Overnight US stocks | U.S. Secretary of State Rubio said progress has been made in U.S.-Iran negotiations, with the Dow hitting a new record high at the close. Arm (ARM.US) rose by 16%.

On Thursday, the three major indexes closed higher, with the Dow hitting a new closing high. U.S. Secretary of State Pompeo stated that negotiations with Iran have made some progress, but he cannot guarantee that an agreement will be reached. He also mentioned that if a "good agreement" cannot be reached, "everyone knows" what other options the U.S. has. [US Stocks] The Dow rose 276.31 points, or 0.55%, to 50285.66 points; the Nasdaq rose 22.74 points, or 0.09%, to 26293.10 points; the S&P 500 rose 12.75 points, or 0.17%, to 7445.72 points. NVIDIA Corporation (NVDA.US) fell 1.8%, IBM (IBM.US) rose 12%, Arm (ARM.US) rose 16%, and Sandisk (SNDK.US) rose 10%. The Nasdaq Golden Dragon Index fell 1.5%, while XPeng, Inc. ADR Sponsored Class A (XPEV.US) rose 3%. [European Stocks] The German DAX30 index fell 118.75 points, or 0.48%, to 24613.53 points; the UK FTSE 100 index rose 14.14 points, or 0.14%, to 10446.48 points; the French CAC40 index fell 31.42 points, or 0.39%, to 8086.00 points; the Euro Stoxx 50 index fell 17.12 points, or 0.29%, to 5958.95 points; the Spanish IBEX35 index fell 60.65 points, or 0.34%, to 17970.45 points; the Italian FTSE MIB index fell 15.16 points, or 0.03%, to 49166.50 points. [Asian Stock Markets] The Nikkei 225 index rose by 3.14%, the South Korean Composite Stock Price Index rose by 8.42%, the Indian Sensex index fell by 0.18%, and the Straits Times Index rose slightly. [US Dollar Index] The US Dollar Index, which measures the US dollar against six major currencies, rose by 0.17% to close at 99.257 in the forex market. By the end of the New York forex market, 1 euro exchanged for 1.1612 US dollars, lower than the previous trading day of 1.1631 US dollars; 1 pound exchanged for 1.3426 US dollars, lower than the previous trading day of 1.3442 US dollars. 1 US dollar exchanged for 159.08 Japanese yen, higher than the previous trading day of 158.84 Japanese yen; 1 US dollar exchanged for 0.7874 Swiss francs, higher than the previous trading day of 0.7868 Swiss francs; 1 US dollar exchanged for 1.3783 Canadian dollars, higher than the previous trading day of 1.3749 Canadian dollars; 1 US dollar exchanged for 9.3501 Swedish kronor, higher than the previous trading day of 9.3324 Swedish kronor. [Cryptocurrency] Bitcoin hovered around $77,615, while Ethereum had a small fluctuation at $2,133.1. [Crude Oil] The price of light crude oil futures for July delivery on the New York Mercantile Exchange fell by $1.91 to close at $96.35 per barrel, a decrease of 1.94%; the price of Brent crude oil futures for July delivery on the London Mercantile Exchange fell by $2.44 to close at $102.58 per barrel, a decrease of 2.32%. [Precious Metals] Gold prices had minimal fluctuation, closing at $4542.71 per ounce; silver prices were at $76.669 per ounce. [Macro News] Pompeo: U.S.-Iran Negotiations Making Progress, Uncertain if Agreement Will Be Reached. U.S. Secretary of State Pompeo stated on May 21 that negotiations between the U.S. and Iran have made some progress, but he cannot guarantee that an agreement will definitely be reached. He also mentioned that if a "good agreement" cannot be reached, "everyone knows" what other options the U.S. has. Pompeo made these remarks as he traveled from Miami, Florida to Sweden to attend a NATO foreign ministers meeting. He said at the airport to the media that President Trump's primary goal is to reach a "good agreement," and the U.S. will do everything possible to achieve this goal, but if a good agreement cannot be reached, the President has made it clear that he has other alternatives. Pompeo mentioned that while there have been some positive signs, he does not want to appear overly optimistic. He stated, "So, let's see what happens in the next few days." Trump Threatens Iran to Hand Over Enriched Uranium, May Destroy It upon Receipt. U.S. President Trump stated on May 21 at the White House that Iran must hand over its highly enriched uranium, and the U.S. will likely destroy it upon receipt. Trump said in response to reporters' questions, "We will get those highly enriched uranium. We don't need it, we don't want it. We'll likely destroy it when we get it, we're not going to let them have it." He also mentioned that the U.S. and Iran are currently in negotiations, and the outcome is still to be observed. Trump has previously threatened Iran to hand over enriched uranium. According to U.S. sources on May 10, Trump mentioned that the U.S. has been monitoring the buried Iranian enriched uranium, with the U.S. Space Force responsible for this task. Fed's Bostic: Repeated Supply Shocks Testing Anchor of Inflation Expectations. Federal Reserve's Bostic stated that the ability of businesses and consumers to withstand the latest round of supply shocks will determine whether the U.S. central bank can continue to "ignore" higher inflation and not choose to raise interest rates. Bostic stated in a prepared speech for an event in Raleigh, North Carolina, on Thursday, "After more than five consecutive years of inflation above our 2% target, it is necessary to consider whether the accumulated effects of so many rounds of shocks will loosen the 'anchor' of inflation expectations." He also mentioned, "For me, the key question is how much pressure businesses, consumers, and inflation expectations can bear." Bostic also stated that he is increasingly concerned that the U.S. may have entered a "new phase" where supply shocks will become more frequent. These shocks may come from multiple factors, including heightened geopolitical tensions, fragmented trading systems, more extreme weather events, rising government debt, and other structural forces. He also pointed out that, at present, the Federal Reserve's monetary policy stance is in a good position to address risks in both the job market and inflation. U.S. Mortgage Rates Rise to Highest Level since August Last Year. Reports indicate that this week, U.S. mortgage rates have risen to their highest level since August last year, which is bad news for homebuyers as this is typically the busiest time of the year for real estate sales. Mortgage firm Freddie Mac stated on Thursday that the average rate for a 30-year fixed-rate mortgage has risen to 6.51% this week, up from 6.36% last week. Additionally, rising costs of homeowners insurance and property taxes are also causing buyers to hesitate. The increase in mortgage rates this year reverses the downward trend that began in the second half of 2025. However, current mortgage rates are still lower than they were a year ago, and some buyers are taking advantage of the quiet market. According to data from the Mortgage Bankers Association, mortgage applications for home purchases decreased from the previous week but increased by 8% compared to the same period last year. Concentration of U.S. Stock Market Gains Hits 35-Year High, Analysts Warn of Possible Pause in the Market. Driven by optimism in artificial intelligence and strong earnings reports, the S&P 500 index and the Nasdaq both hit historical highs, but this rally lacks breadth, with most gains coming from large tech stocks. Analysts at UBS Group AG pointed out that as of May 15, the market cap-weighted S&P 500 index has led the equal-weighted S&P 500 index by the largest margin in at least 35 years. Given that much of the market value growth is driven by large tech stocks in artificial intelligence, UBS Group AG advises investors to reduce excessively concentrated positions and guard against concentrated holding risk. UBS Group AG also stated that as earnings season comes to a close and market focus shifts back to the unresolved situation in the Middle East, the market may enter a phase of temporary pause. Ipek Ozkardeskaya, senior market analyst at Swiss Bank Credit Suisse, stated that she has been monitoring issues of market breadth, with most gains currently concentrated in a few tech companies that are "priced for perfection," and if any issues arise with their pricing logic, we may see a collapse similar to a burst bubble. [Individual Stock News] Prediction Website Bets: SpaceX Valuation Could Exceed $2 Trillion. Betters on the prediction website Polymarket predict that the public listing of SpaceX will likely surpass a market cap of $1 trillion, with a 73% chance of exceeding $2 trillion. These bets are tied to the closing market cap of SpaceX on its first day of trading. The company is planning to go public in June, with an estimated target valuation of over $1.5 trillion. Additionally, data on Polymarket shows a 17% probability of its market cap exceeding $3 trillion and a 2% probability of it surpassing $4 trillion. The prediction website launched bets on SpaceX's valuation about two weeks ago, but trading on related contracts is currently light, which may indicate a reserved attitude towards the mentioned probabilities. If SpaceX's market cap does surpass $2 trillion, its size would surpass at least two of the Big Seven in the U.S. stock market: Meta Platforms (META.US) and Tesla, Inc. (TSLA.US), with current market caps of approximately $1.5 trillion and $1.6 trillion respectively.