The US stocks ended Wednesday trading mixed as investors weighed changing trade policies and recent strength in the technology sector. The Dow Jones Index (US30) was down 0.21% at Wednesday’s close. The S&P500 Index (US500) added 0.10%. The Nasdaq Technology Index (US100) closed higher by 0.72%. Nvidia was up 3% after reports of artificial intelligence chip shipments to Saudi Arabia, while AMD jumped 4% after unveiling a $6 billion share repurchase plan. A broader rally in support of artificial intelligence contributed to a 17% rise in Super Micro Computer shares, helping to lift overall market sentiment. Meanwhile, President Trump’s visit to the Middle East led to several new business deals, including an agreement between Boeing and Qatar Airways and artificial intelligence initiatives in the Gulf.

The Canadian dollar weakened to 1.40 per dollar, retreating from a five-month high of 1.378, which reached May 6 amid dovish Bank of Canada (BoC) expectations and ongoing trade uncertainty. A marginal jobs increase of just 7,400 and a rise in the unemployment rate to 6.9% in April reinforced market bets on a possible rate cut by the Bank of Canada as early as June, weakening the loonie’s appeal.

Equity markets in Europe were mostly down yesterday. Germany’s DAX (DE40) was down 0.47%, France’s CAC 40 (FR40) closed down 0.47%, Spain’s IBEX35 (ES35) added 0.52%, and the UK’s FTSE 100 (UK100) closed down 0.21%. Meanwhile, President Trump’s visit to the Middle East led to several new business deals, including an agreement between Boeing and Qatar Airways and artificial intelligence initiatives in the Gulf. The consumer discretionary sector continued its volatile performance, recording record losses, with LVMH and Kering down 2 and 3% and L’Oreal down 3.3%. In turn, the healthcare sector continued to decline as US President Trump was expected to adopt a policy to cap drug prices, with Sanofi and Bayer losing 1% and 2%, respectively.

WTI crude oil prices fell more than 2% to $61 per barrel on Thursday, extending losses from the previous session amid renewed oversupply concerns following an unexpected increase in US crude inventories. EIA data showed a 3.454 million barrel increase in crude inventories last week after industry data reported a significant 4.3 million barrel increase. On the supply side, OPEC lowered its forecast for non-OPEC+ production growth in 2025 to 800,000 bpd from 900,000 bpd, citing softer expectations for producers such as the US.

Asian markets were predominantly up. Japan’s Nikkei 225 (JP225) was down 0.14%, China’s FTSE China A50 (CHA50) added 1.71%, Hong Kong’s Hang Seng (HK50) was up 2.30%, and Australia’s ASX 200 (AU200) was positive 0.13% for yesterday.

China lifted export restrictions on rare earth metals and military technology for 28 US companies just two days after a major agreement between the US and China to reduce tariffs temporarily. In a sign of further improvement in relations, China also announced the temporary lifting of trade and investment bans for 17 US companies, calling the latest developments a potential reset in bilateral relations.

The Australian dollar rose to $0.644 on Thursday, rebounding some of the previous session’s losses after stronger-than-expected employment data underpinned a more hawkish outlook for monetary policy. Official data showed the Australian economy added 89,000 new jobs in April, bringing total employment to a record 14.64 million, well above the forecast of 20,000. The unemployment rate remained unchanged at 4.1%, which aligns with expectations. Although the Reserve Bank of Australia (RBA) is expected to cut the money rate by 25 basis points to 3.85% at next week’s meeting, traders have lowered expectations of further easing. Markets now estimate a total rate cut to end the year at around 76 basis points, down from 100 basis points a few weeks earlier.