MARKET WRAPS
STOCKS: U.S. stocks fell as blockades of the Strait of Hormuz drove oil prices higher again.
TREASURYS: Treasury yields rose as rising oil prices stirred inflation fears.
FOREX: The U.S. dollar rose against rivals on the implications of the energy shock for Federal Reserve policy.
COMMODITIES: Globally traded Brent crude oil futures topped $105 a barrel while West Texas Intermediate futures closed at $95.85 a barrel, registering their fourth straight gain, as hopes for a quick settlement to the Iran war faded.
HEADLINES
Microsoft Offers Buyouts to 7% of Workforce
Microsoft is offering long-tenured employees voluntary buyouts, a first for the software giant as it continues to reorganize staff around its push to accelerate its artificial-intelligence efforts.
The voluntary retirement program, as Microsoft calls it, is part of a broader shift by Microsoft to alter its performance system and how it awards bonuses and stock options, according to a memo to employees from Chief People Officer Amy Coleman viewed by The Wall Street Journal.
"Across the company, we're looking at where we can simplify to move faster and deliver the solutions our customers count on," Coleman wrote. "To sustain this pace, we have to stay focused on doing great work, trusting and empowering our managers, and simplifying to support everyone." Coleman wrote that the voluntary buyout is being offered to a small percentage of long-serving U.S. employees.
Meta to Lay Off 10% of Employees in May
Meta Platforms will lay off 10% of staff, or roughly 8,000 people, in May as it seeks to streamline its operations and pay for massive investments in artificial intelligence, the company said Thursday in an internal memo.
In the memo sent to current employees that was viewed by The Wall Street Journal, Chief People Officer Janelle Gale said the cuts were necessary to allow the company to operate more efficiently and to offset its investments. "This is not an easy tradeoff and it will mean letting go of people who have made meaningful contributions to Meta during their time here," Gale wrote.
The company said it would also cancel plans to hire for 6,000 open roles, the memo said. Affected employees will be notified on May 20.
Intel Stock Soars on Strong Earnings
Intel shares were up sharply in after-hours trading Thursday after the chip maker reported strong first-quarter results.
Adjusted earnings-per-share were 29 cents, well ahead of Wall Street's consensus estimate of two cents, and up from 13 cents last year. Revenue for the quarter reached $13.6 billion, above expectations of $12.4 billion, and up 7% on the year.
The stock jumped 15% in after-hours trading after the report was released.
KPMG Cutting 10% of U.S. Audit Partners After Voluntary-Retirement Push Falls Short
KPMG is cutting roughly 10% of its U.S. audit partners, people familiar with the matter said, following a yearslong effort to push more of them to voluntarily retire early.
Roughly 100 partners are exiting the Big Four accounting firm, some of whom volunteered to retire early, the people said.
KPMG said the cuts are aimed at better aligning the number of partners with the size of the audit business, as opposed to addressing individual poor performance.
American Express Profit Rises on Premium Customer Strength
American Express reported a higher first-quarter profit on the back of continued spending from upper-income customers.
"We continue to see strong demand and engagement with our premium products across our customer base," said Chief Executive Stephen Squeri in a call with analysts.
The company said cardmember spending increased 9% on a currency adjusted basis, the highest growth rate in three years. Meanwhile, spending at luxury retail merchants was up 18% in the quarter, while restaurant spending rose 9%. Airline spending also grew 8%, but the company said airline growth softened in March and April due to travel disruptions from the Middle East conflict.
Trump Administration Reclassifies Marijuana as Less Dangerous Drug
WASHINGTON-The Trump administration is reclassifying marijuana as a less dangerous drug, a significant policy shift that could make it easier to buy and sell pot and reward investors in the multibillion-dollar cannabis industry.
Acting Attorney General Todd Blanche signed an order Thursday that began the process of moving marijuana out of the government's most restrictive drug classification. Marijuana has been classified as a Schedule I drug since 1970, alongside LSD and heroin. The action downgrades marijuana to Schedule III, making it obtainable for medical reasons with a prescription.
The order applies immediately to products approved by the Food and Drug Administration containing marijuana, as well as products regulated by state medical-marijuana rules. Blanche also said there would be an expedited hearing that provides a pathway to reschedule marijuana more broadly.
Tesla Promises Upgrade for Customers Who Bought Cars That Can't Drive Autonomously
Tesla said it would offer hardware upgrades or trade-in discounts to the millions of customers who own its older vehicles that don't have the technology to drive autonomously.
Chief Executive Elon Musk said on a call with investors that the older technology, known as Hardware 3, isn't capable of handling fully autonomous rides, as the company previously promised.
Tesla has said those vehicles, which were produced before 2024, had the computer and cameras necessary to drive autonomously once Tesla's software became sophisticated enough.
Lockheed Martin Ramps Up Munitions Production Amid War, Spending Skyrockets
Lockheed Martin is working to rapidly expand munitions production in the face of surging demand, as the U.S. responds to ongoing conflicts and heightened geopolitical tensions.
Those investments in production-coupled with the timing of some billings, long-term debt repayments and cash dividends-caused the defense contractor to burn through more money than expected in the latest quarter. Lower-than-anticipated earnings sent shares down.
The stock fell 4%, to $533.60, on Thursday. Despite the loss, shares are up 7.4% since the beginning of the year.
American Airlines Cuts Profit Outlook After Fuel Prices Soar
American Airlines' plan to catch up to its rivals on profitability this year has been upended by the war in Iran.
The Fort Worth, Texas-based carrier estimated that its fuel costs would jump by $4 billion after conflict in the Middle East spurred a run-up in crude oil prices. As a result, the airline warned Thursday that it could lose money in 2026.
In its updated financial outlook, American said it could lose as much as 40 cents a share on an adjusted basis, or turn a profit as high as $1.10 a share. Three months earlier, it projected adjusted earnings between $1.70 and $2.70 a share.
Warner Bros. Discovery Stockholders Approve Paramount Deal
Shareholders of Warner Bros. Discovery approved the company's sale to Paramount Skydance, bringing the proposed merger that would transform the entertainment industry a step closer to completion.
Warner Bros. said shareholders voted overwhelmingly to approve the merger agreement at its special meeting of stockholders Thursday.
Warner Bros. had previously agreed to sell its studios and HBO Max to Netflix for $27.75 a share, which prompted Paramount to launch a hostile takeover effort, going directly to shareholders with its bids to acquire the entire company.
Honeywell Restructuring Nears Finish as Iran War Clouds Outlook
Honeywell International is entering the final stages of a multiyear restructuring that will carve the industrial conglomerate into three publicly traded companies.
Honeywell on Thursday set a date of June 29 to spin off its aerospace business and said it has entered an agreement to sell its warehouse and workflow solutions business to private-equity firm American Industrial Partners.
Terms of the sale weren't disclosed.
TALKING POINT Attention Advisors: Young Inheritors Want Different Investments Than Their Parents Had
If younger clients are slipping through your fingers, you're not alone. Two recent reports underscore the difficulties advisors face in retaining generational wealth.
With $84 trillion in wealth set to transfer to younger generations, a Natixis Center for Investor Insight report finds this phenomenon is already reshaping advisory businesses, and many firms may be caught off guard.
The report found that 74% of U.S. investors with at least $100,000 in assets said they expect to leave an inheritance. However, nearly half of U.S. investors who expect to inherit assets say they do not plan to keep their parents' or spouse's financial advisor for managing that wealth. Also noteworthy is that men are slightly more likely than women to stay with their benefactor's advisor.
"The instinct might be to go out and hire younger advisors on the team. But it comes down to long-term relationship building across the family," says Dave Goodsell, executive director at Natixis Center for Investor Insight.
A second report from Ocorian, a global asset servicing company, offers insight into how advisors may be more apt to keep younger inheritors. Seventy-nine percent of respondents said that younger generations are becoming more involved in developing and reviewing investment strategies. Notably, however, 97% said their priorities differ from the founders.
Major areas of disagreement between the generations include attitudes to private markets and digital assets. Fifty-one percent say younger generations have a greater focus on private markets, and 42% say investing in digital assets is a point of contention. This suggests advisors need to take a different investment approach with younger investors.
(MORE TO FOLLOW) Dow Jones Newswires
April 23, 2026 17:04 ET (21:04 GMT)
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