ADDX GO Market Morning Wrap - 16th May

Stock Market

On Thursday (May 15), the three major U.S. stock indices diverged. The Dow Jones Industrial Average and S&P 500 Index closed higher, with the S&P 500 notching a four-day winning streak, while the Nasdaq Composite ended its six-day rally.

 

At the close, the Dow rose 0.65% to 42,322.75; the S&P 500 gained 0.41% to 5,916.93, hitting its highest closing price since March 3; and the Nasdaq fell 0.18% to 19,112.32.

 

Pharmaceutical and consumer stocks led gains. Amgen rose 3.59%, Coca-Cola gained 3.54%, and Cisco surged 4.85% on strong earnings. UnitedHealth Group plunged nearly 11%, extending its losing streak to eight straight trading days with a cumulative decline of 32.2%.

Large-cap tech stocks were broadly lower. (By market cap) Microsoft edged up 0.23%, while NVIDIA fell 0.38%, Apple dropped 0.41%, Amazon slid 2.42%, Google Class C declined 0.85%, Meta fell 2.35%, Tesla dropped 1.4%, and Broadcom rose 0.22%.

In global markets, India’s equity markets stood out, with the BSE Sensex surging 1.48% and the NIFTY 50 rising 1.60%.

Key Events

• Powell: Fed Adjusting Policy Framework Amid Supply Shock Risks. Federal Reserve Chair Jerome Powell said on May 15 that he expects April inflation to ease to 2.2%, but warned tariffs could lift prices. The Fed may announce results of its policy framework review in August or September while aiming for a "soft landing" to control inflation without derailing the economy.
• Hamas: Gaza Control on Table for Permanent Ceasefire. Bassem Naim, a senior Hamas official, told reporters on the 15th that the group is in direct talks with the U.S. to end the Gaza conflict. He said Hamas could relinquish control of the Gaza Strip in exchange for a permanent ceasefire.
• Buffett Dumps Bank Stocks, Holds Apple in Q1. Berkshire Hathaway’s Q1 13F filing showed it exited positions in Citigroup (C.N) and Nu Holdings, trimmed its stake in Bank of America (BAC.N), and maintained its Apple (AAPL.O) holding. The firm added 6.38 million shares of Constellation Brands (STZ), increased its position in Occidental Petroleum (OXY.N), and bought 860,000 shares of Pool Corp. Notably, Berkshire made no new stock purchases in Q1.
• Zelenskyy to Skip Istanbul Talks; Four Key Disputes Persist. Ukrainian President Volodymyr Zelenskyy announced at a May 15 press conference at Ukraine’s embassy in Turkey that he would not attend the Russia-Ukraine talks in Istanbul, with a high-level delegation representing Ukraine instead. 
• QIA Plans $500B U.S. Investment Over Decade. Mohammed Al Sowaidi, CEO of the Qatar Investment Authority (QIA), said the fund plans to pour an additional $500 billion into U.S. assets over the next ten years.
• SGX’s April Trading Volume Rises to $40.6B. Singapore Exchange (SGX) reported that average daily securities value (SDAV) in April surged 59% year-over-year to $1.9 billion, pushing total securities market turnover to $40.6 billion.

Forex & Commodities

COMEX gold futures settled up $38.30, or 1.20%, at $3,226.60/oz.

 

International oil prices declined on the 15th.

 

NYMEX June crude fell $1.53 to settle at $61.62/barrel (-2.42%); Brent July crude dropped $1.56 to $64.53/barrel (-2.36%).

 

The U.S. Dollar Index fell 0.16% to 100.878 in late trading.

Key Events

• U.S.-EU Tariff Talks Stall; EU Prepares New Trade Offer. The EU is revising its trade proposal with the U.S., sources said. The new plan will detail steps to reduce trade and non-tariff barriers and boost European investment in the U.S. and purchases of American products, including LNG and AI semiconductors.
• IEA: Global Oil Supply to Outpace Demand in 2025. In its May 15 report, the International Energy Agency (IEA) said oil demand growth is set to slow from 990,000 bpd in Q1 to 650,000 bpd for the rest of the year due to economic headwinds and record EV adoption. The agency forecast global oil inventories will rise by an average of 720,000 bpd this year as supply outpaces demand.

Cryptocurrency

Bitcoin fell 0.3% to $103,176, with 24-hour trading volume dropping 5.3% to $46.41 billion.

 

Ethereum (ETH-USD) slid 2.9% to $2,531.

 

XRP (XRP-USD) plunged 4.6%, BNB (BNB-USD) dipped 0.1%, Solana (SOL-USD) fell 4.4%, Dogecoin (DOGE-USD) dropped 5.2%, and Cardano (ADA-USD) declined 3.9%.

 

The total crypto market cap fell 1.3% in 24 hours to $3.3 trillion, with trading volume sinking 9.3% to $127.08 billion.

Key Events

• SEC Probes Coinbase Over Alleged User Count Inflation. The U.S. Securities and Exchange Commission (SEC) is investigating whether Coinbase (COIN.US) overstated its user numbers in past disclosures, four sources said. The probe—launched under the Biden administration and continuing into the Trump era—focuses on the firm’s claim of having over 100 million "verified users" in filings and marketing materials.