Mid-Morning Look: May 29, 2026

Mid-Morning Look

Friday, May 29, 2026

U.S. stock markets jump on the open, looking to make it 7 straight up days for the S&P 500 and Nasdaq, at new all-time highs (along with the Dow) and the S&P on track for its 9^th straight week of gains as technology stock upside momentum continues to astound. There appears to be a “big” story every day in tech, with DELL grabbing the headlines Friday on a massive quarterly beat and huge guidance, sending shares up over 30% today as the AI growth engine remains in full effect. The results brings attention to the hardware sector with shares of HPE, HPQ, SMCI, moving strong this morning. Just the latest tech sector to find upward momentum that has seen memory stocks (MU, SNDK, WDC), semis (ARM, AMD, INTC), equipment names (LRCX, KLAC), optical (LITE, AAOI, COHR), quantum (IBM, IONQ, QBTS), neoclouds (NBIS, CRWV), data centers (IREN, HUT, WULF, CIFR) among those gapping the last few months as investors look for any area they can flock too with AI leverage (though some seeing weakness today). This morning, eight of the eleven S&P sectors are down on the day early including notable declines for XLC, XLE, XLP…but Tech (XLK) rises over 1.5%, leading again and keeping broader markets higher as software joins the tech party (after better SNOW, MDB, OKTA results lately) along with mass gains in semis as the SOX tops 13,000, rising 2% (up 24% this month). Massive stock moves in DELL, OKTA, PD, NTAP, ASAN in tech sector post earnings overnight. Little weakness in Small caps as Chicago PMI manufacturing data stuns to the upside, raising cases for Fed rate hikes.

Oil prices dropped to a six-week low as the US and Iran tentatively agreed to extend a ceasefire by 60 days, strengthening optimism the Strait of Hormuz may soon reopen. Brent traded near $92 a Barrel, set for a 19% monthly drop, the biggest since 2020. President Donald Trump has yet to sign off on the terms of the agreement, according to a person familiar with the matter. The Brent benchmark has plunged by about 11% this week for its steepest weekly decline since the week ending April 6. WTI, meanwhile, has dropped by nearly 10% for its biggest weekly loss since the week ending April 13. Prices have been volatile in recent sessions, swinging by as much as $6 for both benchmarks on conflicting signals over a possible end to the Iran war and potential reopening of the Strait of Hormuz, which was previously a conduit for a fifth of the world’s oil and liquefied natural gas supplies. Precious metals rebound

Risk appetite has firmed the last 2 days on a report that an extended ceasefire deal was awaiting Trump’s approval. Axios broke it mid-morning in the US, with Barak Ravid citing US officials that negotiators had reached a 60-day MOU to extend the truce, with Trump asking for a couple of days to decide. Terms reported include unrestricted Hormuz transit, Iranian de-mining within 30 days, the US naval blockade lifted, and an Iranian commitment not to pursue a weapon, with HEU disposal and sanctions and asset-unfreezing left to the 60-day window.

• Space stocks saw weakness on Friday following a recent spectacular run for the likes of RKLB, ASTS, PL, FLY, LUNR, RDW, YSS, VOYG after the Jeff Bezos run company Blue Origin had its rocket blow up on Florida’s Cape Canaveral launchpad during test. The Rocket was to carry 48 satellites into space. KRMN shares fall after announced 14M shares offloaded by existing holders at $61 as the offering size boosted from 13.5M shares. For ASTS Roth Capital said Blue Origin’s New Glenn rocket explosion will likely result in delays for the New Glenn vehicle, and AST’s commercial constellation launch, that now likely slips from Q4 of 2026 into Q1 of 2027.
• Chinese Electric Vehicles: Post recent earnings, Macquarie upgraded shares of LI from Underperform to Neutral with $15 tgt saying its large cash position (Rmb94B) is approaching its market cap (~Rmb113B), supported by the recently launched $1B buyback program and Q2 outlook suggests lower i6 volumes, which could improve mix despite a slower-than-anticipated L9 order intake, but believes Q1 is set to be the trough quarter. The firm also upgraded XPEV from Neutral to Outperform saying its strong order intake for the GX signals a strong start for Xpeng’s new model Wave, which is to be followed by the new MONA SUVs (L03/L05) and the larger G9L.

• NTAP +34%; record highs on 4Q beat, and guide 1Q/FY27 above consensus expectations amid multiple positives during the quarter including AFA strength ($1.2B; +18% YoY) and AI acceleration (500 wins), while mgmt highlighted AFX’s continued momentum and multiple wins this quarter, including a deal with a top five neo-cloud.
• NXT +13%; shares jumped after quarterly results and entered into an agreement to acquire BESS provider Prevalon Energy for up to $365M. The deal marks Nextpower’s entry into battery storage and AI data center power, adds 6.4+ GWh and a recurring LTSA base, and lifts FY27 guidance.
• OKTA +20%; Q1 that beat on all key metrics, with revenue and CRPO upside that was similar to the past few quarters (12.2% cRPO growth beat est. by ~2 pts & NRR accelerated to 107%) supported by channel strength, new products, & rep productivity; Q2 cRPO guide for 10.8% y/y growth was better than expected.
• REPL +74%; after saying it would resubmit application for its experimental treatment for advanced melanoma. The treatment, RP1, also known as vusolimogene oderparepvec, is being tested with BMY’s Opdivo; the FDA had twice rejected the drug, citing issues in clinical trials and inadequate evidence of effectiveness.

• AEO -13%; shares tumble on results as Q1 EPS/revs/margins beat while Aerie comp sales grew 25%, but American Eagle comp sales decreased 2% but markets focus on n-t SG&A and inventory concerns.
• AGIO -2%; shares tumbled after announced that it will not advance tebapivat, a next-generation oral pyruvate kinase activator, in lower-risk myelodysplastic syndromes. This decision follows results from its Phase 2b trial that did not meet the company’s predefined threshold to support further development in this indication
• ASTS -19%; along with weakness in other space stocks RKLB, PL, FLY, LUNR, RDW, YSS, VOYG following a recent spectacular run after the Jeff Bezos run company Blue Origin had its rocket blow up on Florida’s Cape Canaveral launchpad during test. The Rocket was to carry 48 satellites into space.
• GAP -15%; after mostly in-line Q1 top/bottom line results as Q1 Athleta had another tough quarter, with same-store sales falling 11%, down from an 8% decline the year before, while issued mixed guidance; ups FY26 adjusted EPS view to $2.30-$2.40 from $2.20-$2.35 but cut its FY26 rev outlook to up 1% to 2% y/y from up 2% to 3% y/y
• IHRT -17%; after NY Times Dealbook reported that talks with SIRI have stalled https://tinyurl.com/yv2rhb5r
• IOVA -6%; after competitor in melanoma space REPL files a 3rd time to FDA its application for its experimental treatment for advanced melanoma.
• KRMN -9%; shares fall after announced 14M shares offloaded by existing holders at $61 as the offering size boosted from 13.5M shares.
• S -12%; in-line Q1 and offered only in-line guidance for FY27. Positively, mgmt highlighted robust demand across endpoints, AI security, and cloud workload protection, while negatively, SentinelOne announced a restructuring plan (~8% RIF), and a large deal pipeline is back-end loaded, potentially pushing deals from 2QFY27 into 3QFY27