AI Earnings Lift Markets as Oil Prices Fall (May 25 – 29, 2026, Recap)

Overview

Global markets had a busy week, driven by key economic data, central bank updates, energy market developments, and major corporate earnings. Inflation, GDP, jobless claims, and crude oil inventories shaped investor sentiment, while strong results from companies such as Salesforce, Costco, and Dell highlighted ongoing demand in technology, consumer spending, and AI-related infrastructure. Overall, markets showed mixed signals, with equities gaining, oil prices falling sharply, and gold ending the week slightly higher.

Major Economic Indicators and Events in Review

Wednesday, May 27

04:30 am – Australia: CPI m/m (AUD)

Australia’s inflation eased in April 2026, with the Consumer Price Index rising 4.2% over the year, down from 4.6% in March. Prices are still rising, especially for housing, transport, and food, but the pace has slowed. A fall in fuel prices helped reduce overall inflation. However, underlying inflation, which removes some volatile price changes, edged higher to 3.4%, suggesting price pressures have not fully disappeared.

AUD/USD ticked 0.4% lower on the day.

05:00 am – New Zealand: Official Cash Rate (NZD)

The Reserve Bank of New Zealand kept the Official Cash Rate unchanged at 2.25%. Inflation remains above target at 3.1% and is expected to rise further before easing back toward 2% by mid-2027. The Bank warned that global uncertainty, higher costs, weak consumer confidence, and softer domestic demand are weighing on the economy. However, because inflation pressures may stay elevated, the RBNZ signaled that interest rates may need to rise sooner and by more than previously expected.

NZD/USD rose 1.11% on the day.

Thursday, May 28

15:30 – USA: Core PCE Price Index m/m (USD)

US consumers kept spending in April 2026, even though income was almost flat. Personal income slipped slightly, while disposable income fell 0.1%. Despite this, consumer spending rose 0.5%, mainly driven by stronger spending on services and goods. After adjusting for inflation, spending increased only 0.1%, showing that higher prices absorbed much of the gain. The PCE inflation index rose 3.8% from a year earlier, while core PCE, which excludes food and energy, increased 3.3%, suggesting inflation remains above the Federal Reserve’s comfort zone.

EUR/USD edged 0.23% higher from the previous session.

15:30 – USA: Prelim GDP q/q (USD)

The US economy grew at an annual rate of 1.6% in the first quarter of 2026, faster than the 0.5% growth seen in the previous quarter. Growth was supported by exports, investment, consumer spending, and government spending. However, the figure was revised lower from the first estimate because investment and consumer spending were weaker than initially reported. Inflation pressures remained high, with the PCE price index rising 4.5%, while corporate profits increased, but much more slowly than in the previous quarter.

USD/JPY fell 0.18% on the day.

15:30 – USA: Unemployment Claims (USD)

US jobless claims rose slightly last week to 215,000, but layoffs remain low by historical standards. Continuing claims also increased to 1.79 million, suggesting some workers are taking longer to find jobs.

Overall, the labor market remains stable, though hiring has slowed, and economic uncertainty from the Iran war and higher energy prices could pressure businesses and consumers.

GBP/USD increased by 0.13% during the session.

19:00 – USA: Crude Oil Inventories (USD)

US refineries processed more crude oil last week, operating at a strong 94.5% of capacity, while gasoline and distillate fuel production also increased. However, crude oil imports fell, and overall petroleum inventories declined sharply.

Commercial crude oil inventories dropped by 3.3 million barrels and are now about 2% below the five-year average. Gasoline and distillate inventories also fell and remain below normal levels, suggesting tighter fuel supplies.

Overall, the report points to strong refinery activity, lower imports, and shrinking inventories, which could support oil and fuel prices.

US crude oil fell 1.05% during the session.

Friday, May 29

15:30 – Canada: GDP m/m (CAD)

Real GDP was unchanged in the first quarter of 2026, showing the economy stalled after a small decline in the previous quarter. Higher imports, especially gold, weighed on growth, but this was balanced by an increase in business inventories.

Household spending improved, helping offset weaker business and government investment. On a per capita basis, GDP rose 0.2%, mainly because the population declined while overall economic output stayed flat.

USD/CAD ticked up 0.06% on the day.

Commodities

1. Crude Oil
   Crude oil prices decreased by 9.53% over the past week
2. Brent Oil
   Brent was down 11.86% compared to the previous week
3. Gold
   The precious metal Gold (XAUUSD) concluded the week on Friday with a 0.68% weekly gain
4. Silver
   XAGUSD decreased by 0.31% from last week

Stock Market

1. S&P 500 gained 1.48%
2. DJIA was up 0.93%
3. NASDAQ 100 increased by 2.92%

Top Gainers

1. VCI Global Limited (VCIG) 536.84%
2. QTREX Quantum Ltd. (QTEX) 322.28%
3. NetClass Technology Inc (NTCL) 277.63%

Top Losers

1. Quhuo Limited (QH) -97.96%
2. Zhongchao Inc. (ZCMD) -88.32%
3. Phaos Technology Holdings (Cayman) Limited (POAS) -80.10%

Company Earnings (May 25 – 29)

Wednesday, May 27: CRM (Salesforce, Inc.)

Thursday, May 28: COST (Costco Wholesale Corporation)

Thursday, May 28: DELL (Dell Technologies Inc.)

Salesforce reported a strong first quarter, with revenue rising 13% to $11.13 billion and profitability improving. Growth was supported by strong demand for Agentforce, broader customer adoption, and increased use of Slack and Data 360.

Management also raised its full-year revenue outlook, though some areas, including Marketing, Commerce, and Tableau, remain under pressure.

CRM shares rose 6.13% last week.

Costco reported a strong third quarter, with net income and sales rising sharply and comparable sales up 9.8%. Membership trends remained healthy, supported by growth in executive members and higher membership fee income.

The company also saw strong gas demand and continued progress in digital sales and technology initiatives. However, margins were mixed, with some pressure from gas inflation, healthcare costs, and one-time items.

COST shares fell 6.99% during the past week.

Dell reported a record first quarter, with revenue and earnings rising sharply, supported by strong business execution and demand for AI infrastructure. AI was the main growth driver, with record orders, server revenue, and backlog as demand continued to exceed supply.

Management raised its full-year outlook, reflecting confidence in stronger growth ahead. Traditional servers and PCs also showed solid demand, while strong cash flow allowed Dell to return more capital to shareholders.

DELL shares gained 42.59% during the past week.

Conclusion

In conclusion, the week highlighted a mixed but resilient market environment. Economic data showed that inflation pressures remain present, while growth and labor market conditions were steady but not especially strong. At the same time, falling oil prices, modest gains in gold, and stronger equity markets reflected shifting investor sentiment. Strong earnings from major companies, especially in technology and AI-related sectors, helped support optimism, although uncertainty around energy prices, consumer demand, and future central bank policy remains important going forward.