expiration. The company's new weight loss pill shows progress against rival Lilly. Separately, CVS Health raised its 2026 forecast following improved medical cost controls.

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Medicus Pharma Reports Dose-Response Success in Phase 2 Trial

Medicus Pharma announced positive expanded Phase 2 data showing clear dose-response relationships across endpoints. Eupraxia Pharmaceuticals released inflammation and fibrosis data from its ongoing eosinophilic esophagitis trial at Digestive Disease Week. Xencor presented Phase 1 data for XmAb942 and previewed its TL1A/IL-23 bispecific candidate.

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Currencies Events

Yen Surges on Suspected Intervention as Dollar Weakens Broadly

The Japanese yen rallied sharply, gaining as much as 1.4% against the dollar in what markets suspect was another government intervention. USD/JPY plunged from 158 to 155.60 in volatile trading. The dollar's broad weakness lifted gold over 1%, while AUD/USD climbed to its highest level since June 2022. Technical analysts noted a bearish breakdown in USD/JPY, with large short yen positions still in place as the currency had tested 160.

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Dollar Weakens Across Major Currencies on U.S.-Iran Deal Optimism

The U.S. dollar declined broadly as hopes grew for a potential U.S.-Iran agreement, with the Australian dollar rallying to its highest level since June 2022 near mid-0.7200s. Gold jumped over 1% on weaker dollar conditions and easing crude prices, while the dollar's rebound against the yen stalled below 158.00, signaling continued weakness.

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Metals Events

Albemarle Surges 6% as Lithium Recovery Drives Earnings Beat

Albemarle shares jumped 6% after the lithium producer reported stronger-than-expected quarterly results, driven by rising lithium prices and increased sales volume signaling a market recovery.

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Real Estate Events

Zillow Beats Earnings But Shares Slide 8% on Weak Revenue Guidance

Zillow Group reported higher first-quarter profits despite lower traffic, topping earnings estimates. However, shares fell nearly 8% as the company's second-quarter revenue outlook disappointed investors, with the midpoint missing expectations amid ongoing housing market uncertainty.

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Corporate Actions Events

Ametek Acquires Indicor Instrumentation Portfolio for $5 Billion Cash

Ametek agreed to purchase Indicor's instrumentation businesses for approximately $5 billion in all-cash transaction. The portfolio generates $1.1 billion in annual sales and will integrate into Ametek's Electronic Instruments and Electromechanical divisions, with closing expected in second half 2026.

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