WS #6620

The dominant narrative is the de-escalation of the US-Iran conflict, with Trump pausing 'Project Freedom' and Iran seeking a 'fair and comprehensive deal'. This has driven a broad risk-on rally in Asian markets, with South Korea's Kospi surging 6.5% to a record high and Samsung joining the $1 trillion club. Oil prices are easing on peace hopes. However, counter-signals include Israeli airstrikes on Hezbollah in Lebanon and Russia violating a Ukraine ceasefire, indicating persistent geopolitical risks. On the corporate front, Novo Nordisk's Q1 results smashed expectations, driven by the Wegovy pill launch, leading to a guidance hike and strong sales. This is a high-significance positive for NVO and the GLP-1 sector. Other notable earnings include Diageo posting organic sales growth and HelloFresh beating expectations. The yen rallied to a two-month high, fueling intervention speculation. Overall, the market is pricing in a near-term resolution to the Iran crisis, but the underlying tensions remain.