Financial News

Sector Update: Financial

Financial stocks were advancing in Thursday afternoon trading, with the NYSE Financial Index and the State Street Financial Select Sector SPDR ETF (XLF) each adding 0.5%.The Philadelphia Housing Index was climbing 1.6%, and the State Street Real Estate Select Sector SPDR ETF (XLRE) was up 1.5%.Bitcoin (BTC-USD) rose 2% to $72,484, and the yield for 10-year US Treasuries was decreasing 2.8 basis points to 4.26%.In corporate news, Ares Management (ARES) on Thursday agreed to acquire and take private real estate investment trust Whitestone REIT (WSR) in an all-cash deal worth about $1.7 billion. Ares shares were down 0.2%, and Whitestone jumped 11%.

Sector Update: Energy

Energy stocks were lower Thursday afternoon, with the NYSE Energy Sector Index decreasing 0.6% and the State Street Energy Select Sector SPDR ETF (XLE) falling 1.3%.The Philadelphia Oil Service Sector Index was up 0.1%, and the Dow Jones US Utilities Index climbed 1.6%.Front-month West Texas Intermediate crude oil was rising 3.5% to $97.74 a barrel, and the global benchmark Brent crude contract was advancing 1% to $95.73 a barrel. Henry Hub natural gas futures fell 2% to $2.67 per 1 million BTU.In corporate news, Chevron (CVX) expects higher commodity prices driven by the Middle East conflict to boost Q1 earnings in its upstream segment by up to $2.2 billion, though timing impacts could weigh on its bottom line. Shares were down 1.1%.

Atlanta Fed US Q1 GDP Nowcast Estimate Unrevised from Previous 1.3% Gain

Weekly Jobless Claims Rise, Continuing Applications Reach Lowest Since May 2024

Weekly applications for unemployment insurance in the US rose more than expected, while continuing claims reached the lowest level since May 2024, government data showed Thursday.For the week through April 4, the seasonally adjusted number of initial claims increased by 16,000 to 219,000 from the previous week's average that was adjusted upwards by 1,000, the Department of Labor said. The consensus was for a 210,000 reading in a Bloomberg poll.The four-week moving average totaled 209,500, up by 1,500 from the prior week's average that was revised higher by 250. Unadjusted claims rose by 16,637 to 202,895, the DOL said."The latest jobless claims data offer no evidence that the (US-Israel) war with Iran has had a notable impact on the labor market," Oxford Economics Lead US Economist Nancy Vanden Houten said in remarks e-mailed to. "We don't think an upside surprise in one week is sending a signal that labor market conditions are softening."Seasonally adjusted continuing claims for the week ended March 28 reached 1.79 million, the lowest level since May 11, 2024, and lagging Wall Street's expectations of 1.83 million. Continuing claims dropped by 38,000 from the previous week's level, which was revised down by 9,000, according to the DOL. The four-week moving average fell by 13,250 to about 1.82 million."Continued claims are trending lower, reflecting the general drift lower of initial claims since last fall," Vanden Houten said.Earlier this month, official data showed that the US economy added more jobs than expected in March, while the unemployment rate edged down to 4.3% from 4.4% sequentially.On Wednesday, minutes from the Federal Reserve's March meeting showed that monetary policymakers emphasized the need to remain "nimble" in adjusting interest rates in light of heightened risks to inflation and employment driven by the Iran war, which started at the end of February.On Tuesday, the US and Iran agreed to a two-week ceasefire, though the truce appears fragile.

Sector Update: Health Care

Health care stocks advanced Thursday afternoon, with the NYSE Health Care Index adding 0.2% and the State Street Health Care Select Sector SPDR ETF (XLV) up 0.1%.The iShares Biotechnology ETF (IBB) rose 0.3%.In corporate news, Amazon.com's (AMZN) Amazon Pharmacy said Thursday it is offering Eli Lilly's (LLY) obesity pill Foundayo. Lilly shares added 0.6%.

US 30-Year Auction High Yield Rises From Previous Month, Demand Lower

The US Treasury's 30-year auction hit a high yield of 4.876% on Thursday, up from the 4.871% high in the previous auction.The bid to cover ratio for the auction was 2.39, below the 2.45 ratio in the previous auction.Dealers represented 54.35% of the bids, with direct bidders at 12.87% and indirect bidders at 32.78%.For takedown, dealers took 11.62%, with direct bidders at 24.23% and indirect bidders at 64.14%.

Exchange-Traded Funds Edge Higher as US Equities Rise After Midday

Broad Market IndicatorsBroad-market exchange-traded funds IWM and IVV advanced. Actively traded Invesco QQQ Trust (QQQ) was up 0.4%.US equity indexes rose in midday trading on Thursday as a fragile Iran ceasefire deal brokered by Pakistan appears to be largely holding.EnergyIShares US Energy ETF (IYE) and the State Street Energy Select Sector SPDR (XLE) each dropped about 1.1%.TechnologyThe State Street Technology Select Sector SPDR ETF (XLK) slipped 0.3%; iShares US Technology ETF (IYW) was 0.2% lower, while iShares Expanded Tech Sector ETF (IGM) fell 0.2%.The State Street SPDR S&P Semiconductor (XSD) advanced 0.8%, and iShares Semiconductor (SOXX) was up 1.5%.FinancialThe State Street Financial Select Sector SPDR (XLF) gained 0.4%. Direxion Daily Financial Bull 3X Shares (FAS) climbed up 1.2%, and its bearish counterpart, Direxion Daily Financial Bear 3X Shares (FAZ), declined 1.4%.CommoditiesCrude oil rose 3.5%, and the United States Oil Fund (USO) added 0.2%. Natural gas fell 2.1%, and the United States Natural Gas Fund (UNG) was down 2.2%.Gold on Comex was up 0.7%, and the State Street SPDR Gold Shares (GLD) gained 1.2%. Silver rose 1.1%, and iShares Silver Trust (SLV) was 2% higher.ConsumerThe State Street Consumer Staples Select Sector SPDR (XLP) rose 0.8%. The Vanguard Consumer Staples ETF (VDC) added 0.9%, and iShares Dow Jones US Consumer Goods (IYK) was 0.8% higher.The State Street Consumer Discretionary Select Sector SPDR (XLY) advanced 1.5%. VanEck Retail ETF (RTH) added 1.5%, while the State Street SPDR S&P Retail (XRT) was up 0.8%.Health CareThe State Street Health Care Select Sector SPDR (XLV) rose 0.1%, and iShares US Healthcare (IYH) and Vanguard Health Care ETF (VHT) also edged higher. IShares Biotechnology ETF (IBB) added 0.3%.IndustrialThe State Street Industrial Select Sector SPDR (XLI) climbed 1.4%. Vanguard Industrials Index Fund (VIS) rose 1.3%, and iShares US Industrials (IYJ) was up 0.8%.CryptocurrencyIn midday activity, bitcoin (BTC-USD) rose 0.7%. Among cryptocurrency ETFs, ProShares Bitcoin ETF (BITO) added 1%, ProShares Ether ETF (EETH) gained 0.1%, and ProShares Bitcoin & Ether Market Cap Weight ETF (BETH) was up 0.6%.

Sector Update: Consumer

Consumer stocks were higher Thursday afternoon, with the State Street Consumer Staples Select Sector SPDR ETF (XLP) increasing 0.9% and the State Street Consumer Discretionary Select Sector SPDR ETF (XLY) rising 1.6%.In corporate news, Constellation Brands (STZ) shares jumped past 7% after the company reported late Wednesday fiscal Q4 non-GAAP net income and revenue that beat analysts' expectations.

Luca Mining Maintained at Buy at Stifel Canada Following Q4 Results; Price Target Kept at C$4.00

Stifel Canada on Thursday maintained its buy rating on the shares of Luca Mining (LUCA.V) and its C$4.00 price target after the company released fourth-quarter results."Luca printed a strong 4Q25, with FCF generation of $15.5MM ahead of consensus/Stifel at $13.0MM & $8.9MM, driven by increased production at Tahuehueto and higher realized pricing. Importantly, continued cash build and balance sheet improvement (bank debt expected to be repaid in 3Q26) directionally strengthens the balance sheet ahead of Campo Morado Expansion scoping study expected by end of year. With Campo Morado execution stabilizing and FCF generation improving, we see increasing confidence in LUCA's ability to deliver on its growth profile which targets >2x production (~55kozpa to ~110kozpa AuEq by 2029) while increasing precious metals revenue from ~64% to 76%. At 0.28x spot P/NAV (vs peers ~0.54x spot P/NAV) we see scope for re-rating as execution and funding risk is reduced," analyst Cole McGill wrote.(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www..com/contact-us)Price: $1.49, Change: $+0.06, Percent Change: +4.20%

US 30-Year High Yield 4.876% vs 4.871% Previous; Bid/Cover 2.39 vs 2.45 Previous

EMEA Natural Gas Update: Futures Slip After Reports of Israel-Lebanon Talks

European natural gas futures dipped in late trade Thursday following reports that Israel is seeking direct negotiations with Lebanon.The front-month Dutch TTF contract fell 1.812% to 44.48 euros ($52.09) per megawatt-hour, while UK NBP futures lost 1.558% to 112.47 pence ($1.51) per therm.Israeli Prime Minister Benjamin Netanyahu reportedly authorized direct talks with Lebanon in response to requests from Beirut, focusing on disarming Hezbollah and establishing peaceful relations between the neighbors. Netanyahu also welcomed Lebanon's call to demilitarize Beirut. There was no immediate comment from the Lebanese government, the Associated Press reported.Earlier Thursday, prices had climbed amid fears that the fragile US-Iran ceasefire could unravel after renewed Israeli strikes on Lebanon. Iran has again blocked shipping through the Strait of Hormuz, calling the latest attacks on Lebanon a violation of the ceasefire, while continuing military actions targeting Gulf states. Conflicting interpretations persisted over whether Tuesday's ceasefire framework covers Israeli operations in Lebanon.Meanwhile, European gas storage continued to rise ahead of next winter but remains below year-ago levels. EU storage reached 28.77% of capacity, compared with nearly 35% at the same time in 2025, Gas Infrastructure Europe reported Thursday.Challenges to refilling European storage remain as the conflict in the Middle East has already changed much of the world energy infrastructure. Liquidity Energy reported that Susannah Streeter, chief investment strategist at Wealth Club, said that even with resumed shipments through the Strait, risks remain elevated. Tankers would still face mined waters and heightened military activity, keeping insurance premiums and freight costs high.

Sector Update: Tech

Tech stocks were mixed Thursday afternoon, with the State Street Technology Select Sector SPDR ETF (XLK) decreasing 0.3% and the State Street SPDR S&P Semiconductor ETF (XSD) adding 0.8%.The Philadelphia Semiconductor index rose 1.4%.In corporate news, CoreWeave (CRWV) agreed to supply AI cloud capacity to Meta Platforms (META) in a $21 billion deal as the companies expanded their partnership amid robust demand for infrastructure supporting AI workloads. Meta shares gained 3.3%, and CoreWeave climbed 5.6%.

DPM Metals Maintained at Buy at Stifel Canada After Q1 Production Results; Price Target Kept at C$61.00

Stifel Canada on Thursday maintained its buy rating on the shares of DPM Metals (DPM.TO) and its C$61.00 price target after the company reported first-quarter production results."DPM reported Q1 production of 84k GEOs, which exceeded our estimate of 73.4k GEOs. Vares was the clear standout with production at 29k GEOs (Stifel Est: 11k GEOs). We believe the ramp-up of the mine to full-production is showing some good signs and although grades were not reported we suspect Vares' grades are already benefitting from DPM's efforts to improve the underground mine along with minimizing mine-dilution. Based on DPM's consolidated 2026 GEO guidance, Q1 represents 25% of FY expectations or ~23% our FY 2026 GEO estimate, which is a good start to the year. The main takeaway - Q1 results from Vares confirms to us that the mine is on a good path to achieve its annual targets. As a reminder, 2026 GEO production guidance points to 16% YoY growth driven by Vares. DPM trades at a 0.83x LT P/NAV while offering a 3-Yr forward average FCF-yield of ~10%," analyst Ingrid Rico wrote.(covers equity, commodity and economic research from major banks and research firms in North America, Asia and Europe. Research providers may contact us here: https://www..com/contact-us)Price: $53.44, Change: $+0.26, Percent Change: +0.49%

Petro-Victory Energy Increases a Shares for Debt Transaction

Petro-Victory Energy (VRY.V) on Thursday said it revised terms to the debt settlement transaction of US$500,000 announced on March 22.The company said it now plans to enter into a debt settlement agreement with 579 Max Ltd to settle outstanding debts of US$1 million owing to the lender by issuing 2.04-million shares of the company at a deemed price of C$0.68 each.The company said the closing of the shares-for-debt transaction is subject to customary closing conditions, including the exchange approval.The company plans to close the shares-for-debt transaction as soon as practicable.The company's shares last traded April 8, closing at $0.65 on the TSX Venture Exchange.

US Equity Indexes Extend Gains as Iran Truce Deal Seen Holding

US equity indexes rose in midday trading on Thursday as a fragile Iran ceasefire deal brokered by Pakistan appears to be largely holding.The Nasdaq Composite rose 0.6% to 22,775.1, with the S&P 500 up 0.5% to 6,817.7 and the Dow Jones Industrial Average higher by 0.5% to 48,159.6, after staging a strong rally on Wednesday.All three gauges had opened lower on Thursday, reflecting Israel's Wednesday attacks on Lebanon that, according to Reuters, killed more than 250 people. However, CNN reported that the two-week ceasefire deal appears to be on track, with fewer attacks reported across the Middle East on Thursday.Further, Israel's Prime Minister Benjamin Netanyahu said Tel Aviv will begin talks with Lebanon focused on disarming Hezbollah, a militant group reportedly fighting as Iran's proxy. That statement would allay concerns raised by Iranian President Masoud Pezeshkian, who, on Thursday, said Israeli strikes on Lebanon on Wednesday violated the US-Iran truce deal and would render the upcoming peace negotiations in Pakistan meaningless.West Texas Intermediate crude oil futures jumped 3.1% to $97.34, after trading more than 7% earlier in the session.Brent crude futures rose 0.7% to $95.38, after climbing almost 5% intrday.

Stifel Canada on Delta Air Lines Q1's Implications For Air Canada

Delta Air Lines reported upbeat fiscal first-quarter results along with a positive outlook that bodes well for Air Canada as the airline heads into the peak summer season, writes Stifel Canada."While it's challenging to draw direct readthroughs from Delta's results to Air Canada, we are broadly encouraged by the continued booking strength and customer willingness to absorb higher pricing," writes analyst Daryl Young, who is maintaining a buy rating and C$28.00 price target on Air Canada shares.Young thinks the airline industry is continuing to act more rationally regarding capacity allocation and profitability than in prior cycles. He also notes that Air Canada was active on its NCIB during the first quarter right through March, acquiring roughly six-million shares or ~2% of the float; "we think this is likely a positive indication of AC's confidence in its bookings and liquidity position".Price: $18.88, Change: $+0.35, Percent Change: +1.89%

EMEA Oil Update: Crude Surges on Fragile Iran Ceasefire, Hormuz Uncertainty

EMEA crude futures advanced in after-hours trading on Thursday as the continued closure of the Strait of Hormuz and Israeli attacks on Lebanon threaten to derail the fragile US-Iran ceasefire.Brent crude futures rose by 1.70% to $96.53 per barrel, while Murban oil futures were up 2.79% to $100.37/bbl.ING strategists said in a note Wednesday that the price direction will hinge on whether talks translate into a durable agreement and sustained normalization of flows through Hormuz.On Wednesday, President Trump said that US military forces will remain deployed in the Middle East until Iran fully complies with the "real agreement," noting that any breach would trigger a military campaign larger than anything seen before."All US ships, aircraft, and military personnel...will remain in place in, and around, Iran, until the real agreement reached is fully complied with," Trump said in a social media post on Truth Social.However, much remained unclear in the ceasefire agreement, with the US and Iran appearing far apart in demands.Iranian Parliament Speaker Mohammad-Bagher Ghalibaf said in a statement on X that three clauses of the ceasefire proposal have been violated."The deep historical distrust we hold toward the United States stems from its repeated violations of all forms of commitments, a pattern that has regrettably been repeated once again," Ghalibaf said in a statement via a social media post on X.The Iranian delegation is expected to arrive in the Pakistani capital, Islamabad, on Thursday for talks to resolve the Middle East conflict, which has roiled energy markets. However, Ghalibaf said negotiations make no sense following ceasefire violations."Crude prices rebounded following their biggest one-day drop since April 2020, with Brent challenging resistance ahead of $100/bbl," Saxo Bank strategists said in a note on Thursday.Meanwhile, the Hormuz remains effectively closed on Thursday amid Israel's continued attacks on Lebanon. Iran reportedly told mediators it will limit traffic via the strategic waterway to about 12 vessels per day and impose tolls under the ceasefire.The head of UAE energy giant Adnoc said access through the Strait was being "restricted, conditioned and controlled"."The Strait must be open - fully, unconditionally and without restriction," Sultan Ahmed Al Jaber, Adnoc's managing director and group CEO, said, adding that transit via the waterway is a right under international law.The International Maritime Organization forecasts that about 2,000 vessels, including oil and gas tankers, bulk carriers, and cargo ships, are currently stranded in the Arabian Gulf, along with around 20,000 seafarers.

Chevron Flags Tailwind to Quarterly Upstream Earnings From Higher Commodity Prices

Chevron (CVX) expects higher commodity prices driven by the Middle East conflict to boost first-quarter earnings in its upstream segment by up to $2.2 billion, though timing impacts could weigh on the oil giant's bottom line.Elevated oil prices are projected to benefit upstream segment earnings by $1.6 billion to $2.2 billion in the March quarter, compared with the previous three-month period, the company said in a regulatory filing Thursday.Crude prices resumed their upward trend Thursday amid uncertainty over the two-week ceasefire deal between the US and Iran announced Tuesday. The war started at the end of February, sending energy prices soaring amid the closure of the crucial Strait of Hormuz.West Texas Intermediate crude oil was 4.5% higher intraday at $98.67 a barrel, while Brent increased 1.7% to $96.37, well above pre-war levels.Chevron said that timing effects linked to hedging and accounting in a rising commodity price environment are "generally negative," potentially impacting first-quarter earnings and cash flow from operations, excluding working capital, by roughly $2.7 billion to $3.7 billion."The majority of these effects are in the downstream segment and are expected to unwind in future periods," the company said in the filing.Chevron shares were down 1.2% intraday, reducing its year-to-date gain to about 26%.The company expects downstream earnings to include a charge of about $350 million to $400 million tied to a litigation reserve related to ceased operations, according to the filing.First-quarter upstream oil-equivalent production is forecast to be in a range of 3.8 million barrels per day to 3.9 million barrels, mainly reflecting downtime at Kazakhstan's Tengizchevroil project and reduced production in the Middle East, Chevron said.The company expects to report first-quarter results by May 1.On Wednesday, larger rival Exxon Mobil (XOM) flagged that production disruptions caused by the Middle East conflict could lower its global oil-equivalent output by roughly 6% on a sequential basis in the first quarter. The company also said it expected the surge in energy prices to boost upstream earnings.Price: $191.94, Change: $-0.95, Percent Change: -0.49%

Inflation Accelerates in February, Real Consumer Spending Edges Higher

US inflation accelerated sequentially in February as real consumer spending edged higher, with analysts expecting price pressures to intensify due to the spillover effects of the Middle East conflict.The personal consumption expenditure price index rose 0.4% month over month in February following a 0.3% gain in the prior month, the Bureau of Economic Analysis reported Thursday. On a yearly basis, the PCE price index held steady at 2.8% growth.The Federal Reserve's preferred inflation metric, which excludes food and energy, climbed 0.4% month over month, unchanged from January. Annual growth slowed to 3% from 3.1%. All inflation prints met estimates in Bloomberg-compiled surveys."Core prices are actually gaining momentum, up 4.4% annualized the past three months, compared with 3.4% in the past six months," Sal Guatieri, senior economist at BMO Capital Markets, said in a report. "And this is before spillover pressures from the Iran war."The US and Iran have agreed to a two-week ceasefire, apparently pausing hostilities that spread across the Middle East and boosted energy prices. Officials from Washington and Tehran are set to meet in Pakistan this weekend amid reports of ceasefire violations."Headline inflation is expected to jump on higher (gasoline) prices in March, however, it's likely too soon for the second order price effects to show up in core inflation," Ksenia Bushmeneva, economist at TD Economics, said in a report.Inflation-adjusted real consumer spending rose 0.1% in February, slower than the Street's estimate of a 0.2% gain and following a flat reading in January."With headline inflation likely to test 4% soon, there is little chance the Fed will ease policy in the near term," Guatieri said.Markets widely expect the central bank to keep its benchmark lending rate unchanged later this month, the CME FedWatch tool showed.The US central bank should be "nimble" in adjusting monetary policy in light of heightened risks to inflation and employment driven by the Middle East conflict, minutes from the central bank's March 17-18 meeting showed Wednesday.

USDA Leaves US Corn Use for Ethanol, Soybean Oil Use for Biodiesel Unchanged in April Outlook

Ethanol makers will use 5.6 billion bushels of corn in the 2025-2026 marketing year that started on Sept. 1, the US Department of Agriculture forecast in a monthly report Thursday.That's unchanged from the March outlook for 5.6 billion bushels.Total US corn use for 2025/26 is forecast at 16.47 billion bushels. That's equal to last month's outlook.Biodiesel makers will use 14 billion pounds of soybean oil during the 2025-2026 marketing year, which began Oct. 1. That's unchanged from the March outlook, and higher than the 11.8 billion pounds used in the 2024/2025 marketing year.The USDA estimated US soybean oil 2025/2026 ending stocks at 1.84 billion pounds, compared with 1.78 billion in March.