• Bitcoin Record: Price surpasses US$110,000, market cap at US$2.184 trillion.
• OPEC+ Increase: Discusses third consecutive production increase in July.
• Tesla Golden Age: Analyst predicts US$2 trillion market value due to automation.

I. Market Report

US stocks experienced losses this week, with a rise in yields due to a bill passed by US lawmakers that could worsen the deficit. The bill includes tax cuts and military spending, and could increase the debt by trillions. This, along with concerns over inflation due to Trump tariffs, is affecting bond prices and yields. The increase in long-term rates could pressure an economy already feeling the weight of tariffs. Investors are closely monitoring jobless claims data for clues about the labor market.

As of 03:12 PM Riyadh Time, the blue-chip Dow Jones Futures ebb by 199 points or 0.47% to 41,748, the broad-based S&P 500 Futuresdecline by 21 points or 0.36% to 5,840, the tech-heavy Nasdaq Futures tick lower by 69 points or 0.33% to 21,088. (Data source: Wind Quant)

As of 03:49 PM Riyadh Time, top pre-market movements are as follows:

II. Flash Headlines

US Jobless Claims Slightly Below Expectations

Last week's initial jobless claims in the United States totaled 227,000, slightly below the expected 230,000 and down from the previous week's 229,000. This indicates a marginal improvement in the labor market.

Bitcoin Hits New High

Bitcoin price surpasses US$110,000 for first time, gains 2.2% in early Asian trading, total market value at US$2.184 trillion.

Bitcoin Outshines Wall Street Titans

Bitcoin has become the fifth-largest asset by market cap, surpassing Amazon, Alphabet, Meta Platforms, Tesla, Berkshire Hathaway, and Saudi Aramco, with a market cap of US$2.183 trillion.

House Passes Trump's Budget Bill

House of Representatives narrowly passes President Trump's US$3.8T budget bill with tax cuts, deportation funding, stricter Medicaid/SNAP requirements. CBO predicts increased deficit, benefits for top earners, 7.6M losing health insurance.

Read more: What Happened to the US Market?

Bond Market Reacts to Trump Tax Cuts

The bond market is resisting Trump's tax cuts, pushing the 30-year Treasury yield to a 20-year high of 5.1%, causing US stocks and dollar to decline. Investors are concerned about the impact on budget deficits.

Dimon Warns of Stagflation Risk

JPMorgan Chase & Co.(JPM.US) CEO Jamie Dimon warns that the US faces risks of stagflation due to geopolitics, fiscal deficits, and price pressures, urging caution on monetary policy decisions.

Dollar Weak Amid Fiscal Concerns

The dollar consolidates at a low level as US fiscal outlook worries grow, with the House set to pass Trump's tax reform and spending bill expected to add trillions in debt over the next decade, Moody's downgrade already causing concerns.

OPEC+ July Production Increase Discussed

OPEC+ members reportedly discuss a third consecutive production increase in July by 411,000 barrels per day, but no final agreement has been reached. The decision will be made at a June 1 meeting. Oil prices fell 1.7% to US$63.81 a barrel on Thursday.

III. Stocks To Watch

Trump Considering Fannie Mae, Freddie Mac Stock Listing?

Donald Trump said he's considering listing Fannie Mae and Freddie Mac publicly. He will consult with Treasury Secretary Scott Bessant, Commerce Secretary Howard Lutnick, and Federal Housing Finance Director William Pulte. Fannie Mae and Freddie Mac were created to expand the home loan market but suffered losses in 2008 and are now under government supervision.

Tesla Golden Age Begins?

Wedbush analyst Dan Ives believes Tesla Motors, Inc.(TSLA.US) is entering a golden age, predicting a US$2 trillion market value due to automation and robotics despite a possible short-term demand drop. Tesla will surpass Waymo in autonomous driving by launching robotaxis in Austin next month.

AMD EPS Upside Potential By 2027

Advanced Micro Devices, Inc.(AMD.US) could see EPS upside by 2027 despite NVIDIA Corporation(NVDA.US)'s over 80% market share, per Bank of America Securities analyst Vivek Arya who maintained a Buy rating with a US$130 price target. AMD benefits from Intel CPU share gains, rising AI content, Middle East contracts, cyclical recovery, and a recent US$6 billion buyback program.

Apple Faces 'First Serious Threat In 20 Years'

OpenAI’s $6.5 billion all-stock acquisition of Jony Ive’s AI device startup io Products—despite zero revenue—sparked over 2% drop in Apple Inc.(AAPL.US) shares, as analysts cite it as a rare competitive threat. Gene Munster warned the move could pressure Apple’s valuation amid an AI-driven tech shift.

CoreWeave Hits All-time-high: Why?

CoreWeave, Inc.(CRWV.US) shares reach new all-time high. Backed by NVIDIA Corporation(NVDA.US), the AI infrastructure stock reported Q1 revenue of US$981.6M (+420% YoY), above forecasts. Deal with OpenAI adds US$11.2B in revenue backlog, committing to pay up to US$4B by April 2029. Shares surged despite announcing a US$2B senior notes offering.

Navitas, NVIDIA Collaborate On 800V HVDC Architecture

Navitas Semiconductor Corp Ordinary Shares - Class A(NVTS.US) collaborates with NVIDIA Corporation(NVDA.US) on next-gen 800V HVDC architecture using GaNFast and GeneSiC technologies to power AI systems like Rubin Ultra, aiming for high-efficiency, scalability, reliability, and reduced infrastructure complexity.

BYD Launches Affordable EV in Europe

BYD COMPANY LIMITED(BYDDY.US) has launched Dolphin Surf, an updated version of its best-selling Seagull EV in Europe, priced at 23,000 Euros (US$26,000). The EV offers a range of 137-315 miles and is available in three trim levels. BYD is expanding its presence in Europe amid Tesla Motors, Inc.(TSLA.US)'s sales slump. 

Baidu Apollo Go Hits 11M Paid Robotaxi Rides

Baidu, Inc. Sponsored ADR Class A(BIDU.US)'s Apollo Go deemed 'world's autonomous ride-hailing leader' by Future Fund's Gary Black after achieving eleven million paid rides milestone, expanding into Dubai, Abu Dhabi, with 1,000 fully driverless vehicles globally.

Citron Doubles Down On DUOL Short

Citron Research doubles down on Duolingo, Inc.(DUOL.US) short, citing Google's (Alphabet Inc. Class A(GOOGL.US)) (Alphabet Inc. Class C(GOOG.US)) new AI translation tool as a significant threat to Duolingo's business model.

Walmart Cuts 1,500 Jobs

Walmart (Wal-Mart Stores, Inc.(WMT.US)), the largest private employer in the US, plans to cut about 1,500 jobs across its global technology, e-commerce fulfillment, and advertising business units to simplify operations. The move aims to focus more on its core goals while creating new positions.

IV. Calendar

Day's Notable Event(s):