Weekly Market Overview:
May 27-30
May 27-30
The US stock market closed Tuesday's trading higher. At closing time on the New York Stock Exchange, the Dow Jones index rose 1.78%, the S&P 500 index rose 2.05%, and the NASDAQ Composite index rose 2.47%. Treasury 10-year yields decreased 8 basis points to 4.43%. Gold futures fell 1.32% to $3300. Crude oil Brent futures fell 1.00% to $64.09. All the 11 S&P sectors ended with the gain. Utilities was the weakest, while Technology topped the gainers.
US stocks end sharply higher on Trump's tariff reprieve. A broad rally sent all three major U.S. stock indexes higher, with strength in the AI-related "magnificent seven" group of momentum stocks putting the tech-laden Nasdaq out front. The S&P 500 is now within 3.6% of its record closing high reached on February 19, having plunged as much as 18.9% below that level in the wake of Donald Trump's erratic tariff announcements, which have whipsawed markets for much of the President's second term. Minutes from the U.S. Federal Reserve's most recent monetary policy meeting are due on Wednesday.
US-Sanctioned Tankers Seen in Russia-to-India Crude Oil Trade. India became Russia’s main seaborne crude market following the 2022 invasion of Ukraine as Western buyers shunned the flows. Imports are set to hit a record 2.196 million barrels a day this month, as new tankers joined the trade following the wave of US sanctions that were announced in January.
Stocks Rally on the ‘TACO Trade’. This is short for Trump Always Chickens Out. The tongue-in-cheek term, coined by a Financial Times columnist, has been adopted by some to describe the pattern in which markets tumble after Mr. Trump makes tariff threats, only to rebound just as sharply when he relents and gives countries more time to negotiate deals.
Russian business has been given a new platform for relocation. Since May 23, a redomiciliation regime for foreign companies has been in force in Hong Kong. Now private and public firms can transfer their legal domicile to this jurisdiction without any revenue or headcount requirements - the approval of 75% of the participants is sufficient. This was made possible after a package of reforms aimed at supporting the economy amid the US-China standoff. Hong Kong has become an alternative to the UAE, Seychelles and Mauritius - with no controlled foreign company rules and an efficient tax regime: 16.5% on profits, up to 5% on dividends, up to 0% on interest.
Baiterek to allocate billions of dollars for Kazakhstan’s industrial sector. According to the Ministry of Economy of Kazakhstan, the government will allocate 8 trillion tenge (around $15.7 billion) for the development of the real economy. These funds will be used to launch and develop new enterprises in the mining and chemical industries, with the state-owned Baiterek National Managing Holding JSC designated as the operator of the project. A major project in the industry is a hydrometallurgical plant that will use autoclave oxidation technology. It is designed to process ores from the Kyzyl and Varvarinskoye deposits.
The US stock market closed Wednesday's trading lower. At closing time on the New York Stock Exchange, the Dow Jones index fell 0.58%, the S&P 500 index fell 0.56%, and the NASDAQ Composite index fell 0.51%. Treasury 10-year yields increased 4 basis points to 4.48%. Gold futures fell 0.17% to $3295. Crude oil Brent futures rose 1.26% to $64.90. All the 11 S&P sectors ended in the red. Utilities was the weakest.
US court blocks most Trump tariffs, says president exceeded his authority. The Court of International Trade said the U.S. Constitution gives Congress exclusive authority to regulate commerce with other countries that is not overridden by the president's emergency powers to safeguard the U.S. economy. "The court does not pass upon the wisdom or likely effectiveness of the President's use of tariffs as leverage. That use is impermissible not because it is unwise or ineffective, but because [federal law] does not allow it," a three-judge panel said in the decision.
Fed worried it could face ‘difficult tradeoffs’ if tariffs reaggravate inflation, minutes show. The summary Wednesday of the May 6-7 meeting of the Federal Open Market Committee reflected ongoing misgivings about the direction of fiscal and trade policy. Participants noted that the Committee might face difficult tradeoffs if inflation proves to be more persistent while the outlooks for growth and employment weaken. As it has done since the last cut in December, the FOMC kept its benchmark federal funds rate in a target between 4.25%-4.5%, with officials saying policy is well positioned against the current risks.
How Big Banks Can Profit From Bond Market Angst. One upshot of this is what’s known as a steeper yield curve. This means shorter-duration securities, such as those that mature in a matter of months, are yielding less than longer-duration ones. The difference in what 2-year and 10-year Treasurys yield recently has been around its biggest since 2022.
Kazakhstan and France broaden industrial partnership. France and Kazakhstan have been implementing 10 joint projects with a total value of $1.1 billion, creating 2,000 new jobs. Six of these projects, worth $900 million, are already complete, according to Yersaiyn Nagaspayev, Kazakhstan’s minister of industry and construction, who spoke at the Kazakhstan-France business forum in Astana. Two additional projects valued at $79.3 million and expected to create 200 jobs are set to launch this year.
The US stock market closed Thursday's trading higher. At closing time on the New York Stock Exchange, the Dow Jones index rose 0.28%, the S&P 500 index rose 0.40%, and the NASDAQ Composite index rose 0.39%. Treasury 10-year yields decreased 5 basis points to 4.42%. Gold futures rose 1.49% to $3344. Crude oil Brent futures fell 1.16% to $64.15. Of the 11 S&P sectors only Communication Services ended in the red. Healthcare topped the gainers.
Trump's tariffs to remain in effect after appeals court grants stay. A federal appeals court temporarily reinstated the most sweeping of President Donald Trump's tariffs on Thursday, a day after a U.S. trade court ruled that Trump had exceeded his authority in imposing the duties and ordered an immediate block on them. The United States Court of Appeals for the Federal Circuit in Washington said it was pausing the lower court's ruling to consider the government's appeal, and ordered the plaintiffs in the cases to respond by June 5 and the administration by June 9.
Powell met with Trump for first time this term. Here’s what it means for markets. President Donald Trump and Federal Reserve Chair Jerome Powell met privately at the White House on Thursday and there was no meeting of the minds on the path of interest rates. Instead, according to the accounts from the Fed and the White House, the two leaders seemed to talk past each other.
The President of Kazakhstan announced the creation of CryptoCity zone. Under this project, cryptocurrencies can be used to purchase goods and services. “Now the government together with regulators will carry out some work to select the most suitable location. Of course, the most suitable location for CryptoCity is the new city of Alatau, it is a project of our president,” - suggested the Minister of Digital Development, Innovation and Aerospace Industry.
World’s largest uranium producer to acquire beryllium from Rwanda. Under the agreement, Kazakhstan will acquire beryllium extracted in Rwanda to meet the needs of uranium giant Kazatomprom. Beryllium is distinguished by its light weight and durability, making it suitable for various applications, including in the aerospace and defense industries. Other applications include nuclear power, where the metal serves as a neutron tamper and moderator; electronics, for high-precision pin and connector production; and medicine, for instance, in X-ray equipment.
The US stock market closed Friday's trading with mixed results. At closing time on the New York Stock Exchange, the Dow Jones index rose 0.13%, the S&P 500 index fell 0.01%, and the NASDAQ Composite index fell 0.32%. Treasury 10-year yields decreased 1 basis points to 4.42%. Gold futures fell 0.85% to $3315. Crude oil Brent futures fell 2.14% to $62.78. Of the 11 S&P sectors 5 ended in the red. Energy was the weakest, while Consumer Defensive topped the gainers.
How Russian fortunes stranded by US sanctions rocked Liechtenstein. A Liechtenstein government official said 475 trusts were affected by the defections, although added that not all were linked to Russians or sanctioned individuals. That official said Liechtenstein's justice department was seeking to install new managers to 350 trusts, while 40 were being liquidated and unsuccessful attempts had been made to appoint a liquidator to further 85 trusts. This episode strikes at the trust industry, a critical pillar of Liechtenstein's roughly 770 billion franc ($930 billion) financial centre that underpins the country's economy.
Morgan Stanley Sees Three More OPEC+ Hikes Driving Brent Lower. The bank sees Brent futures averaging $57.50 a barrel in the final two quarters of the year, and $55 in the first half of 2026.
Purchases by installments may be limited to 50 thousand from 2026 in Russia. The maximum amount of such purchases without the transfer of data to the credit history bureau will be 50 thousand roubles. Unlike a classic loan, their use does not require a passport and does not draw up a loan agreement - often a phone number is enough. The new law introduces requirements for participants: the creation of a special register of installment operators, the minimum capital of 5 million rubles, reporting to the Central Bank.
Karachaganak shareholders hesitate on gas plant investment, Kazakhstan may go solo. Investors want Kazakhstan to cover a $1 billion shortfall in the gas plant’s estimated cost. The engineering, procurement and construction (EPC) contract is priced at $3.7 billion, but shareholders are only willing to commit $2.7 billion. They’re also proposing to settle ongoing arbitration.