Stocks are soaring while oil is tanking amid reports of new Middle East talks. Gold and silver are ripping along with Treasuries, while the dollar is sliding. Bitcoin is trading at fresh three-month highs above $82,000.
On the same day the American Automobile Association (AAA) reported that gas prices are now averaging $4.54 per gallon in the US, crude oil prices started plunging on hopes for a new US-Iran deal. That could keep pump prices from topping the June 2022 record of $5.01.
The one-page “memorandum of understanding” currently under consideration would reportedly restrict Iranian enrichment of uranium for a period of time. Meanwhile, the parties involved would focus on gradually reopening the Strait of Hormuz, winding down the US blockade of Iranian ports, and rolling back certain Iranian sanctions. Talks to solidify the MOU would follow in Pakistan or Switzerland.
AMD, UBER, MS (YTD % Change)
Data by YCharts
Meanwhile, semiconductor stocks are surging (again) after Advanced Micro Devices Inc. (AMD) reported a blowout first quarter. AMD delivered adjusted earnings per share of $1.37 in Q1, topping the average estimate of $1.29. Revenue soared 38% to $10.2 billion, also handily beating forecasts. Data center chip sales alone jumped 57%, and the company boosted its Q2 outlook. AMD stock soared 14% in early trading, after entering today up 65.8% year-to-date.
Elsewhere in tech-land, Uber Technologies Inc. (UBER) reported that gross bookings jumped 25% to $53.7 billion, above the expected range of $52 billion to $53.5 billion. The company raised its Q2 forecast, citing strong momentum in business-related travel and services catering to wealthier passengers like Uber Elite. Uber stock rose 7%, erasing a chunk of its 10.7% YTD loss in one fell swoop.
Finally, Morgan Stanley (MS) is making an aggressive push to capture crypto trading business – while forecasting that the “DeFi” and “TradFi” worlds will increasingly converge. The Wall Street behemoth owns the E*Trade platform, and it’s going to start charging some customers only 50 basis points for each spot crypto transaction.
That’s less than the 60 bps charged by Coinbase Global Inc. (COIN) and the 95 bps charged by Robinhood Markets Inc. (HOOD). It’s also just the latest move by Morgan and other traditional finance players to give individual and institutional investors easier, cheaper access to crypto trading and investing opportunities.
