International oil prices posted significant gains last week. The main contract for U.S. crude oil futures rose by 10.48%, while the main contract for Brent crude oil futures increased by 7.87%.
Gold and silver prices faced downward pressure last week due to rising U.S. Treasury yields and a strengthening U.S. dollar. The main contract for New York gold futures declined by 3.57%, and silver futures fell by 4.10%.
U.S. major stock indices showed mixed performance last week. Despite being buoyed by gains in technology stocks, which pushed the S&P 500 and Nasdaq to multiple record closing highs, the tech sector faced profit-taking by investors on Friday, leading to a significant market pullback. For the week, the Dow Jones Industrial Average fell 0.17%, the S&P 500 edged up 0.13%, and the Nasdaq Composite dipped 0.08%.
In the commodities market, international oil prices surged last week amid uncertainties in U.S.-Iran negotiations and ongoing disruptions to crude exports from the Middle East.
In the precious metals market, gold and silver prices declined overall last week under pressure from higher U.S. Treasury yields and a stronger dollar.
Turning to this week, tensions in the Middle East have not significantly eased. On Monday, international oil prices rose during Asian trading hours. As of 8:00 AM Beijing time, both New York and Brent crude prices were up over 1%.
The Federal Reserve is scheduled to release the minutes from its April Federal Open Market Committee (FOMC) monetary policy meeting this Wednesday. Market expectations currently lean toward the Fed's next move being a rate hike rather than a cut. Data from the London Stock Exchange Group indicates a 64% probability of a 25-basis-point rate hike by the Fed within the year. Additionally, markets will focus on the preliminary U.S. Manufacturing and Services PMI data for May, released this Thursday, to gauge whether business confidence remains resilient against the backdrop of high energy prices and heightened uncertainty in the Middle East.
As the U.S. first-quarter earnings season nears its end, market attention this week is on Nvidia's fiscal 2027 first-quarter earnings report, scheduled for release after the market closes this Wednesday. Citigroup expects Nvidia's first-quarter revenue to reach approximately $80 billion, about $1.4 billion above market consensus. As the world's most valuable company by market capitalization, Nvidia's stock has rallied nearly 35% since its late-March lows. Analysts believe Nvidia's earnings performance will not only test the validity of its recent stock price surge but also serve as a crucial indicator for assessing the broader artificial intelligence industry's health, potentially influencing the entire AI supply chain's market trajectory.
Furthermore, earnings reports from several major U.S. retailers, including Walmart, Target, and Home Depot, are due this week and are also under close market scrutiny. These reports will help markets determine whether U.S. consumer spending patterns have shifted amid persistently high gasoline prices. Data released last week showed that both the U.S. Consumer Price Index (CPI) and Producer Price Index (PPI) for April reached multi-month highs, indicating ongoing intensification of inflationary pressures.
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