1. The US–China summit concluded.

2. WTI oil prices rose above $100 per barrel, as the summit yielded little progress on the Middle East tensions.

• Brent crude also surged.

3. Rising oil prices and elevated inflation readings are fueling inflation fears, intensifying a global bond sell-off.
• US Treasuries:

• UK gilts:

• Japan JGBs:

4. Equities slumped.
• S&P 500 futures:

• Euro Stoxx 50:

• Kospi:

5. Precious metals also retreated amid expectations for higher interest rates.
• Gold:

• Silver:

6. The dollar index has gained for five consecutive days.

• The level correlation between the dollar and oil flipped to positive as the US became an energy exporter.

– The rolling three-month return correlation between the dollar and oil has reached secularly high levels.

7. According to research from the International Labour Organization, roughly one in four jobs globally are exposed to generative AI, which means some of their tasks can be performed or supported by AI.

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1. Industrial production rebounded by a strong 0.7% in April, well above forecasts, driven by AI-related strength in computers and electronics, easing tariff uncertainty, and precautionary inventory building amid Middle East supply-chain concerns.

• The increase was broad-based, driven by gains in both manufacturing and utilities output.

• The ISM new orders index points to further gains ahead.

• Capacity utilization rose.

2. The New York Fed’s Empire State Manufacturing Index jumped, topping expectations.

• The new orders component strengthened further.

• Shipments remained strong.

• Employment edged down, although future expectations improved.

• Delivery times lengthened, indicative of renewed supply chain issues.

• Prices received surged.