1. The euro zone benchmark 10 year rate fell to 2.87%, its lowest since March 11, and is down 11 bps this week.

Oil prices fell further, reinforcing investor views that euro zone inflation will remain broadly in check, limiting the amount of policy tightening needed by the European Central Bank.

2. Gold slips on firm dollar.

Gold has fallen about 23% since the start of the U.S.-Israeli war on Iran in late February, as mounting inflationary pressure has given way to expectations of interest rate hikes by the U.S. Federal Reserve.
While gold is traditionally seen as an inflation hedge, it loses its appeal as a non-yielding asset in a high-interest-rate environment.
Also, the dollar hit a more than one-year high, making bullion more expensive for overseas buyers.
"If we continue to mostly focus on inflation and we take out the $4,000 level, then we're going to be in the direction of $3,800, and we're going to have a conversation about whether a test of $3,500 follows next," Spivak said.

3. Germany cancells a Rheinmetall order.

Germany cancelled the €12.8bn F126 warship programme, originally intended to deliver six large multipurpose warships and potentially become one of Rheinmetall’s flagship naval projects, following significant cost overruns, delays, software issues and execution frictions. The decision would imply around €2bn of write-offs.
This is not a major financial setback for the current guidance framework given the F126 frigates were expected to be delivered from 2031 and therefore would have had limited impact on the company’s 2030 targets (€5bn).
The bigger issue is around contract visibility and predictability.

4. Memory’s share of hyperscaler capex is expected to climb from 35% in 2026 to 48% in 2027.

Micron's results beat expectations, boosting optimism over sustained demand for AI-related memory chips.
SK Hynix's $29 bln U.S. listing will help narrow the valuation gap with Micron.
SK Hynix shares up as much as 11.6% and Samsung Electronics gains up to 6.2%.
Samsung's market capitalisation now tops Tesla or Meta.

5. No surprise…the US is the most vibrant and prepared country for AI, with China close behind.

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