Weekly: S&P 500 Extends Historic 8-Week Rally, Dow Hits Record, and 30Y Yields Spikes

Last Week's Recap

1. Weekly Market Digest: S&P 500's 8-Week Run, Yields at Multi-Year Highs, Mag 7 Earnings Crush, Oil Tumbles

• Record run — S&P 500 logged its eighth straight weekly gain (longest since late 2023), though the Dow outperformed by hitting a new all-time high.

• Bond volatility — 30-year Treasury yield spiked to 5.18% (highest since 2007) on Tuesday before easing; 10-year closed at 4.56%, a 12-month high.

• Mag 7 earnings — The Magnificent Seven averaged 63% Q1 earnings growth vs. 17% for the rest of the S&P 500, per FactSet—best quarter in nearly six years.

• Oil pullback — Crude topped $108 then slid below $100 as Middle East talks continued, ending the week down over 4% near $97.

• Sinking sentiment — Michigan consumer sentiment hit a record-low 44.8 in May, the third straight monthly drop from February's 56.6 peak.

• Fed rate outlook — Fed minutes showed policymakers weighing longer unchanged rates or even hikes if inflation stays above the 2% target.

• Small-cap surge — Small-caps rose 2.7% for the week, extending YTD outperformance vs. large-caps' 1.1% gain.

• PCE inflation ahead — Thursday's PCE report follows March's 3.5% read and April CPI's 3.8% (highest in nearly three years).

2. US Market – SPX gains 0.88% as semiconductor rebound offsets Walmart earnings drag

The $S&P 500(.SPX)$ gained 0.88% and closed at 7,473.47, as a broad rebound in semiconductor names and pharma momentum offset a sharp post-earnings decline in Walmart.

Industry leaders: Alternative Carriers (+16.56%), Commercial Printing (+13.98%), Aluminum (+11.47%), Lidar Concept (+11.91%), and Independent Power Producers & Energy Traders (+9.57%).

9 Popular Stocks:

• $Advanced Micro Devices(AMD)$ +10.24% — Surged on revived AI data-center accelerator demand and mid-range server GPU market-share optimism.

• $Intel(INTC)$ +10.18% — Bounced back from last week’s steep decline as bargain hunters stepped in on restructuring and foundry strategy clarity.

• $ASML Holding NV(ASML)$ +8.73% — Rallied on renewed front-end semiconductor capex optimism and resilient EUV order flows.

• $Eli Lilly(LLY)$ +5.98% — Extended gains on continued GLP-1 demand resilience and manufacturing scale-up progress.

• $NVIDIA(NVDA)$ +4.43% — Climbed on persistent data-center revenue momentum and expanding enterprise AI software attach rates.

• $Micron Technology(MU)$ +3.63% — Advanced on improving HBM supply-demand dynamics and recovering AI server DRAM pricing.

• $Alphabet(GOOG)$ +3.54% — Gained on AI search integration progress and resilient YouTube ad revenue.

• $Apple(AAPL)$ +2.86% — Rose on steady services revenue growth and anticipation around upcoming iOS AI feature rollout.

• $Wal-Mart(WMT)$ -8.51% — Slumped after its May 21 earnings report on e-commerce margin compression and cautious consumer-spending guidance.

Performance is subjected to market volatility

3. Hong Kong Market – HSI retreats 1.37% as tech profit-taking offsets semiconductor frenzy

$HSI(HSI)$: The Hang Seng Index declined 1.37% and closed at 25,606.03, as heavy selling in internet giants and EV names overwhelmed a frenzied rally in semiconductor and AI software plays. The $HSTECH(HSTECH)$ slipped 1.45% to 4,869.57.

Industry leaders: Paper Packaging (+18.21%), Home Improvement Retail (+16.73%), Leisure Facilities (+15.38%), Electronic Components (+11.91%), and Passenger Ground Transportation (+11.61%).

10 Popular Stocks:

• $Gigadevice Semiconductor Inc.(603986)$ +43.01% — The NOR flash and MCU designer skyrocketed on AIoT chip demand and domestic substitution tailwinds.

• $KNOWLEDGE ATLAS(02513)$ +23.27% — The AI software platform surged on large-model enterprise adoption and government digitalisation momentum.

• $SMIC(00981)$ +12.23% — The mainland foundry advanced on resilient domestic AI chip demand and tech-decoupling proxy positioning.

• $CNOOC(00883)$ +3.83% — The offshore oil specialist tracked firm Brent crude on OPEC+ supply discipline.

• $HSBC HOLDINGS(00005)$$ +3.23% — The banking giant gained on Asian franchise resilience and its 7%+ dividend yield.

• $Agricultural Bank Of China Limited(601288)$ -2.95% — The state-owned lender pulled back on profit-taking after recent strength.

• $BABA-W(09988)$ -4.01% — The tech conglomerate declined on platform-economy profit-taking and regulatory overhang.

• $ZIJIN MINING(02899)$ -3.64% — The gold and copper miner tracked the yellow metal lower as safe-haven demand moderated.

• $TENCENT(00700)$ -3.29% — The internet giant slipped on valuation concerns and gaming/fintech profit-taking.

• $BYD COMPANY(01211)$ -5.03% — The EV giant fell on EU tariff escalation fears and domestic price-war margin pressure.

Performance is subjected to market volatility

4. Singapore Market – STI gains 1.58% as bank earnings momentum and defense tech lifted

STI: The $Straits Times Index(STI.SI)$ gained 1.58% and closed at 5,068.15, as continued strength in local banks, a breakout in defense engineering, and telecom earnings offset weakness in Greater China tech proxies.

Sectors: Aluminum (+34.35%) led on supply-constraint positioning, followed by Office Services & Supplies (+14.08%), Textiles (+13.07%), Semiconductors (+12.03%), and Specialized Consumer Services (+9.09%).

8 Popular Stocks:

• $DBS(D05.SI)$ +3.16% — The banking giant touched a fresh 52-week high as investors continued to digest its record Q1 net profit of S$2.93 billion and 17.0% ROE; wealth-management fee growth and progressive dividend upside underpinned the rally.

• $ST Engineering(S63.SI)$ +8.68% — The government-linked defense and smart-city engineering group surged on contract momentum in aircraft MRO and urban solutions, with Southeast Asia defense spending tailwinds providing additional support.

• $SGX(S68.SI)$ +6.01% — The bourse operator advanced on rising regional trading volumes and derivatives activity, with equity derivatives open interest hitting multi-month highs.

• $Singtel(Z74.SI)$ +4.77% — The telecom incumbent rallied after signaling openness to selling its Optus stake, potentially unlocking significant shareholder value; its Nxera data-center expansion remained a key growth narrative.

• $Delta TH SDR 1to1(TDED.SI)$ +4.08% — The Thai power-electronics maker’s SDR advanced on AI data-center power-supply demand and EV powertrain order momentum across its India and Slovakia footprint.

• $HSBC HK SDR 5to1(HSHD.SI)$ +3.08% — The UK banking giant’s SDR gained on resilient Hong Kong lending activity and improving NIMs across its Asian franchise, with its 7%+ dividend yield attracting income investors.

• $Alibaba HK SDR 5to1(HBBD.SI)$ -4.38% — The Chinese tech conglomerate’s SDR declined in sympathy with broader Hang Seng Tech weakness; profit-taking ahead of quarterly results and domestic e-commerce competition concerns weighed on sentiment.

• $Singtel 10(Z77.SI)$ -4.37% — The 10-share board lot variant of Singtel traded lower on liquidity-driven price dislocation relative to the main Z74 board lot, though both represent the same underlying entity.

Performance is subjected to market volatility

5. Australian Market – XJO edges up 0.3% as bank rebound and retail strength offset mining pullback

XJO: The $S&P/ASX 200(XJO.AU)$ gained 0.3% to 8,657, as a sharp rebound in the Big Four banks and resilient consumer staples offset profit-taking in iron ore miners and gold producers.

Industry leaders: Motorcycle Manufacturers (+18.18%), Paper Products (+14.29%), Semiconductor Equipment (+12.77%), Restaurants (+9.72%), and Data Processing & Outsourced Services (+9.24%).

10 Popular Stocks:

• $WOOLWORTHS GROUP LTD(WOW.AU)$ +5.15% — The supermarket giant led on defensive positioning and resilient grocery demand.

• $WESFARMERS LTD(WES.AU)$ +4.2% — The diversified retail conglomerate climbed on Bunnings and Kmart trading momentum.

• $COMMONWEALTH BANK OF AUSTRALIA(CBA.AU)$ +3.93% — The banking heavyweight bounced back from last week’s steep selloff, though it remains down over 6% for May.

• $NATIONAL AUSTRALIA BANK LTD(NAB.AU)$ +3.64% — The business-focused lender rebounded on half-year result digestion and technical relief after an 8% May decline.

• $Resmed DRC(RMD.AU)$ +3.67% — The sleep-apnea device maker rose on steady global demand and margin improvement narratives.

• $WOODSIDE ENERGY GROUP LTD(WDS.AU)$ +2.72% — The oil & gas producer tracked firm Brent crude and LNG spot pricing.

• $BHP GROUP LTD(BHP.AU)$ -1.17% — The diversified miner drifted lower on Chinese steel-demand and iron ore price pressure.

• $GOODMAN GROUP(GMG.AU)$ -3.57% — The industrial property giant pulled back on valuation concerns after a strong YTD run.

• $NEWMONT CORP-CDI(NEM.AU)$ -4.08% — The gold miner tracked the yellow metal lower as safe-haven demand moderated.

• $FORTESCUE LTD(FMG.AU)$ -4.87% — The pure-play iron ore miner underperformed on China property-sector weakness and falling 62% Fe prices.

*Performance is subjected to market

The Week Ahead

1. Macro Factors

The week ahead: May 25-29

2. Earnings Spotlight

Monday

• After-hours: JOYY

Tuesday

• Pre-market: AZO, PONY, 01810HK, MNSO

• After-hours: BOX, ZS, SMTC

Wednesday

• Pre-market: PDD, DKS, 01024HK, CPRI, SQM

• After-hours: MRVL, SNOW, CRM, HPQ, SNPS

Thursday

• Pre-market: LI, XPEV, BBY, KSS, ATHM

• After-hours: DELL, OKTA, COST, S, AMBA