News & Insight • Weekly Newsletters

08 May 2026 | William Buckhurst

That Was The Week That Was

MACRO NEWS

Ceasefires. De‑escalation in the Middle East and a three-day ceasefire between Russia and Ukraine offset lingering global inflation concerns, particularly around energy supply disruptions, with oil prices pulling back from recent highs.

Although ADP’s latest report of private payrolls for April, which came in a bit shy of expectations at 109k (vs 120k expected), the latest US non‑farm payrolls report showed that the economy added approximately 115,000 jobs, a modest upside surprise versus expectations, while the unemployment rate held steady at 4.3%. Wage growth remained contained, with average hourly earnings rising 0.2% month‑on‑month, reinforcing the view of a cooling but still resilient labour market.

In the UK, attention was firmly on the local elections, which delivered significant losses for Labour and major gains for Reform and the Greens across England. Wales will be led by Plaid Cymru. Sterling and gilt markets initially wobbled on speculation around Prime Minister Keir Starmer’s position, before stabilising as he moved quickly to rule out resignation.

Chinese Services PMI increased to 52.6 in April (52.0 expected), up from 52.1 in March, driven by stronger domestic demand and enhanced business confidence.

COMPANY NEWS

Shell is benefiting from elevated prices linked to Middle East and printed a solid set of numbers. Cash was strong which the company is using for further buy backs and dividends, even with the debt creeping up.

Walt Disney got the show back on the road, beating expectations as theme parks and streaming offset ongoing weakness in traditional television. Management highlighted resilient consumer spending at parks despite a more uncertain macro backdrop.

Costco reported another solid monthly sales figure, and the company continues to execute very well.

Jack Dorsey’s Block had very good results with shares up strongly, on the back of higher profits and earnings all coming ahead of expectations. Following the head count reduction (40% of staff) whilst blaming AI, the highlight came from the ~38% growth in Cash App.

Next beat versus company expectations but even they couldn’t hide the weak UK retail scene at the moment.

BAE Systems CEO confirmed a "strong start of the year" with guidance maintained.

Balfour Beatty continues to operate very well and reiterated its guidance as the strong cash generation will continue to be used for buy backs and dividends.

Travelling and arriving. Results from Uber and Airbnb pointed to steady demand as spending remained resilient but consumers are becoming more selective.

Have we seen the bottom of the bottle? Diageo shareholders have seen a number of profit spills, but results beat on the top line (sales), every region beat expectations and guidance was reiterated.

International Consolidated Airlines Group overcame higher fuel costs by highlighting continued recovery in long‑haul travel demand and improved pricing power.

According to the FT, LVMH is becoming a seller rather than a buyer, putting brands such as Marc Jacobs, Fenty Beauty and Phelps Vineyards up for sale.

TO THE MOON (PART I)

With the upcoming SpaceX IPO around the corner and stock markets looking increasingly skyward there is clear momentum of rising valuations across satellite makers, launch providers and space‑infrastructure firms. The rally has a distinctly Muse‑like soundtrack.

There’s something of “Starlight” in investors’ optimism as capital floods into companies promising orbital connectivity and lunar ambition, while the sheer scale of spending and technological risk feels straight out of a “Supermassive Black Hole.” For now, markets seem content to “Uprising” against gravity itself—betting that space will remain vast, dramatic, and rich with upside.

See Seraphim Space Investment Trust for details, it is up 83.1% since the beginning of the year.

TO THE MOON (PART II)

Another stock that is seemingly heading to space is Advanced Micro Devices (AMD). AMD’s latest results reinforced its growing importance in the AI‑driven semiconductor cycle, with the beat powered by accelerating demand for its Data Centre products (specifically server Processing Units), helping to offset softer, more cyclical end markets.

Momentum around the stock has doubled the share price this year and its results supported sentiment across the broader semi sector this week, contributing to renewed gains in AI‑exposed names as investors looked through near‑term macro noise. However, expectations remain elevated: with AMD and peers trading on high valuations that price in sustained AI‑led growth.

Elsewhere, Akamai Technologies rose +29.6% after the company announced a $1.8bn, seven-year deal with a leading U.S.-based AI model provider for cloud services.

THE WEEK AHEAD

The focus will be back on inflation, with April CPI and retail sales data taking centre stage as markets reassess the outlook for US rate cuts. Fed speakers will be watched closely for confirmation that price pressures are easing without a sharp slowdown in growth.

We get prints from companies such as Alibaba, Cisco and Applied Materials will provide insight into global demand, semiconductor investment, and consumer spending.

THE WEEK IN HISTORY

1933: President Franklin D. Roosevelt signed the Banking Act, separating commercial and investment banking under what became known as Glass‑Steagall.

1997: days after taking office, UK Prime Minister Tony Blair announced that the Bank of England would gain operational independence to set interest rates.