Global stocks were mostly up on Wednesday as the US-China tariff truce continued to support risk appetite — though gains were modest as traders waited for new data and clarity on the Federal Reserve’s next moves.

Markets at a glance: The S&P 500 rose 0.1% for its sixth consecutive day in the green, extending this week’s rally and adding slightly to its YTD gains after wiping out year-to-date losses on Tuesday. The Nasdaq was up 0.6%, while the Dow Jones slipped 0.2%.

USD finds footing after recent slide — and yields edge higher: The greenback strengthened against a basket of major currencies and US Treasury yields ticked higher as investors await retail and producer price data.

Gold tumbles as safe-haven demand fades: Gold prices fell to a one-month low as easing trade tensions weighed on demand for the yellow metal. Spot gold dropped 2% to USD 3,182 an ounce, while US gold futures fell 1.8% to USD 3,188.

Cautious optimism sets in — but doubts remain: “It’s all about the change in risk appetite,” Danske Bank’s Lars Skovgaard told Reuters. “I have a hard time seeing that we’ll go back to this extreme political noise.” However, Gavekal Research’s Wei He argued that “there’s still plenty of uncertainty about the outlook,” pointing to the fact that US tariffs on Chinese goods remain significantly higher than pre-2025 levels.

All eyes on the Fed and April’s data: With inflation easing but trade policies still in flux, the Fed has signaled it will wait and assess the full impact before moving on rates. Vice Chair Philip Jefferson said yesterday that the CPI data showed progress toward the Fed’s 2% target, but noted the risk that new import levies could drive prices higher. Fed Chair Jerome Powell is expected to speak today, markets will also be on the lookout for April’s producer price index and retail sales data, both of which are due later today.

MARKETS THIS MORNING-

Asian markets are in the red in early trading this morning. Japan’s Nikkei is down 1.2%, the Shanghai Composite is looking at losses of 0.4%, the Hang Seng and Korea’s Kospi are both down 0.2%.

TASI

11,532

0.0% (YTD: -4.2%)

MSCI Tadawul 30

1,467

-0.5% (YTD: -2.8%)

NomuC

27,887

-0.2% (YTD: -11.4%)

USD : SAR (SAMA)

USD 3.75 Sell

USD 3.75 Buy

Interest rates

5.0% repo

4.5% reverse repo

EGX30

31,828

+0.4% (YTD: +7%)

ADX

9,621

-0.1% (YTD: +2.2%)

DFM

5,360

-0.1% (YTD: +3.9%)

S&P 500

5,893

+0.1% (YTD: +0.2%)

FTSE 100

8,585

-0.2% (YTD: 5%)

Euro Stoxx 50

5,403

-0.2% (YTD: 10.4%)

Brent crude

USD 65.78

-1.3%

Natural gas (Nymex)

USD 3.46

-5.2%

Gold

USD 3,184.1

-2%

BTC

USD 103,349

-1.2% (YTD: 10.7%)

Sukuk/bond market index

912.62

-0.01% (YTD: +1.2%)

S&P MENA bond & sukuk

143

-0.03% (YTD: +2.2%)

VIX (Fear gauge)

18.62

+2.2% (YTD: 7.3%)

THE CLOSING BELL: TADAWUL-

The TASI was unchanged yesterday on turnover of SAR 6 bn. The index is down 4.2% YTD.

In the green: Cenomi Retail (+9%), Riyadh Cables (+6.2%) and Mepco (+5.7%).

In the red: STC (-5.4%), Taiba (-5.4%) and Saudi Electricity (-4.9%).

THE CLOSING BELL: NOMU-

The NomuC fell 0.2% yesterday on turnover of SAR 43.9 mn. The index is down 11.4% YTD.

In the green: Tadweeer (+10.4%), Taqat (+8.9%) and Apico (+7.9%).

In the red: Meyar (-9.8%), United Mining (-6.4%) and Future Care (-4.8%).

CORPORATE ACTIONS-

The Arabian United Float Glass Company’s top brass authorized a dividend payout of SAR 17 mn for FY 2024 at SAR 1 per share, according to a disclosure to Tadawul. The distribution date is yet to be announced.

MOBI Industry will distribute SAR 7.5 mn in dividends for 1Q 2025 at SAR 0.15 per share on 29 May, according to a disclosure to Tadawul.

The BoD of Saudi Printing and Packaging Company (SPPC) recommended the reduction of the company’s capital to absorb accumulated losses to below 50%, according to a disclosure to Tadawul. The recommendation follows a previous request last December by the company to the Capital Market Authority to convert SAR 73.7 mn in debts owed to Alinma Bank into capital — which is still under review by the CMA.

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