Fixed Income Market Overview
U.S. Treasury yields fell on Monday as weak U.S. manufacturing data and anticipation of a key jobs report influenced investor sentiment. The 10-year Treasury yield dropped over 8 basis points to 4.43%, while the 2-year yield decreased more than 6 basis points to 4.83%.
The ISM manufacturing index fell to 48.7 in May, signaling contraction. Investors are also awaiting JOLTS job openings data and the May jobs report. Additionally, the European Central Bank is expected to announce an interest rate cut on Thursday. The Fed’s next meeting is set for June 11-12, with traders not expecting a rate cut until September. Recent core PCE data showed a 0.2% monthly increase and a 2.8% annual rise.
NYSE says technical issue that caused Berkshire Hathaway to be displayed down 99% is fixed after trading was halted.
GameStop shares jump 30% after ‘Roaring Kitty’ trader posts account showing $116 million position.
Indian markets hit record highs as exit polls forecastModi victory, election results to be announced on Tuesday.
Peso falls as Sheinbaum wins Mexico presidency by landslide.
OPEC+ extends deep oil production cuts into 2025.
Major Indicies
| Symbol | Price | Change | %Change |
|---|---|---|---|
| DJIA | 38,571.03 | -115.29 | -0.30%↓ |
| NASDAQ | 18,600.97 | 64.32 | 0.35%↑ |
| SNP 500 | 5,283.40 | 5.89 | 0.11%↑ |
| NIKKEI | 38,923.03 | 435.13 | 1.13%↑ |
| VIX | 13.11 | 0.19 | 1.47%↑ |
| HIS | 18,403.04 | 323.43 | 1.79%↑ |
Bonds
| Name | Yeild | CHG |
|---|---|---|
| US 10-YR | 4.40% | -0.11 |
| US 30-YR | 4.54% | -0.11 |
| US 5-YR | 4.41% | -0.10 |
| JPN 10-YR | 1.07% | -0.01 |
| UK 10-YR | 4.22% | -0.10 |
Futures & Commodities
| Name | Last | Change | %Change |
|---|---|---|---|
| WTI CRUDE | 74.22 | -2.77 | -3.60%↓ |
| NAT GAS | 2.756 | 0.169 | 6.53%↑ |
| GOLD | 2,369.30 | 23.50 | 1.00%↑ |
| SILVER | 30.78 | 0.34 | 1.13%↑ |
| COPPER | 4.668 | 0.066 | 1.42%↑ |
Equity Market Overview
GlaxoSmithKline
GSK shares plummeted 9% following a U.S. court ruling allowing scientific evidence in 75,000 lawsuits alleging cancer risks associated with the heartburn drug Zantac. The drug, once popular, was withdrawn from markets in 2019-2020 due to concerns over a probable carcinogen. GSK plans to appeal the ruling, asserting the lack of consistent evidence linking Zantac to cancer, contradicting previous dismissals of similar cases. Despite an Illinois jury verdict favoring GSK and Boehringer Ingelheim in a colorectal cancer case, analysts estimate potential settlement costs for GSK ranging from $1 billion to over $3 billion. Other pharmaceutical firms, including Sanofi and Pfizer, are also implicated in the litigation and plan to appeal similar decisions.
Atos
Shares of Atos, a struggling French IT firm, plunged as it deliberates between two rescue deals, both anticipated to result in significant shareholder dilution. Led by Czech billionaire Daniel Kretinsky and key shareholder David Layani, the company aims to finalize its decision by Wednesday. Atos disclosed ongoing discussions with financial creditors to secure support for one of the deals by June 5, targeting restructuring agreement by July. Amidst failed acquisition talks and mounting financial challenges, including high debt, Atos navigates sensitive contracts with French authorities and the Paris 2024 Olympic games while assessing potential rescue options.
Advanced Micro Devices
AMD unveiled new artificial intelligence chips during the Computex tech conference, positioning itself as a key competitor against Nvidia and Intel. CEO Lisa Su highlighted AI as the company’s top priority, introducing the Ryzen AI 300 series for next-gen laptops and the Ryzen 9000 series for desktops, set to launch in July. In collaboration with Microsoft, AMD’s chips will power laptops featuring the AI chatbot Copilot. AMD also outlined its data center chip roadmap, including the Instinct MI325X accelerators and fifth-generation EPYC server processors, built on the latest “Zen 5” architecture, emphasizing a commitment to annual AI chip tech releases.
