zerohedge

*BESSENT: TRUMP'S IMAGE WILL APPEAR ON A COIN

IRAN'S FOREIGN MINISTRY SPOX BAGHAEI: AT THIS STAGE, WE ARE FOCUSED ON ENDING THE WAR, WE ARE NOT NEGOTIATING OVER IRAN'S NUCLEAR PROGRAM MANAGEMENT OF THE STRAIT OF HORMUZ MUST BE DECIDED BY IRAN AND OMAN NO AGREEMENT HAS BEEN FINALISED WITH THE UNITED STATES SO FAR

Ferrari Vs Tesla: $640K Luce EV Loses Key Speed And Range Battles To Model S Plaid

*SEC MOVES TO SCRAP BIDEN-ERA RULE ON CLIMATE RISK DISCLOSURES

*CRYPTO DERIVATIVES MAY BE WELL-SUITED FOR 24/7, CFTC SAYS

South Korea has now outperformed the S&P 500 over the past 10 years All of the outperformance has come in the past year Nuts

European inflation tracking estimates (per GS)

*BYTEDANCE DEVELOPING NEW CHIP TO RUN AI MODELS: INFORMATION

BEZOS HAS 3 OPTIONS LEFT AFTER NEW GLENN'S LAUNCHPAD EXPLOSION. ALL 3 ARE CATASTROPHIC. This is the moment nobody wants to talk about. After years of development, a $1B+ heavy-lift rocket program, and a final ground test before Amazon's Kuiper satellite mission → Blue Origin is now boxed into THREE choices. And every single one is a nightmare: OPTION 1: REBUILD LC-36 FROM SCRATCH – The only launchpad Blue Origin owns is now a debris field – One 600-foot lightning tower toppled. Erector-gantry: gone. Ground equipment: destroyed. – Pad rebuilds after a full vehicle explosion take 12–24 months minimum – Amazon's Kuiper constellation — already years behind SpaceX Starlink — falls further behind – Every month of delay costs Amazon market share it cannot get back OPTION 2: BORROW OR BUY LAUNCH CAPACITY FROM A COMPETITOR – The only competitor with available heavy-lift pads is SpaceX – Asking your direct rival for a launchpad is not a business negotiation — it's a surrender – SpaceX has every incentive to slow-walk, overcharge, or simply say no – Amazon would be funding the company that is actively destroying Kuiper's market window – Jeff Bezos built Blue Origin specifically to avoid this dependency OPTION 3: ABSORB THE DELAY AND KEEP INVESTING – New Glenn's first stage was enveloped in fire during a routine hotfire test — the final check before orbital flight – The vehicle collapsed. The upper stage tilted and fell. Fires burned at multiple stories – This wasn't a launch failure. This was a ground test. The hardest problems haven't even been attempted yet. – Blue Origin has no second pad, no backup vehicle, and no timeline for the next attempt – And Starlink already has 7,000+ satellites in orbit Let that sink in. There is no Option 4. There is no clean exit. There is no "we rebuild and catch up by Q4." The media is showing you "rocket science is hard" and "no injuries reported." They're NOT showing you that Blue Origin just destroyed its only launchpad — the single piece of infrastructure that connects years of development to an actual orbital mission — three hours before midnight on May 28, 2026. This is the most consequential single test failure any American space company has faced since SpaceX's Pad 40 explosion in 2016. Follow now → this story is moving fast. RT so others see what's really at stake. Prepare accordingly. I'll keep you updated. Turn on notifications.

Premarket movers: Mag 7 stocks are mostly lower (Microsoft +0.8%, Nvidia +0.5%, Tesla -0.4%, Apple -0.5%, Meta -0.5%, Amazon -0.7%, Alphabet -0.8%) American Eagle shares (AEO) tumbled 11% after the clothing retailer reported total comparable sales for the first quarter that missed the average analyst estimate. Autodesk’s (ADSK) falls 7% after its proposed acquisition of MaintainX has been tentatively welcomed by analysts, who see the deal as expensive but representing a strong strategic move. Dell Technologies shares (DELL) surge 35% after the Texas-based company raised both its full year revenue and adjusted EPS outlooks on strong demand for its AI-powering servers. Elastic (ESTC) is down 5.4% after the software company gave an outlook for adjusted first-quarter earnings that was weaker than expected. Gap (GAP) shares fell 15% after the clothing retailer reported its latest earnings with poor performance by the company’s Old Navy brand that weighed on the full-year outlook in an otherwise mixed report. Krispy Kreme (DNUT) is up 5% after the doughnut chain’s Director Bernardo Hees acquired $768,718 of stock, according to a filing with the US Securities and Exchange Commission. NetApp (NTAP) rallies 19% after the data storage provider reported its latest earnings with a strong print from the company, showing strong growth. Nextpower Inc. shares (NXT) rise 11% after it agreed to buy Prevalon Energy, a joint venture between Mitsubishi Power Americas and EES, for up to $365 million in cash and stock. PagerDuty shares (PD) are up 13% after the software company reported first-quarter results that beat expectations and raised its full-year forecast for adjusted earnings. SentinelOne shares (S) fall 12% after the software company gave a second-quarter revenue forecast that was weaker than expected and announced it would reduce its full-time employees by 8%. UiPath shares (PATH) are down 4.6% after the software company reported first-quarter results that analysts are generally positive on, although they want to see greater confirmation of durable growth in annualized recurring revenue. Viasat (VSAT) falls 7.2% after the wireless communications firm’s fourth-quarter earnings undershot analysts’ expectations.

*IRAN'S TASNIM: MOU TEXTS IN WESTERN MEDIA AREN'T ACCURATE *IRAN'S TASNIM: TEXT OF MOU WITH US HAS CHANGED IN RECENT DAYS

What's missing from today's FT Amazon story can be found in the May 12 one. It wasn't the employees initiative: the company was "pressuring" workers to engage in "unnecessary AI activity." Workers had little interest in agentic AI Was it to pad Anthropic (AMZN investment) ARR?

VP VANCE SAYS THAT PRESIDENT TRUMP IS NOT YET READY TO ENDORSE IRAN AGREEMENT: AFP VANCE SAYS USA AND IRAN ARE AT ODDS ON URANIUM ENRICHMENT AND STOCKPILES: SNN

MDB: $330 -> $256 ->$400 ->330

Sign of the times - The biggest single-stock ETF on the planet is now a 2x levered SK Hynix ETF in Hong Kong.

*BESSENT: US WON'T TOLERATE TOLLING SYSTEM IN HORMUZ *BESSENT: OMAN SHOULD KNOW TREASURY WILL TARGET ACTORS INVOLVED

SSDD: U.S. and Iranian negotiators have reached an agreement on a 60-day memorandum of understanding to extend the ceasefire and launch negotiations on Iran's nuclear program, but President Trump has yet to give it his final approval: Axios

IRAN DEPUTY FOREIGN MINISTER SAYS "THE AMERICANS COMMITTED MISCHIEF THAT IS DEFINITELY A VIOLATION OF THE CEASEFIRE", "WILL NOT ALLOW ACTIONS TO UNDERMINE IRAN'S SOVEREIGNTY OVER THE STRAITS OF HORMUZ"

*GOLDMAN'S WALDRON: CONSUMER IS EXTRAORDINARILY RESILIENT thanks to draining savings

Top Overnight News The US struck Iranian military targets for the second time this week and Kuwait said it responded to missile and drone threats. Iran targeted the US base where the strikes originated, state-run Press TV reported. BBG A US oil tanker intended to cross the Strait of Hormuz by turning off radar system, but IRGC Navy fired at it and forced it to turn back, while US army fired into Bandar Abbas but caused no damage. This was the cause of the earlier reported explosions. No casualties or damages were caused by the US, which fired at a scorched-earth area. Separately, Iran's Navy forced four vessels to turn back in the Strait of Hormuz by firing warning shots: Tasnim China's central bank has instructed banks to boost lending this month, people with knowledge of the matter said, underscoring Beijing's continued efforts to support an economy squeezed by higher energy costs ‌and stubbornly weak domestic demand. RTRS Hong Kong plans to launch a gold-clearing system by July, giving it a first-mover advantage over rival Singapore, which has announced similar plans without a timeline. BBG South Korea’s central bank held rates steady at its first meeting under Gov. Shin Hyun-song, though it signaled tighter policy ahead as it raised its forecasts for economic growth and inflation. WSJ Federal Reserve governor Lisa Cook said she is prepared to raise interest rates if disinflation does not appear in a timely manner. For now, the right course of action is to hold rates steady, but risks still remain tilted toward higher inflation. WSJ Goolsbee warned that the persistent combination of energy shocks and stubborn inflation could push the U.S. economy into a “stagflationary” direction characterized by a simultaneous rise in unemployment and price growth. WSJ South Africa’s central bank is set to raise borrowing costs for the first time in three years today, with the benchmark interest rate forecast to increase to 7%. BBG The ECB’s Philip Lane said ripple effects of the Iran war, such as on the labor market, will occupy policymakers even after the conflict is resolved. BBG Amazon Web Services has signed up cloud storage company Snowflake as its latest chips customer, as the proliferation of artificial intelligence agents continues to drive high levels of demand for computing hardware. SNOW plans to pay $6 billion over the next five years for access to Amazon’s Graviton chips inside AWS data centers. SNOW +35% premkt on strong outlook from last night’s print. WSJ "The momentum factor has historically stalled around May and July but seen a significant ramp up in June with the factor actually being the highest performing seasonally in the month. We do think the move higher came early this year, and while we still think there is a potential for upside in the leaders, we are more concerned with unwind risk and squeezes in the laggards at the current moment": Goldman

Premarket movers: Mag 7 stocks are mostly lower (Microsoft +0.9%, Meta +0.2%, Apple -0.2%, Amazon -0.4%, Alphabet -0.5%, Nvidia -1.1%, Tesla -1.3%) Braze Inc. shares (BRZE) are down 11% after the cloud—based software company reported its first-quarter results and gave an outlook. Despite the stock’s decline, analysts are broadly positive, and recommended buying on weakness. BRP Inc. (DOO) rises 8.1% after it boosted its revenue guidance for the full year, which beat the average analyst estimate. Caesars Entertainment (CZR) rises 2% after Fertitta Entertainment agreed to acquire the company in an all-cash transaction valued at about $17.6 billion. Dollar Tree shares (DLTR) rise 10% after the retailer boosted its adjusted earnings per share guidance for the full year above the consensus estimate after stronger-than-expected performance in the first quarter. Dominion Energy Inc. shares (D) rise 0.5% after Jefferies raised its recommendation on the utilities company to buy from hold on the NextEra Energy merger. Everpure shares (P) fall 11% as the computer storage company gave a full-year revenue guidance that implied slower growth in the second half of the year amid higher prices. HP Inc. shares (HPQ) drop 1.6% as higher memory chip prices weigh on the PC maker’s profit forecast for the third quarter. Marvell Technology shares (MRVL) fall 2.7% as the chipmaker’s modest beat failed to impress investors with high expectations. NCino shares (NCNO) rise 12% after the cloud banking company boosted its revenue guidance for the full year as subscription revenues increase on AI demand. Photronics shares (PLAB) fall 26% after it forecast adjusted earnings per share for the third quarter that missed the average analyst estimate. Shares in drone-related firms (UMAC +27%, RCAT +15%) are rallying after the Wall Street Journal reported the Trump administration is exploring funding deals with a group of drone companies. Synopsys shares (SNPS) are down 2% after the electronic design automation software company reported its second-quarter results.

IRAN'S KHAMENEI SAYS ENEMY SEEKING TO CREATE DIVISION

*BESSENT: GULF STRAIT AUTHORITY ACTION TARGETS HORMUZ `TOLLS' *BESSENT: TREASURY MAINTAINING MAXIMUM PRESSURE ON IRAN

The Trump Administration Is in Talks to Fund U.S. Drone Companies: WSJ

SPX intraday band at just 40bps, the lowest tick of the year: GS

Biggest SOXL Down Candle Ever

*TRUMP ON IRAN: WHEN THEY BEHAVE WE'LL LET THEM HAVE THEIR MONEY

*HEGSETH: IRAN CAN'T BUILD DRONES OR SHIPS NOW *HEGSETH: NO IRANIAN TANKER AROUND THE GLOBE IS SAFE

*TRUMP REITERATES IRAN CAN'T HAVE NUCLEAR WEAPON *TRUMP: IRAN IS NEGOTIATING ON FUMES *TRUMP ON IRAN: MAYBE WE GO BACK AND FINISH IT, MAYBE WE DON'T

Food Stamp Fraud Pipeline Exposed: U.S. Taxpayer-Funded Groceries Shipped Overseas And Sold For Profit

Goldman Hikes S&P Target To 8,000; Shrugs Off 'Speculative Mania'

*DIMON: COULD BE OPP. TO PUT $10B-$20B TO WORK BUYING SOMETHING

*DIMON: 2026 COSTS COULD BE CLOSER TO $106B VS. $105B GUIDANCE

*DIMON: 'I PERSONALLY THINK THAT RIGHT NOW WE'RE OVER-EARNING' *JPMORGAN SHARES TURN NEGATIVE; DOWN 0.3%

SK Hynix Joins Trillion Dollar Club As Korean Stocks Echo Nasdaq's 1999 Meltup

IRAN'S STATE TV: IN RETURN, IRAN HAS COMMITTED TO RESTORING THE NUMBER OF COMMERCIAL TRANSIT SHIPS THROUGH HORMUZ STRAIT TO PRE-WAR LEVELS WITHIN IN ONE MONTH IRAN'S STATE TV: MILITARY VESSELS ARE NOT INCLUDED IN THIS DRAFT AGREEMENT

Both SK Hynix and Micron (with this morning's 6% squeeze) are now worth more than Berkshire

IRAN'S STATE TV: IT HAS A DRAFT OF THE INITIAL UNOFFICIAL FRAMEWORK FOR MOU WITH US IRAN'S STATE TV: ACCORDING TO DRAFT MOU US MILITARY FORCES WILL WITHDRAW FROM VICINITY OF IRAN AND LIFT NAVAL BLOCKADE

S&P Futures At Daily Record High Because RAM And World Peace

Top Overnight News Russia is stuck on the Ukrainian battlefield and lashing out with massive strikes on Kyiv. The growing fear in European capitals is that President Vladimir Putin will try next to reshuffle the cards by expanding the conflict to Europe. WSJ Hong Kong banks are increasing scrutiny of mainland Chinese clients. Some major lenders suspended the opening of investment and wealth management accounts for mainland residents. BBG Taiwan prosecutors suspect Nvidia chips were smuggled to China via Japan. BBG Australia’s consumer-price growth slowed in April following a temporary fuel tax cut, but stayed high enough to keep the door open to further rate increases by the central bank. The consumer-price index rose 4.2% over the 12 months through April, down from 4.6% for the year through March. WSJ The Reserve Bank of New Zealand maintained the official cash rate at 2.25% for the third meeting in a row, as it weighs the threat to the South Pacific economy from higher prices of everything from motor fuels to freight against the damping effect rising inflation can have on demand. WSJ Ukraine has a six-month window in which to seize the battlefield initiative from Russia and strengthen its hand for peace talks, a senior commander told Reuters, predicting a "turning point" was imminent after more than four years of war. RTRS SK Hynix and Micron each topped $1 trillion in value for the first time as investors continued to bet on the AI boom. BBG US Customs said about $20.6 billion in tariff refunds is headed to importers filing claims through its new web portal. However, earlier refund processing values were far lower than previously thought. BBG Goldman raised its S&P price target from 7600 to 8000: "continued earnings growth should drive continued equity market upside. We expect the S&P 500 will rise by 6% to our revised year-end target of 8000. Our previous target was 7600. The increased return forecast reflects increased estimates for S&P 500 earnings following an exceptionally strong Q1 reporting season. We raise our S&P 500 EPS forecasts to $340 (+24% year/year) in 2026 and $385 (+13%) in 2027. The beneficiaries of AI infrastructure investment will account for roughly half of S&P 500 EPS growth this year." Goldman

CHINESE CHIPMAKER CXMT GETS SHANGHAI BOURSE'S APPROVAL FOR IPO

AI usage at work: Optimistic case: up 2% YoY (RTPS) Pessimistic case: down every quarter since July 2025 (Hartley et al). Source: JPM

Goldman raises year end S&P price target from 7600 to 8000 driven entirely by AI capex. if it was UBS, the target would be 50,000

*SK HYNIX SHARES RISE 11% TO SURPASS $1 TRILLION MARKET CAP

"Semis are now up +14% over 5-days; this equates to 16.5% of performance above NVDA over these 5 days, matching the largest SOX v NVDA 5-day spread since 2018" - Goldman

Texas U.S. Senate Republican Primary Tarrant County Early Vote: Ken Paxton – 36,977 (58.9%) John Cornyn (Inc.) – 25,808 (41.1%) This vote was Cornyn +10 in the first round, so this is a 28 point shift toward Paxton.

Is NVDA Quietly Funding The Semiconductor Melt-Up?

*TRUMP: WILL BE POSTPONING THE CABINET TRIP TO CAMP DAVID *TRUMP: WE WILL BE HAVING OUR CABINET MEETING IN THE WHITE HOUSE

U.S. RACES TO SET UP QUARANTINE FACILITY IN KENYA FOR AMERICANS EXPOSED TO EBOLA: WSJ

BREAKING: CNBC JUST REPORTED ELON MUSK IS CONSIDERING MERGING SPACEX AND TESLA INTO A $7,500,000,000,000 COMPANY THE COMPANY WOULD HOLD OVER 30,000 #BITCOIN ON ITS BALANCE SHEET THE LARGEST BTC COMPANY ON EARTH IS LOADING

"The correlation of SPX vs pretty much every other macro asset has broken down vs the norm: SPX vs rates is at decade lows … SPX vs gold is at decade highs … SPX vs VIX is at 2y highs … SPX vs oil (CL3) is at decade lows (these are 20 year charts). "Us index is not telling the whole story” rings very true in this context. Something has got to give and despite going against my gut (I never like being bearish the S&P)… the data points to it" - Goldman's Nelson Armbrust

Today's gamma squeeze: MU May 29 Calls $1150 up from 1 cent to $1.36, up 13,600%

The median S&P 500 stock carries short interest equivalent to 3.0% of market cap which is the highest level since late 2011 (GS)

OCCIDENTAL TAKES STAKE IN EXXON'S TRINIDAD DEEPWATER BLOCK:RTRS

NVDA down 6 of the past 7 days

Selling continues across GS desk: Activity levels are at a 4 out of 10 with our floor 1% better for sale on low notional. LOs are better for sale supply in info tech and industrials HFs are better for sale led by supply in info tech, energy, and macro products

*MUSK CLAIMS PENTAGON IMPROPERLY USED STARLINK CIVILIAN SYSTEM *MUSK COMMENTS ON REUTERS SPACEX PRICE STORY IN POST ON X

Today, Oklo was selected by @ENERGY for advanced negotiations under the Surplus Plutonium Utilization Program, supporting a pathway to convert surplus plutonium already designated for disposal into bridge fuel for advanced reactors to deliver clean, reliable power. Read more -> https:// oklo.com/newsroom/news- details/2026/Oklo-Selected-by-U-S--Department-of-Energy-for-Advanced-Negotiations-Under-Surplus-Plutonium-Utilization-Program/default.aspx …

*IRAN'S GHALIBAF RETURNS FROM TALKS IN QATAR: STATE TV

*KREMLIN COMMENTS ON PUTIN VISIT TO KAZAKHSTAN: TASS

$NNE The acquisition of STS directly supports NANO Nuclear’s broader strategy of building a fully vertically integrated business, spanning: - Reactor design and development. Fuel sourcing and processing (LEU/HALEU ecosystem). - Fuel transportation and logistics. - Reactor deployment and installation. - Long-term operational support. By integrating STS into its operations, NANO Nuclear gains the ability to coordinate the movement of nuclear fuel and reactor systems from origin to deployment site, a capability that is expected to become increasingly valuable as demand for microreactors accelerates globally.

Top Overnight News US and Israeli jets struck Iranian vessels in the Strait of Hormuz and other targets, hours after Donald Trump said talks with Tehran on an interim deal were progressing. Israel vowed more strikes on Hezbollah and Iran demanded any deal to reopen the strait include a halt to fighting in Lebanon. Russian Foreign Minister Sergei Lavrov advised Marco Rubio to evacuate American citizens and diplomats from Kyiv. He warned that the Kremlin plans to continue heavy strikes on the Ukrainian capital. BBG Huawei Technologies said on Monday it will make industry-leading semiconductors using a new technology in five years, underscoring Beijing's efforts to neutralize U.S. sanctions that have made it hard for China to build cutting-edge chips. RTRS Workers’ pay packets are shrinking in relation to prices in a growing number of rich countries as the energy shock unleashed by the Iran war chokes off a nascent recovery in real wages. FT The ECB should raise interest rates in June, even if ongoing peace talks with Iran yield a deal, as the conflict has been far longer than projected and high energy prices are spilling into the broader economy. RTRS China let the interest rate on a one-year policy loan to banks decline to a record low, according to people familiar with the matter, a sign Beijing is stepping up efforts to support an economy that’s losing momentum. BBG Japan's core inflation as measured by a new central bank gauge accelerated in April ‌and blew past its 2% target, data showed on Tuesday, helping make the case for an interest rate hike as soon as next month. BBG ECB’s chief economist sees no need to correct markets from anticipating a rate hike next month. Nikkei NYC Mayor Zohran Mamdani is set to unveil a plan today to exempt some distressed rent-stabilized landlords. It would allow eligible owners to impose a one-time rent increase on certain vacant units. WSJ

*HASSETT: FALLING OIL PRICES WOULD BE FELT ONCE STRAIT OPENS waiting...

Premarket movers: Mag 7 stocks are all higher (Nvidia +1.2%, Tesla +1%, Apple +0.6%, Amazon +0.4%, Alphabet +0.2%, Microsoft +0.2%, Meta Platforms +0.1%) Amentum Holdings Inc. shares (AMTM) gain 0.4% after BNP Paribas initiated coverage of the engineering firm with a recommendation of underperform as it sees growth lagging peers. AutoZone shares (AZO) fall 5.6% after it reported net sales for the third quarter that missed the average analyst estimate. Booz Allen Hamilton Holding Corp. shares (BAH) are up 1.4% after Stifel upgraded the company to buy from hold. Bridgebio Pharma shares (BBIO) dip 0.8% after Raymond James downgraded the drugmaker to market perform from outperform, citing near-term headwinds. Circle Internet Group Inc. shares (CRCL) rise 0.6% after it was initiated at KeyBanc Capital Markets with a recommendation of sector weight as it sees the stablecoin issuer being a leader in the sector, however dealing with lower margins. Okta Inc. shares (OKTA) are up 2.3% after Arete upgraded the software company by two notches, to buy from sell. Pembina Pipeline Corp. (PBA) rises 0.9% after it was upgraded to buy from hold at TD Cowen on sector growth. Shares in rocket and satellite companies (RDW +16%, MDA +17%, ASTS +7%) are rallying, set to extend recent gains since SpaceX filed publicly for what stands to be the largest-ever initial public offering. Shares in semiconductor companies with exposure to Asia (WOLF +8.5%, SMTC +4%) are rallying on optimism over a potential breakthrough in technology by Huawei.

*IRAN'S FOREIGN MINISTRY COMMENTS ON ATTACKS IN STATEMENT

*IRAN CONDEMNS US ATTACKS ON VESSELS AS CEASEFIRE VIOLATION

Lowest mutual fund exposure to Software ex-MSFT since 2012.

TAIWAN'S MARKET CAP RISES TO $4.95 TRILLION TO OVERTAKE INDIA

stole this from Oxford Economics. EM is getting shellacked when you remove TSMC, Samsung and SK Hynix.