Daily Market Roundup

North America News

U.S. Stocks End Mixed After Late-Day Rebound

Major U.S. stock indices closed mixed but recovered much of the day’s earlier losses. A late rally pushed the Dow and S&P 500 into positive territory, while the Nasdaq finished slightly lower but well above its session lows. Final figures:

• Dow Jones: +114.09 points (+0.28%) at 40,227.59 (session low was -244.40 points)
• S&P 500: +3.54 points (+0.06%) at 5,528.75 (session low was -56.57 points)
• Nasdaq: -16.81 points (-0.10%) at 17,366.13 (session low was -254.23 points)

This week is heavy on earnings, with 12 Dow components set to report, including tech giants Apple, Amazon, Meta, and Microsoft. On Monday:

• Apple rose 0.41% to $210.14
• Meta climbed 0.44% to $549.68
• Microsoft slipped 0.18% to $391.18
• Amazon fell 0.70% to $187.68

12 Dow Companies Set to Report Earnings This Week

Twelve out of the 30 Dow Jones companies are scheduled to release earnings this week, with major names including Coca-Cola, Visa, Mastercard, Caterpillar, Apple, and Amazon. The schedule is:

• Tuesday Before Open: UPS, Coca-Cola
• Tuesday After Close: Visa
• Wednesday Before Open: Caterpillar
• Wednesday After Close: Microsoft
• Thursday Before Open: Eli Lilly, Mastercard, McDonald’s
• Thursday After Close: Apple, Amazon
• Friday Before Open: ExxonMobil, Chevron

Other notable releases this week include Pfizer, Starbucks, Booking Holdings, Hess, Meta Platforms, and Qualcomm. Key announcements are spread across sectors, hinting at a busy and volatile week for markets.

U.S. Treasury Boosts Q2 Borrowing Estimate to $514 Billion

The U.S. Treasury now expects to borrow $514 billion in Q2 2025, up sharply from the previous $123 billion estimate. The revised forecast assumes an end-of-quarter cash balance of $850 billion. According to the Treasury, the increase mainly reflects a lower beginning cash balance and reduced net cash flows, partially offset by $60 billion less in Federal Reserve redemptions. Excluding the lower cash balance, borrowing is actually $53 billion less than earlier projections.

Dallas Fed Manufacturing Index Hits Four-Year Low

The Dallas Fed manufacturing business index plunged to -35.8 in April from -16.3, the worst reading since May 2020. New orders sank sharply to -20.0 from -0.1, while the outlook index fell to -28.3 from -10.7. Employment and capex metrics also weakened. About 34% of firms reported declining new orders, reflecting deepening manufacturing troubles.

Comments in the report:

Chemical manufacturing

• It is a very dynamic time. I agree with the approach and need to bring manufacturing back to the U.S. so that we have the internal capability for national security interests. The ability to forecast and to understand consumer confidence drivers to the basic materials, construction, automotive markets, etc., are the most difficult we have seen since the COVID era.
• Tariff uncertainty and actual impact is likely to be significant for the business and ongoing projects.

Computer and electronic product manufacturing

• This has been a crazy few weeks in the news. We export about 20 percent of our production. Our largest customers are in the United Kingdom and France, but we also export to China and many other countries. We import a few raw materials, but this isn’t directly significant. The current tariff negotiations are having an effect in several ways. We accelerated one order to China to beat the reciprocal tariffs, and we expect our China sales to go to zero until the tariff situation changes. We are seeing some European customers stock up on inventory in anticipation of future tariffs. Most of our U.S. customers continue to buy, but we have seen a 25 percent drop in incoming RFQs [requests for quotations] in April compared with the average of previous months. Assuming this continues, we expect to see roughly a 10–15 percent decline in sales in May. We believe that this is largely due to uncertainty in our customer base driven by the tariff situation and potential knock-on effects to the general economy.
• There is really no way to predict anything accurately six months out or even six weeks out now for our industry due to the tariff and trade uncertainty. Carve-outs for large electronics businesses (cellphones and laptops) leaves small business burdened to deal with tariffs on our own, which are likely to cause delays, cancellations and early product obsolescence on existing products and orders. We have already had to turn around and refuse shipments because customers cannot afford the tariffs, delaying our ability to build, which will eventually lead to job losses. If this continues for any length of time, many small companies are likely to be significantly hurt or even gone. If we want to bring manufacturing back to the U.S., can we try not to kill the companies that can actually help do that before we get the chance? Maybe we can think about using a scalpel rather than a sledgehammer? The risk we face now is far greater and less understood than what we saw during the COVID shutdown. Consumers and businesses will limit investment and orders until there is some sense of stability, and we have already experienced this with smaller orders and delayed orders. It’s chaos right now.
• Please lower interest rates. We need it in order to boost the economy due to the uncertainty and tariffs.
• President Trump, tariffs and maximum business uncertainty [are issues affecting our business]. [We see a] probable recession soon.

Fabricated metal product manufacturing

• There is no stability in business, so it is difficult to plan. Thus, we are not making commitments for future growth, not knowing if or when future growth will exist.
• Our backlog is not building. Bid activity is moderate, but projects are not being released/started.
• There was a temporary supply hiccup in April on a key component; we expect it to resolve in the next month or two.

Food manufacturing

• The current economic environment is confusing. President Trump keeps things in turmoil, and we do not know what he will do next. So far, import prices for raw materials have not increased. Food service and retail sales have maintained their growth projections.
• Chaos at the federal level, tariffs and resulting raw ingredient costs, decimation of partner relationships due to canceled contracts “for convenience” along with stagflation concerns [are issues affecting our business]. DOGE [Department of Government Efficiency] is needed. The DOGE without a follow-up plan does nothing for the domestic tranquility needed (stable arena for business to function within).
• Tariffs and tariff uncertainty are wreaking havoc on our supply lines and capital spending plans.
• It is unknown what effect the tariffs are going to have on the general economy. Luckily, we do not import or export many items (except for spices), so we are not directly impacted by the contemplated tariffs.
• We are still worried about labor price increases due to the trade war and immigration.

Machinery manufacturing

• Nothing is easy. Forecasting is extremely challenging in this time of uncertainty. Committing to growth initiatives is anxiety-riddled. Helping our employees keep beans on their table and a roof over their heads is harder. We believe the direction the current administration is leading our country is on target, but the pain to get there may be longer and more intense than originally anticipated.
• We are experiencing a strong month and, hopefully, this trend will continue.
• Due to tariffs, we do not know what to expect.

Miscellaneous manufacturing

• There is too much uncertainty all over for any increases [in business] soon.
• Tariffs and the general market have made decisions challenging. Items we are only able to source internationally are making our daily business decisions difficult. Raw materials have increased, and there is not an easy way to pass those increases to our customers.
• Tariffs are causing uncertainty and a reduction in demand for our products. We buy all raw materials domestically but are still experiencing adverse business climate due to reduction in demand.
• Tariffs may drive us out of business.
• Tariffs [are an issue affecting our business].

Nonmetallic mineral product manufacturing

• Tariffs. Tariffs. Tariffs. There was a better way to do this.

Paper manufacturing

• We have seen continued slow order entry now for four months.

Plastics and rubber products manufacturing

• Tariffs are impacting factory input costs significantly.

Primary metal manufacturing

• Capital expenditures are focused on adding new product offerings.
• The aluminum industry is currently in a holding pattern, awaiting final decisions on tariffs. If the Section 232 tariffs on Mexico and Canada remain in place, it would help level the playing field and remove their pricing advantage when selling into the U.S. However, if Mexico and Canada continue to receive exemptions—as they have since the initial implementation of Section 232 during the first Trump administration—it will likely lead to further job losses in our segment of the aluminum industry. Our company, for example, has put a multimillion-dollar project on hold until we receive clear direction on this issue. China is now building aluminum plants in Mexico to avoid tariffs if they ship from China. Our company is a proponent of tariffs to combat dumping and subsidies other countries are doing for shipments into the U.S.

Printing and related support activities

• The tariff issue is a mess, and we are now starting to see vendors passing along increases, which we will have to in turn pass along to our customers. Because of this, we are very concerned about general business activity for the next six to nine months or until these trade agreements get worked out.
• The administration’s tariff policy is insanity. It is creating havoc in the manufacturing business.

Textile product mills

• Sales are down, and uncertainty is very high. We import raw materials and finished goods and are very nervous about tariff impacts (especially China). We will likely need to increase prices, which will likely hurt demand/sales. We are expecting to get hit on both the supply and demand side. There is a lot of uncertainty.

Transportation equipment manufacturing

• We are unsure of the tariff impact.
• There is too much uncertainty, including a possible recession. Interest rates are too high. The Federal Reserve always seems to be late for their own party.

Bessent: China Shows Willingness to Ease Trade Tensions

U.S. Treasury Secretary Bessent commented that China’s recent exemptions on tariffs indicate a willingness to reduce trade tensions. He also noted that discussions with Japan and other Asian partners are progressing well, with 17 key trading partners offering promising proposals. Meanwhile, he remarked on Europe’s concern over a strong euro and said he was surprised by the markets’ rally after his remarks at a JPMorgan conference, since he claimed not to have revealed any new information.

Bezos-Backed Slate Auto Unveils $20,000 Electric Pickup

Slate Auto, a start-up supported in part by Jeff Bezos, has launched an electric pickup truck priced at around $20,000 after federal incentives. Built in the U.S., the two-door model can be modified into a five-seat SUV. The base version is roughly two-thirds the size of a Chevy Silverado EV and slightly smaller than a Ford Maverick. It has a payload capacity of 1,400 pounds (compared to the Maverick’s 1,500 pounds) and offers 150 miles of range on a single charge, with an optional battery upgrade boosting range to 240 miles. Deliveries are expected by late 2026.

Ports and Air Cargo See Sharp Decline Amid Trade War

According to the Financial Times, U.S. ports and air freight are feeling the sting from falling demand, fueled by tariffs. The Port of Los Angeles expects shipments during the week of May 4 to drop by a third compared to last year. Airfreight bookings have also tumbled. By mid-April, container bookings from China to the U.S. were down 45% year-over-year. If trends continue, the cost of accessing the U.S. market could reach levels unseen since the 1930s.

The FT article has much more detail, if you can access it here is the link.

U.S. Agriculture Secretary Claims Nonstop Global Trade Talks

U.S. Agriculture Secretary Brooke Rollins stated during an interview on CNN’s “State of the Union” that trade discussions with China are happening daily. Rollins claimed the administration is negotiating with around 100 countries, asserting that multiple trade deals are nearing completion. Despite the optimistic tone, the scale of these talks seems exaggerated.

Trump Pushes “51st State” Idea on Canada’s Election Day

On Canada’s election day, former U.S. President Trump once again floated the idea of Canada becoming the 51st U.S. state. In a social media post, Trump urged Canadians to vote for a leader who would support merging with the U.S., promising massive economic benefits, no tariffs, no borders, and huge growth across key industries. He argued that continued U.S. financial support for Canada made no sense unless Canada became part of the United States.

Commodities News

Gold Rises as Recession Worries Drag on Sentiment

Gold prices climbed 0.55% to $3,338 on Monday as risk-off sentiment gripped financial markets. The precious metal rebounded after dipping to a daily low of $3,268. Fears of a U.S. recession grew as traders bet on deeper Federal Reserve rate cuts. The U.S. Dollar Index fell 0.36% to 99.22, and Treasury yields also slipped. Investors are bracing for key U.S. economic data this week, including GDP, Core PCE, and Nonfarm Payrolls, while tensions over trade talks continue to weigh on sentiment.

Crude Oil Settles Lower on Supply Pressures

Crude futures settled at $62.05, down $0.97 or 1.54%. Markets remain under pressure from expanded OPEC+ production, strong U.S. shale output, and discounted Iranian and Russian barrels boosting Asian stockpiles. Technically, crude dipped below the 38.2% retracement at $61.63 before bouncing. The technical picture favors sellers unless prices reclaim key moving averages at $62.56 (200-hour) and $62.97 (100-hour).

China’s Copper Inventories See Record Weekly Decline

Copper stockpiles at the Shanghai Futures Exchange plunged by 54,858 tonnes last week to 116,753 tonnes — the steepest weekly drop on record. Strong physical demand and tight spot market conditions drove the decline, ING reports. Aluminium and zinc inventories also fell sharply, reaching their lowest levels since January and February, respectively. Meanwhile, gold consumption in China dropped nearly 6% year-over-year in Q1, while domestic gold production edged up 1.5%. Speculative positioning shows rising bullish bets on copper and silver, while interest in gold futures remains subdued due to high prices.

Gold Rebounds $31 as Market Angst Returns

Gold prices rallied $31 to $3349 on Monday, recovering losses from Friday’s session. Renewed worries about U.S. growth and fading hopes for a quick resolution on tariffs have reignited safe-haven buying. Gold remains below key technical resistance at $3380, the 61.8% retracement level, after last week’s retreat from a record $3501. Strong support has held twice at $3259.

Crude Oil Holds Near Resistance Amid OPEC+ Supply Moves

Crude oil continues to hover around the key $62.00–$64.00 resistance zone. Kazakhstan’s energy minister stressed prioritizing national interests over OPEC+ agreements, boosting supply fears. Additional reports suggest some OPEC+ members want to fast-track a production increase in June. While OPEC+ seems bullish on late-year demand, concerns about economic slowdown persist. On the charts, buyers are watching for a breakout toward $68.00, while sellers are betting on a fall toward $59.00 if minor support at $61.75 fails.

European Gas Prices Drop to Nine-Month Low

European natural gas prices extended losses for a fourth straight session, dropping nearly 5% at one point to below €32/MWh — their lowest level since July. ING analysts noted that improved storage levels and weaker demand from Asia are fueling the decline. Gas storage in Europe stood at 38% full as of April 26, below the five-year average of 48.7%. U.S. natural gas prices also remain weak, hovering near multi-month lows as mild weather suppresses demand and inventories stay ample.

Oil Commitment Hinders Japan-U.S. Tariff Deal

Negotiations between the U.S. and Japan on tariffs are stuck, mainly over Japan’s reluctance to commit to buying oil from Alaska’s pipeline, reports Fox Business’s Charlie Gasparino. Howard Lutnick remains influential in the talks and has argued that tariffs won’t lead to inflation. However, GOP lawmakers are expressing growing concerns about inflation risks and a potential slowdown in Middle America. Wall Street executives expect clarity within the next two months.

Chinese Gold Demand Shifts Amid Price Surge

Gold consumption in China fell by 5.96% in Q1 2025, according to the China Gold Association. High gold prices pushed consumers away from jewelry, where demand plunged nearly 27%, toward investment products like bars and coins, which saw a 30% surge. Domestic gold production rose 1.49% to 87.243 tons, while gold ETF holdings grew sharply by over 300% year-on-year, reflecting a strong shift toward financial caution amid global uncertainties.

Europe News

Swiss Sight Deposits Rise Slightly, SNB Adjusts Reserve Rate Threshold

The Swiss National Bank reported total sight deposits at CHF 451.1 billion for the week ending April 25, up from CHF 448.3 billion previously. Domestic deposits climbed to CHF 442.6 billion from CHF 439.7 billion. Although deposits increased, the change is not large enough to suggest heavy SNB intervention. Separately, the SNB announced a reduction in the threshold factor for full-interest reserve payments from 20 to 18, effective June 1. The last adjustment was in December.

UK Retail Sales See Strongest Bounce Since October

April’s CBI retail sales balance rose to -8 from -41 previously, the highest reading since October 2024. Improved weather may have contributed to the rebound, similar to the pattern seen in March. However, forward-looking expectations for May deteriorated, with the outlook balance slipping to -33 from -30.

ECBs DeGuidos: Incoming data suggest modest growth in the quarter of 2025

ECB’s DeGuidos is speaking:

• incoming data suggests modest growth in the first quarter of 2025.
• Looking ahead, inflation is expected to hover around our target
• Meeting by meeting approach to setting the appropriate monetary policy stance

ECB’s Rehn: More cuts forecast correct if outlook shows undershoot of 2% inflation

• Not exactly groundbreaking stuff

• Tariff effects in eurozone are two ways
• Underlying inflation pressures are easing

ECB’s Villeroy: We still have a margin for rate cuts in Europe

• Remarks by ECB policymaker, Francois Villeroy de Galhau

• We are in a moment of great economic uncertainty
• But does not see any extra inflation in the region
• Does not anticipate a recession in France, Europe
• Trump’s policies, US protectionism are not working

UK Growth Forecasts Cut as U.S. Tariffs Loom

The UK Times reports that Trump’s tariffs are expected to weigh heavily on the British economy. EY Item Club, linked to accountancy giant EY, has revised its UK GDP growth forecast down to 0.8% for 2025 (previously 1%) and cut its 2026 projection from 1.6% to 0.9%. Around 16% of UK exports head to the U.S., meaning new tariffs — including 10% on most goods and 25% on cars, steel, and aluminum — are a major threat. EY warns that consumer spending and business investment are also likely to weaken in response.

ECB’s Kazaks urges caution on further European Central Bank rate cuts

Latvian central bank governor, and therefore a Governing Council member of the European Central Bank, Martins Kazaks. Comments reported via Bloomberg.

• US tariff policies may slow down inflation and cause a recession
• But developments are head are unclear right now
• “If inflation were to undershoot the target significantly and for an extended period of time, the natural choice would be to lower interest rates into stimulus territory. Currently it is not the case.”
• “We are at 2.25% — the question is more about whether we will have to go much lower below 2%. We’ll do it if we have to, but the economic picture would have to become much weaker for that to happen and to weigh down on inflation further.”

ECB’s Simkus says the Bank could lower interest rates at least two more times this year

• Bloomberg is gated, but in brief:

ECB could lower interest rates at least two more times this year, citing:

• global trade weakness, largely caused by new US tariffs, is bringing a new threat to Europe’s economy
• inflation was declining and could slow down even further in the months ahead
• still room to ease policy without generating financial instability or overheating the economy

Asia-Pacific & World News

China Denies Recent Talks Between Xi and Trump

China’s Foreign Ministry has denied reports of recent communications between President Xi Jinping and former U.S. President Donald Trump. Officials stated that no negotiations or discussions on tariffs have taken place between the two sides.

PBoC Deputy Governor Confirms Plans for Rate Cuts

A deputy governor from the People’s Bank of China said the central bank would lower the reserve requirement ratio (RRR) and interest rates at an appropriate time. The focus will be on stabilizing employment and economic growth, while also supporting the financing needs of exporters. The PBoC is preparing additional policy tools and plans to introduce new measures as necessary.

China Approves 10 More Nuclear Reactors

China’s State Council has greenlit the construction of 10 new nuclear reactors, marking the fourth consecutive year of double-digit approvals. With 30 reactors currently under construction — almost half of the world’s total — China is on track to surpass the U.S. as the largest atomic energy producer by decade’s end. The newly approved projects are valued at around 200 billion yuan ($27 billion).

China Launches New Measures to Boost Economy and Jobs

At a major press conference, top Chinese officials from the National Development and Reform Commission, the Ministry of Commerce, the Ministry of Human Resources, and the PBoC outlined new strategies to strengthen economic growth and employment. Officials reaffirmed China’s commitment to a 5% growth target, announced additional policies coming in Q2, and emphasized resilience in the yuan despite global financial market volatility. Efforts will also focus on expanding domestic consumption, healthcare services, and childcare, while ensuring stability in the job market amid export challenges.

China’s Vice Commerce Minister: Exports Stable, Imports to Rise

China’s Vice Commerce Minister Sheng stated that exports held steady in April and the country will work to expand imports. New efforts will aim to better integrate domestic and foreign trade, strengthen support for exporters through enhanced financing tools, and open up new markets abroad. Sheng emphasized plans to promote large equipment exports and further liberalize trade policies.

China’s Industrial Profits Rebound in First Quarter

New data shows China’s industrial profits rose 0.8% year-over-year in Q1, reversing a previous 0.3% decline from January–February. For March alone, profits increased 2.6%. Strong performance in sectors like wearable devices and kitchen appliances, boosted by government incentives, contributed to the gains. However, external risks, deflationary pressures, and weak consumer demand still threaten future profitability. State-owned and private enterprises saw slight declines, while foreign companies posted a modest rise.

PBoC Expected to Lower RRR and Interest Rates in Q2

China Securities Daily reports that the People’s Bank of China is anticipated to cut both the reserve requirement ratio (RRR) and benchmark interest rates sometime in the second quarter. Such speculation about easing monetary policy is frequent, but the pressure from external economic challenges and slowing domestic momentum adds credibility to the latest forecasts.

Walmart Tells Chinese Suppliers to Restart Shipments

Following recent meetings between major retailers and the White House, Walmart has informed its Chinese suppliers to resume shipments that were previously paused due to tariff tensions. Hong Kong’s Ming Pao, reporting from the Canton Fair, noted that several exporters independently confirmed Walmart’s notice. It’s important to remember that buyers are responsible for all tariffs. One ceramics exporter pointed out that only seasonal goods are currently being prioritized for shipment.

PBOC sets USD/ CNY reference rate for today at 7.2043 (vs. estimate at 7.2828)

• PBOC CNY reference rate setting for the trading session ahead.

PBOC injects 279bn yuan via 7-day RR, sets rate at 1.5%

• 176bn yuan mature today
• net injection is 103bn yuan

RBA’s Christopher Kent to Speak on FX Markets

Reserve Bank of Australia Assistant Governor (Financial Markets) Christopher Kent is scheduled to deliver a keynote address on “Australia’s External Position and the Evolution of the FX Markets.” The speech will take place on Tuesday, April 29, 2025, at 12:05 p.m. Sydney time (0205 GMT / 2205 U.S. Eastern on Monday), hosted by Bloomberg in Sydney.

Japan Insists on Full Tariff Removal in U.S. Talks

Japan’s Economy Minister Ryosei Akazawa reiterated that Japan is still demanding the complete removal of U.S. tariffs. He stressed that Japan will not trade concessions on agriculture for benefits in the automotive sector. Akazawa emphasized that Tokyo’s stance in the negotiations remains unchanged.

South Korea Rules Out U.S. Trade Deal Before Election

South Korea has confirmed that no trade agreement with the U.S. will be finalized before its presidential election on June 3. The two countries plan to form several working groups to address issues like tariffs and economic cooperation, but a full trade deal will have to wait until after the election.

Toyota Considering Major Investment in Key Supplier

Reuters reports that Toyota is exploring a significant investment in Toyota Industries, one of its core parts suppliers. Following the news, Toyota Industries shares hit the upper trading limit, jumping 23%. If realized, it would mark the biggest one-day gain for the company in more than 40 years, based on LSEG data. Over the weekend, Toyota confirmed it is weighing options, including a partial investment. Bloomberg also reported that Toyota’s chairman and founding family proposed a 6 trillion yen ($42 billion) buyout. However, Toyota Industries said no formal offer had been made.

Japan’s Top Currency Official Denies U.S. Yen Pressure Report

Japan’s chief currency diplomat Atsushi Mimura dismissed reports claiming that U.S. Treasury Secretary Bessent pushed for a stronger yen during recent bilateral meetings. Mimura stated there were no discussions about exchange-rate targets at the talks between Finance Minister Katsunobu Kato and Bessent in Washington. Kato also refuted the claims on social media, though he didn’t specify if the U.S. raised any currency-related concerns. Despite denials, market watchers remain alert to potential U.S. pressure on Japan regarding the yen.

Bank of Japan Likely to Hold Rates Steady Amid Trade War Risks

According to a Bloomberg survey, the Bank of Japan is expected to pause its rate hikes at its April 30–May 1 meeting, keeping rates at 0.5%. New tariffs imposed by the U.S. are projected to shave about 0.5% off Japan’s GDP, pushing any further rate increases to at least October. Although inflation remains elevated, the BOJ plans to move cautiously to avoid worsening a potential slowdown.

Crypto Market Pulse

Crypto ETFs See Massive Inflows as Bitcoin Eyes $120K

Crypto ETFs attracted $3.4 billion in inflows last week, the third-largest weekly total ever. Standard Chartered’s Geoffrey Kendrick forecast Bitcoin could hit $120,000 in Q2, reaffirming a $200,000 year-end target. U.S. crypto products led inflows at $3.3 billion, with Germany and Switzerland adding $51.5 million and $41.4 million, respectively. Strategy Capital also bought 15,355 Bitcoin worth $1.4 billion, bringing its total holdings to 553,555 BTC.

Ethereum Battles $1,800 Resistance Despite Whale Buying

Ethereum fell 2% Monday to $1,760, struggling to break above $1,800 despite strong buying from whales and institutions. Last week, whales added 149,000 ETH, while U.S. spot Ether ETFs netted $157.1 million in inflows. Futures liquidations totaled $56.5 million over 24 hours. Although buying interest has increased, repeated rejections at $1,800 show bears are defending key technical levels.

Crypto Market Reclaims $3 Trillion; Monero Steals Spotlight

The total crypto market cap rebounded to $3.1 trillion Monday, ahead of Trump’s 100-day speech. Bitcoin crossed $95,000 amid expectations of potential crypto policy updates. Monero (XMR) soared over 15% following a $333 million transaction, becoming the most-searched token on CoinGecko. Sui (SUI) and XRP also advanced. ProShares plans to launch leveraged XRP futures ETFs, and Bitget initiated legal action over alleged VOXEL futures manipulation.

XRP Rallies on ETF Approvals as Ripple Dismisses IPO Rumors

XRP gained over 3% Monday, trading around $2.33 after the SEC approved ProShares’ XRP futures ETFs. Meanwhile, Ripple’s president Monica Long confirmed there are no plans for a 2025 IPO, stating the company remains financially strong. Technically, XRP could rally another 8% if it clears resistance at $2.51. Momentum indicators suggest rising bullish pressure, with XRP positioned for further gains if buyers maintain control.

The Day’s Takeaway

Day’s Takeaway: Key Market Trends & Developments

United States

• Major U.S. indices closed mixed after a late rebound:
  • Dow +0.28%
  • S&P 500 +0.06%
  • Nasdaq -0.10%
• Heavy earnings week ahead: 12 Dow components reporting, including Apple, Amazon, Meta, Microsoft.
• Treasury sharply raised Q2 borrowing estimate to $514 billion, up from $123 billion previously.
• Gold rallied to $3,338 as recession fears grew and Fed rate cut bets intensified.
• Economic focus: GDP, Core PCE, Nonfarm Payrolls due later this week.
• Risk-off sentiment building despite earlier optimism over trade talks with China.

Canada

• Canadian markets kept a low profile amid U.S. earnings focus.
• Trump stirred political chatter again, pushing the “51st State” rhetoric about Canada during their election day, calling for an economic merger.
• Canadian dollar traded flat to weaker against the U.S. dollar, reflecting broader risk aversion.

Commodities

• Crude oil settled lower at $62.05 (-1.54%), pressured by rising OPEC+ output and global growth worries.
• Gold regained ground, up 0.55%, driven by safe-haven demand and weaker U.S. dollar.
• European natural gas prices dropped to a nine-month low (€32/MWh), aided by strong storage levels and mild demand from Asia.
• Copper inventories in China fell by a record amount last week, signaling strong physical demand; spot premiums widened sharply.

Europe

• European gas prices slumped for a fourth straight session; storage levels higher than average for the time of year.
• Eurozone economic sentiment weakened slightly amid ongoing uncertainty around global trade and inflation pressures.
• Traders await next moves from the ECB, especially regarding slowing inflation data.

Asia

• China’s industrial demand signals strength:
  • Copper inventories at Shanghai Futures Exchange saw their steepest-ever weekly drop.
  • China’s gold consumption fell nearly 6% year-over-year in Q1 as high prices hit jewelry demand.
• Beijing reiterated confidence in reaching its 5% GDP growth target, pledging additional stimulus if needed.
• Japan faces ongoing tariff tensions with the U.S., with negotiations slowed by oil purchase commitments.

Rest of the World

• South Korea confirmed no U.S. trade deal will be reached before its June presidential election.
• Swiss sight deposits rose slightly; SNB cut its sight deposit interest rate threshold starting June 1.
• Broader emerging markets showed signs of stress as dollar weakness did not fully translate into relief rallies.

Crypto

• Crypto market cap reclaimed $3.1 trillion.
• Bitcoin broke above $95,000; Standard Chartered sees $120,000 target for Q2.
• Crypto ETFs pulled in $3.4 billion last week, the third-highest inflow on record.
• Monero (XMR) surged 15% and became the most-searched token after a controversial $333 million transaction.
• Ethereum whales accumulated 149,000 ETH, but ETH still struggles to break $1,800 resistance.
• XRP gained 3% as the SEC approved XRP futures ETFs; IPO rumors around Ripple were quashed.