Global Market Update
Canadian Markets
Canada’s main stock index fell initially on Tuesday on declines in oil and gold prices, but the markets managed to squeeze into the green by the afternoon. The commodities weighed on energy and materials stocks—key components of the TSX., but the broader economic outlook saw a modest boost after Oxford Economics noted that Canada had effectively suspended most of its retaliatory tariffs on U.S. goods. This move is expected to ease inflationary pressures and support domestic growth, providing some relief amid ongoing global economic uncertainty.
American Markets
American stocks traded in a subdued fashion following a strong start to the week. Earlier gains were driven by a cooler-than-expected inflation report and a temporary truce in trade tensions between the U.S. and China, both of which helped lift market sentiment. However, with attention now shifting toward the prospects of further trade negotiations and the durability of any agreement, investors turned more cautious. Despite the broader market slowdown, the Nasdaq continued to outperform, buoyed by strength in AI-related stocks, which remain a hotbed for investor enthusiasm amid growing adoption and innovation across the tech sector.
European Markets
European markets declined, snapping a four-day winning streak as investors locked in profits. Economic data from Spain showed April inflation holding steady at 2.2%, raising questions about the trajectory of price pressures across the eurozone. Traders appeared to reassess growth prospects and the potential response from the European Central Bank, which remains on a cautious path regarding interest rates.
In the UK, markets also saw losses, with luxury fashion brand Burberry announcing a major workforce reduction of 20%, triggering concerns about consumer demand and company margins. However, on the macroeconomic front, the UK economy showed surprising strength, growing 0.5% in February—exceeding economists’ expectations and marking a rebound from the 0.1% contraction in January.
Corporate Stock News
Alcon AG‘s shares fell sharply after the company missed first-quarter estimates and revised its 2025 outlook, raising its sales forecast to between $10.4 billion and $10.5 billion due to foreign exchange tailwinds but lowering its core operating margin guidance to 20–21%, down from the previously expected 21–22%.
American Eagle Outfitters Inc withdrew its annual forecasts and recorded a $75 million inventory charge on its spring and summer collections due to economic uncertainty and tariffs, leading to an 18% drop in its stock during extended trading after it reported a roughly 5% decline in first-quarter revenue to $1.1 billion.
Apple Inc saw significant discounts of up to $351 on its iPhone 16 models offered by Chinese e-commerce platforms like JD.com as part of an effort to revive sales in China ahead of the June 18 “618” shopping festival, following a decline in first-quarter shipments in the region.
Boeing Co had its target price raised by TD Cowen to $200 from $180 after delivering 45 aircraft in April and with expectations for a rise in orders following the Paris Air Show in June.
Data Communications Management Corp had its price target cut to C$3.75 from C$4 by Acumen Capital after the company missed the brokerage’s free cash flow estimates for the first quarter.
Dorel Industries Inc had its target price reduced to C$2.25 from C$4.50 by BMO, which cited ongoing pressure on the company’s home segment after disappointing first-quarter revenue.
Ford Motor Co announced a recall of 273,789 vehicles in the U.S. due to potential brake fluid leaks caused by contact between brake lines and engine components, while workers in Cologne, Germany went on strike in protest against planned job cuts across its European operations.
GSK Plc agreed to acquire efimosfermin, a liver disease treatment in late-stage development, from Boston Pharmaceuticals for up to $2 billion in a deal that includes an upfront payment of $1.2 billion and up to $800 million in milestone payments.
JD.com Inc had its price target raised by JPMorgan to $48 from $46, citing the company’s expanding food delivery business as a potential driver for its core e-commerce growth.
Meta Platforms Inc was targeted by Austrian privacy group NOYB, which threatened legal action if Meta proceeds with plans to use European users’ data to train AI models, challenging the company’s claim of “legitimate interest” under EU privacy law.
New Fortress Energy Inc delayed its quarterly filing due to the resignation of its accounting chief and pending completion of a $1.06 billion sale of its Jamaica business to Excelerate Energy, with the company now aiming to file within a five-day extension window.
Novo Nordisk A/S entered a collaboration with U.S. biotech firm Septerna in a deal worth up to $2.2 billion to develop oral small-molecule drugs for obesity, type 2 diabetes, and other cardio-metabolic diseases, as it continues to expand its dominance in the weight-loss drug market.
Nucor Corp reported a cyber security incident involving unauthorized access to IT systems, prompting the temporary shutdown of certain operations while the company works with federal authorities and experts to investigate and contain the breach.
Nvidia Corp saw its CEO Jensen Huang’s net worth soar to $120 billion amid surging demand for AI chips, and its stock rose 5.6% after it struck a deal to supply chips to Saudi Arabia, helping push its market cap to $3 trillion during President Trump’s trade visit to the region.
Pfizer Inc was the subject of an EU court ruling which found that the European Commission failed to justify its refusal to release text messages between its president and Pfizer’s CEO regarding COVID-19 vaccine negotiations, raising concerns about transparency.
Power Corporation of Canada had its target price raised by BMO to C$54 from C$52 following a corporate reorganization that simplifies its structure and provides modest earnings per share accretion.
Rivian Automotive Inc was downgraded to “hold” from “buy” by Jefferies due to a more pessimistic outlook on demand for the year.
Sony Group Corp projected a slight 0.3% increase in operating profit for the fiscal year ending March despite a 100 billion yen hit from U.S. tariffs, as sales from first-party games are expected to offset a 38% year-over-year drop in PS5 unit sales and a 12.5% decline in gaming division profits.
Southwest Airlines Co filed a request with U.S. regulators to expand its international route permissions, including to Europe, though it clarified that the filing is not necessarily indicative of imminent service launches.
Tesla Inc resumed plans to ship components from China to the U.S. for its Cybercab and Semi production following a U.S.-China trade truce, while its board formed a special committee to review CEO Elon Musk’s compensation package, which may result in a new stock options plan.
Tiny Ltd received a rating upgrade to “Speculative Buy” from “Hold” and a target price increase to C$1.75 from C$1.35 by Canaccord Genuity, which expects growth from its 66% acquisition of Serato Audio Research.
TotalEnergies SE announced it would sell a 50% stake in Polish biogas firm Polska Grupa Biogazowa to Norwegian investor HitecVision for $213.6 million, a move aimed at scaling PGB’s operations through greenfield projects and acquisitions.
Toyota Motor Corp had a 2023 settlement with the U.S. Consumer Financial Protection Bureau canceled, with the agency also dropping a lawsuit against Walmart and Branch over fees imposed on delivery drivers, part of the Trump administration’s ongoing effort to reduce consumer finance oversight.
Trimble Inc had its target price raised by JPMorgan to $88 from $84, with analysts expressing increased confidence in the company’s ability to outperform the market regardless of economic conditions.
UnitedHealth Group Inc had its target price slashed to $400 from $600 by Oppenheimer after it named a new CEO and suspended its full-year 2025 guidance amid rising Medicare-related care activity.
Venture Global Inc delivered its first LNG cargo to Italy’s Edison under a contract signed in 2017, but Edison confirmed it would continue legal arbitration in London over delivery delays it claims breached contract terms.
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