Stocks Volatile as Iran Tensions Rise: Market Analysis for May 4th, 2026

STA Research
May 4th, 2026
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Global Markets

Canadian Markets

Canada’s TSX dropped 0.75%, driven by declines in financials and technology sectors, while energy stocks helped offset some weakness as crude prices rose amid renewed Middle East tensions. On Monday Statistics Canada posted a update release on February’s GDP growth which came in at 0.2% growth. Auto sales dropped 3.9% drop in April, which part of the weakness is being contributed to rising oil prices,  New data also showed that 36% of restaurants are operating at a loss or break-even, signaling deteriorating discretionary spending and margin compression across consumer-facing sectors.

American Markets

US stock traded lower as rising tensions with Iran initially pushed oil higher, tightening financial conditions and weighing on risk appetite. GameStop Corp. dropped 10% in trading following a controversial acquisition bid for eBay Inc. adding to market fragility. Goldman Sachs warned that global oil inventories are approaching an eight-year low, raising the risk of structurally higher energy prices if geopolitical disruptions persist.”

European Markets

European stocks moved lower as automakers came under pressure from the potential 25% U.S. tariff threats, compounding an already fragile macro environment where prolonged conflict could reignite inflation and force the European Central Bank into renewed rate hikes as early as June.

UK markets were closed for the Bank holiday.

Corporate Stock News

Amgen Inc. (AMGN:US) — Guggenheim cut the price target to $340 from $351, citing potential disappointment in pipeline data (MariTide and olpasiran), signaling weaker near-term biotech catalyst expectations.

Ameriprise Financial Inc. (AMP:US) — Piper Sandler raised the price target to $471 from $460 after stronger-than-expected Q1 results, reflecting improved earnings momentum.

Berkshire Hathaway Inc. (BRK.B:US) — Reported $11.35B operating profit, up 18% year-over-year, while incoming CEO Greg Abel emphasized disciplined capital allocation and low bureaucracy.

Blue Owl Capital Inc. (OWL:US) — Brown University reduced its stake in a Blue Owl credit fund by ~53%, reflecting growing caution in private credit valuations.

CBOE Global Markets Inc. (CBOE:US) — KBW raised the price target to $335 from $300 after strong Q1 revenue growth driven by higher market volatility.

Citigroup Inc. (C:US) — Appointed Anita Li as head of Hong Kong corporate banking, supporting expansion in Asia-focused corporate and institutional services.

Coinbase Global Inc. (COIN:US) — Progressed U.S. crypto legislation after resolving Senate disputes over stablecoin yield rules, improving regulatory clarity.

Colgate-Palmolive Co. (CL:US) — JPMorgan raised the price target to $96 from $95, expecting normalization in growth in 2026 supported by higher marketing spend.

Definity Financial Corp. (DFY:CA) — Jefferies raised the price target to $81 from $76, citing stronger premium growth and operating leverage into 2027.

Domino’s Pizza Inc. (DPZ:US) & Wingstop Inc. (WING:US) — Both reported weaker sales growth as higher fuel costs reduced consumer discretionary spending.

GameStop Corp. (GME:US) — Shares fell after a $56B bid for eBay raised financing concerns and skepticism over deal feasibility.

Imperial Oil Ltd. (IMO) (IMO:CA) — JPMorgan cut the price target to $149 from $155 following a Q1 earnings miss.

Meta Platforms Inc. (META:US) — Facing a New Mexico trial that could force major changes to its social media platforms over alleged harm to minors.

United Airlines Holdings Inc. (UAL:US) — Investigating a runway incident where an aircraft struck airport infrastructure during landing approach.

Virtus Investment Partners Inc. (VRTS:US) — Piper Sandler cut the price target to $170 from $181 after a Q1 earnings miss, reflecting near-term pressure on performance.

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