Market Summary - May 29, 2026
Market Overview
On May 29, 2026, oil prices experienced a decline, dropping below $92 per barrel, which alleviated some inflationary concerns and reduced the likelihood of rising bond yields. In the early trading session, US index futures showed slight gains, while European equity futures also posted modest increases, with the DAX (DE40) futures contract rising by 0.3%. The EUR/USD currency pair saw a slight decrease, and Bitcoin was down 0.3%, struggling to regain bullish momentum after a recent sell-off.
Corporate Earnings
Costco Wholesale reported its fiscal Q3 earnings, posting an earnings per share (EPS) of $4.93, which was slightly above the consensus estimate of $4.91. The company's revenue reached $70.53 billion, surpassing analyst expectations of $69.62 billion. However, comparable company-wide sales, excluding gasoline prices and foreign exchange effects, increased by 6.6% year-over-year, which was marginally below the market expectation of 6.7%.
In a notable market reaction, Dell Technologies shares surged nearly 40% in after-hours trading after the company raised its full-year guidance and reported first-quarter results that exceeded expectations for both revenue and earnings.
Conversely, shares of American Eagle Outfitters fell by 11% following a 2% year-over-year decline in comparable sales for its American Eagle brand during the first quarter.
Geopolitical and Economic Insights
US Treasury Secretary Scott Bessent highlighted that the United States has implemented the most stringent sanctions on Russia, particularly targeting Russian oil exports. He reaffirmed the US's position as a global leader in artificial intelligence, emphasizing collaboration with AI companies to balance innovation with regulatory safety. Bessent also noted that the global oil market remains well supplied, with nearly 2,000 ships currently waiting to depart from the Gulf region.
In Japan, housing starts fell by 11.4% year-over-year, significantly missing market expectations of a 14.8% increase. However, Japan's consumer confidence index rose to 33.6, surpassing the forecast of 32.4. Additionally, German import prices increased by 1.2% month-over-month, slightly above the expected 1.1% increase.