WS #7344

The dominant narrative from the Trump-Xi summit continues, with a key new development: Trump stated that Xi Jinping promised not to supply Iran with military equipment or weapons, a significant de-escalation signal for the Iran conflict and oil markets. This is corroborated by multiple sources. However, the Boeing order headline underwhelms—Trump said Xi agreed to 200 jets versus reports of up to 500, and BA reportedly fell 3.8%. The broader tech sector is rallying on Cisco earnings and U.S.-China talks, with QQQ up 30% from March lows and options expiry tomorrow. Applied Materials (AMAT) beat earnings estimates, adding to tech momentum. In geopolitics, the EU pledged a €6B drone support package for Ukraine, and the IDF is entering a maximum state of alert following Trump's departure from China, indicating potential escalation. The yen weakened to the 158 range against the dollar, testing post-intervention lows. Fed Governor Stephen Miran resigned, which could signal a hawkish shift. In crypto, Bitcoin is near $81K and XRP above $1.50, with crypto-related stocks rallying. The ISM postponed its Supply Chain Planning Forecast due to data corruption, a minor negative for economic visibility.