Earnings

• Corporate India concluded FY26 with strong earnings growth, characterized by double-digit gains in Profit After Tax (PAT), sales, and EBITDA according to a report by Motilal Oswal. • The growth was primarily driven by the financials, metals, and oil marketing companies (OMCs) sectors, with mid-cap companies notably outperforming larger entities. • This trend is significant as it indicates broad-based resilience across key industrial sectors and suggests a positive trajectory for Nifty-50 earnings.

• Wall Street heads into a data-heavy week with the May nonfarm payrolls report due June 5 and Broadcom’s quarterly earnings later in the week, according to Reuters coverage republished by the Economic Times. • The S&P 500 has risen for nine straight weeks, is up more than 10% this year, and the Nasdaq Composite has gained about 16% as AI-linked technology shares keep driving the rebound. • Economists in a Reuters poll expect U.S. unemployment to stay at 4.3% and payroll growth to slow to about 85,000 jobs, a reading that could reshape expectations for Federal Reserve policy.

• U.S. stocks finished at new closing highs on May 29, with the Dow up about 0.67% and major indexes extending weekly and monthly gains as technology shares led the rally. • The move was supported by upbeat earnings guidance from companies such as Dell and broader AI-related enthusiasm, while investors also watched inflation and Federal Reserve policy signals. • The rally matters because it shows investors still favor growth and AI-linked names even as concerns persist about inflation, oil prices, and the rate outlook.

• European consumer discretionary earnings plummeted by over 12% in Q1 2026, marking the worst performance of the current earnings season according to MSCI Europe data. • The decline highlights the sector's extreme vulnerability to geopolitical instability, specifically noting how economic slowdowns in hubs like Dubai directly impact luxury markets in Paris and Milan. • The Voices of Retail 2026 report indicates a widening economic gap in the UK and a broader "polycrisis" eroding the traditional certainties of global retail.

• S&P Global Inc. reported solid quarterly financial results, driven by sustained high demand for its core credit ratings, indices, and financial data services. • The company's business model leverages its position as a critical data powerhouse, providing essential benchmarks and risk assessments for global financial markets. • These results are significant for US-focused investors as they demonstrate the firm's ability to maintain growth despite fluctuating economic conditions.

• Indian stock markets, including the Sensex and Nifty, have posted a recovery rally driven by a robust corporate earnings season featuring companies like Mamaearth and LIC. • This positive momentum persists despite significant headwinds, including geopolitical tensions and Brent crude oil prices climbing to $105 per barrel. • The rally reflects a broader trend of cautious optimism across Asian markets, with gains seen in Japan's Nikkei 225, South Korea's Kospi, and the Hang Seng.

• OpenAI is tentatively targeting an initial public offering (IPO) for the autumn, according to reports from The Wall Street Journal. • The potential stock market listing aims to secure significant funding to accelerate the company's future artificial intelligence development. • This move represents a pivotal moment for both OpenAI and the broader AI industry as it transitions toward a public corporate structure.