Market Summary - May 15, 2026

US OPEN: Wall Street Bleeds After Trump's Beijing Visit

Key Takeaways

• The Trump-Xi meeting has yielded no major revelations.
• Issues surrounding rare earth metals and the war in Iran remain unresolved.
• The headlines are not particularly favorable for the semiconductor sector.
• US bond yields continue to rise – 10-year yields are at their highest level in a year.

Market Performance

All major US stock indices are reporting losses today. The Russell 2000 leads the decline at -2.4%, followed by NASDAQ Composite at -1.4% and S&P 500 at -1.1%.

Reasons for the Sell-off

1. Disappointing Outcomes from Trump’s Beijing Visit:

   The lack of significant deals, particularly regarding the sale of NVIDIA chips, has led to pessimism. Trump indicated that China is not purchasing American technology, opting instead to enhance its own capabilities. NVIDIA's stock fell by 4.4%, while other semiconductor companies like Intel, Micron, AMD, and ARM Holdings also experienced declines.

2. Inflation Concerns:

   Recent inflation readings have raised alarms, with consumer inflation reaching 3.8% (highest since May 2023) and producer inflation at 6% (highest since December 2022). This has resulted in a significant increase in US bond yields, with the 10-year yield rising to 4.57%, the highest in a year, and a strengthening dollar.

3. Profit-Taking:

   After substantial gains in recent weeks, particularly a 30% increase in the NASDAQ 100 since late March, investors are taking profits, leading to declines in stock indices.

Technical Analysis

The upward momentum of the US100 index has slowed around 29,700 points, facing a strong supply barrier. The price is nearing a test of the EMA 50 at approximately 29,000 points, suggesting a potential correction before attempting to breach the psychological level of 30,000 points.

Company News

• NVIDIA (NVDA.US):

  Shares are down due to disappointment over the lack of formal agreements from the Trump-Xi summit, leading to profit-taking ahead of the upcoming financial report.

• Intel Corp. (INTC.US):

  Stock price fell over 6% as investors reacted to market sentiment despite strong fundamentals and a tripling of share value since the start of the year.

• Figma (FIG.US):

  Reported a 46% year-over-year revenue increase, but shares are still down over 70% year-to-date.

• Klarna (KLAR.US):

  Surprised the market with improved profitability, but shares fell due to a weaker-than-expected forecast for Q2.