Markets swung from panic to relief as Trump’s softer China rhetoric and talks of de‑escalation sparked a risk‑on bounce. The S&P 500 and Nasdaq jumped, led by AI and chip names, while the Dow trailed. Volatility remains elevated; gold and miners outperformed as traders priced geopolitical and tariff risks.
Beijing’s new restrictions on rare-earth exports are rattling global supply chains for chips, EVs and defence. Western companies warn of supply disruptions and higher costs as markets reprioritise sourcing and stockpile miners.
49% – Gold’s 12‑month gain, reflecting a major safe‑haven rally over the past year.
Reciprocal port fees from Washington and Beijing kick in, escalating trade friction and raising shipping costs. Markets and shippers face immediate operational and pricing pressure as carriers reroute and reprice services.
JPMorgan unveiled a decade-long industrial push to shore up US supply chains and critical minerals with a $1.5tn plan. The bank is staffing up to execute investments across defence, energy and AI supply chains.
Broadcom stock surges on OpenAI chip deal
Broadcom jumped after news of a multiyear pact to supply custom AI processors to OpenAI, underscoring the rush for bespoke silicon and bolstering chipmaker valuations amid the AI data‑centre build‑out.
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OpenAI’s move to co-design chips with Broadcom sent chip stocks soaring and underscored the surge in bespoke AI hardware demand. Markets are pricing in a sustained data‑centre build-out tied to custom silicon.
Precious metals extended dramatic rallies as investors sought safe havens amid trade risk and market volatility. Silver’s squeeze disrupted London market mechanics while gold pushed toward fresh records.
PayPal downgraded to sell as margin pressure looms
Goldman Sachs cut PayPal to sell, citing mounting transaction margin pressure and weak near‑term outlook — a stark warning for payments players facing cost and competition headwinds.
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A historic crypto liquidation exposed fragile leverage structures, triggering a brutal selloff and a rapid rebound. Traders and exchanges are re‑assessing margin controls as volatility persists.
SpaceX pressed ahead with its Starship programme, executing another full-scale test flight as the firm races toward orbital demonstration and commercial heavy‑lift capability.
Key policy shifts: China tightens rare‑earth export rules; US and China activate reciprocal port fees; California enacts AI chatbot safeguards for children; Netherlands invokes emergency powers over a strategic chipmaker.
Samsung posted a sharp earnings rebound as memory demand and AI spending powered a profit recovery. The results signal a cyclical upturn for chip suppliers and hardware conglomerates.
The Dutch government invoked emergency powers over a China‑owned chipmaker amid security concerns, marking a rare intervention in a strategic sector. The move underscores escalating Western controls on semiconductor assets.
‘We need to act now.’
— Jamie Dimon, JPMorgan CEO
Markets staged a relief rally after signs the trade spat might cool, with risk-on flows into equities and crypto. Traders remain cautious, pricing quick changes in rhetoric and policy as catalysts for volatility.
JPMorgan will funnel capital into US companies with national‑security links, a separate pledge aimed at strengthening domestic industrial capacity. The move mirrors broader private‑sector responses to geopolitical risk.
The US government shutdown is squeezing services and raising fiscal risks, prompting the Treasury to prioritise critical payments while lawmakers trade warnings. Businesses fret over longer‑term economic fallout.
The front line in the Russia‑Ukraine war saw intense drone activity and strikes on energy infrastructure, raising regional energy security and supply‑chain concerns for European markets.
Institutional investors and asset managers are backing the data‑centre build‑out with big commitments to cleaner power solutions. Fuel‑cell and AI campus projects aim to cut carbon while meeting huge electricity demand.
Big-bank M&A and crypto ETFs highlight the asset‑management race for new products and scale. Goldman’s VC buy lifts its alternatives push while BlackRock’s bitcoin vehicle nears a major assets milestone.
Shipping regulators and unions clashed over decarbonisation rules as governments press a green transition for maritime trade. Industry warns that aggressive measures could undermine competitiveness without pragmatic implementation.
UK lenders widened provisions for motor‑finance redress as historical practices expose banks to mounting compensation costs. The move highlights ongoing sector damage from past credit practices.
The Nobel Prize in Economics recognised work on innovation‑driven growth and ‘creative destruction’, underscoring policy debates over tech, competition and long‑run prosperity.