WS #7374

The dominant signal in this window is the ongoing Trump-Xi summit in Beijing, with the leaders meeting again at Zhongnanhai and China's foreign ministry stating they reached 'a series of new consensuses.' Trump said Xi likes the idea of buying more US oil, which is bullish for US energy (XOM, CVX) and acts as a counter-signal to Iran conflict-driven oil supply fears. Separately, the Ukraine-Russia conflict continues to escalate: Ukrainian drones hit Russia's Nurlino oil pipeline pumping station, and a drone attack in Ryazan killed three people. This escalation is bearish for risk assets and bullish for energy. CIA Director William Burns reportedly visited Cuba amid the island's energy crisis, which could signal a shift in US-Cuba policy. Japan's corporate goods prices surged in April by the most in 12 years, supporting the case for a BOJ rate hike, which is bearish for Japanese equities and bullish for the yen. The global AI-driven stock rally stalled in Asia as global yields rise. Copper extended its retreat on faster US inflation and a stronger dollar. The prevailing macro narrative is ESCALATING on Ukraine-Russia and STABLE on US-Iran tensions, with the Trump-Xi summit providing a partial counterweight via oil supply assurances.