Wall Street clawed back from early losses Monday, with major indexes recovering from early losses to close mixed.
The Dow rose 0.3%, the S&P 500 edged up 0.1% to notch a fifth straight gain, and the Nasdaq slipped just 0.1% in turn.
Trade tensions stayed front and center, with Treasury Secretary Scott Bessent saying it was “up to China” to de-escalate the tariff standoff.
Nvidia shares dropped over 2% after reports that Huawei is launching a new AI chip, the “Ascend 910D,” designed to replace Nvidia’s H100. China was apparently ready for Trump’s AI chip export ban.
Adidas has shared that it will raise prices on all US products due to tariffs, a trend we’re seeing across many major brands. Markets are showing other signs of tariff strain as well:
US farm exporters reported a full-blown crisis due to tariff backlash, with China canceling massive orders of meat and produce. Farmers are grappling with how to replace lost demand from China.
And UPS is planning to cut 20,000 jobs and close dozens of their facilities in anticipation of lower Amazon orders.
International economies are in disarray, but many US companies posted positive earnings reports (see farther below). Times are tough—but not all the news is bad.
Paypal’s earnings were 14.65% higher than what Wall Street expected, at $1.33 per share instead of $1.1. Revenue was slightly below what was predicted.
Venmo’s revenue is up 20% year over year, which is double the growth of payment volume itself.
Pfizer had 37% better earnings per share than analysts thought the company would—however, uncertain macroeconomic conditions have investors unsure.
GM announced slightly higher-than-expected earnings for Q1: $2.78 instead of $2.72.
Domino's Pizza posted a 0.5% drop in US same-store sales despite beating Q1 EPS estimates; shares rose 0.63%.
MGM Resorts saw BetMGM’s Q1 net revenue jump 34% year-over-year to $657 million; shares rallied 1.71%.
Waste Management shares edged up 0.34% as investors awaited its earnings report after the close.
Welltower shares jumped 1.41% on strong earnings. The stock continued to climb post-market.
Market movers
IBM committed $150 billion to US investment over five years, including $30 billion for quantum and mainframe manufacturing.
Amazon launched the first 27 Kuiper internet satellites aboard a ULA rocket from Cape Canaveral.
Levi Strauss shareholders voted overwhelmingly to reject a proposal to end the company’s diversity, equity, and inclusion programs.
OpenAI rolled out shopping tools in ChatGPT, allowing users to browse and buy products directly through the chatbot.
Major automakers, including GM, Toyota, and Volkswagen, urged Congress to block California’s EV mandate, warning it could force them to cut shipments.
Intel signaled major layoffs after posting an $821 million Q1 loss. Reports pointed to cuts affecting up to 20% of its 109,000-person workforce.
📊 Crypto
Coinbase launched a new institutional fund offering yield on Bitcoin. BTC jumped 3.2% to within two hours of the announcement.
A suspected bitcoin theft of 3,520 BTC ($330.7 million) triggered a 50% spike in Monero as the funds were laundered through thin-liquidity exchanges.
Fintech bank SoFi is aggressively bringing crypto back to their platform. It seems like the Trump administration’s policies on crypto have caused a change in strategy for CEO Anthony Noto.
📊 Ideas, trends, and analysis
Uber is now requiring employees to be in-office 3 days a week. CEO Dara Khosrowshahi said to employees: “I want to emphasize that ‘good’ is not going to be good enough—we need to be great.”
Morgan Stanley’s CIO said the dollar’s plunge could fuel a rebound in US equities. The Dollar Index hit a three-year low this month.
Domino’s Pizza reported a surprise 0.5% drop in US same-store sales as inflation and economic uncertainty weakened consumer demand.
Apollo’s chief economist warned that President Trump’s tariffs could push the US into a recession by summer.
🌍 Global Perspectives
🇷🇺 Russian President Vladimir Putin ordered a unilateral 72-hour ceasefire in Ukraine from May 8 to 10 to mark Victory Day.
🇪🇸 A massive power outageplunged Spain and Portugal into darkness. Phone lines, traffic lights, and ATMs failed for millions across the Iberian Peninsula.
🇮🇷 Iran proposed meeting with European parties to the 2015 nuclear deal in Rome on May 2, ahead of possible negotiations with the US on May 3.
🇾🇪 A Houthi TV report said at least 68 African migrants died in a US air strike on a detention center in northwestern Yemen.
🎤 What you said last time
“Tariffs will be in place because they enable the grift.”
🧠 Miscellanea
A miniature dachshund named Valerie was finally captured after 529 days alone on Kangaroo Island.
NASA snagged a rare stellar occultation on April 7, when Uranus passed in front of a distant star.
Scientists identified two new crocodile species hiding in plain sight on Cozumel and Banco Chinchorro.
A new species of cable bacteria found in Oregon could help power future bioelectric devices.
📺 What to watch today
Valerie the Lost Dachshund Found Safe After 500 Days on Kangaroo Island | 10 News First
That’s all for today. Did I miss anything? Smash the reply button to let me know.
