CNBC — 2026-05-07#

Lead Story#

Geopolitics ruled the tape as the U.S. and Iran wavered on a 14-point peace proposal, triggering wild swings in crude oil and bringing the U.S. Navy back to the Strait of Hormuz to escort a Maersk: Ship passes Strait of Hormuz under U.S. military protection commercial vessel. The conflict’s toll was laid bare during earnings, with Shell CEO says oil market is short 1 billion barrels due to Iran war warning the market is short nearly 1 billion barrels of oil, while Whirlpool says Iran war causing ‘recession-level industry decline.’ The shares are down 12% blamed the war for a “recession-level industry decline” as soaring gas prices choke consumer spending.

The Stock market today: Live updates pulled back from fresh intraday records to close at 7,337.11, weighed down by tech weakness, while Japan’s Nikkei 225 blew past 62,000 as investors piled into the yen carry trade. Oil prices today: Trump, Iran, Strait of Hormuz, US, crude, Brent edged lower with Brent settling near $100 after spiking earlier in the session on mixed signals over the U.S.-Iran ceasefire. Ahead of Friday’s Here’s what to expect from Friday’s release of the April jobs report—which is expected to show an anemic 55,000 payroll gain—legendary investor Paul Tudor Jones told CNBC there is There’s ’no chance’ Warsh will be able to get the Fed to cut rates, Paul Tudor Jones says incoming Fed Chair Kevin Warsh will cut rates, noting he may actually have to consider hiking.

The AI software trade bifurcated sharply: Datadog stock soars 31% as AI winners emerge in software skyrocketed 31% on blockbuster Q1 results, while Cloudflare stock sinks after earnings, cutting over 20% of employees plummeted 18% after slashing 20% of its workforce, explicitly blaming the shift to “agentic AI”. Consumer strain was the dominant theme across retail earnings; despite topping estimates, McDonald’s (MCD) Q1 2026 earnings CEO Chris Kempczinski warned low-income spending is “getting a little bit worse” due to gas prices. Elsewhere, Planet Fitness stock plunges after company slashes guidance and Shake Shack (SHAK) shares drop after earnings report both cratered 30% on slashed guidance and operating losses, though Peloton (PTON) earnings Q3 2026 managed an 8% gain after raising subscription prices to drive a narrow profit.

Paul Tudor Jones argued the Paul Tudor Jones says AI bull market has ‘another year or two to run’ mirrors the 1995 internet boom and has “another year or two to run,” though he warned the U.S. is already dangerously late to regulating the technology. Meanwhile, Jim Cramer highlighted the massive new optical connectivity partnership between Nvidia and Corning as a “seismic shift” that will Nvidia CEO says AI partnership with Corning will ‘revitalize American manufacturing’. In the options market, traders are increasingly using a This ‘win-win’ hedge trade is getting popular with traders strategy—selling rich semiconductor puts to fund cheap S&P 500 downside protection—as a “win-win” hedge against an overbought tape.

OpenAI trial: Shivon Zilis says Musk offered Altman a Tesla board seat: The mother of Musk’s children testified that the billionaire previously wanted the AI startup to join Tesla.
Boeing, Citigroup CEOs set to join Trump on China visit next week: Kelly Ortberg and Jane Fraser are heading to Beijing, where Boeing is reportedly eyeing a massive aircraft order.
Ryan Cohen’s mysterious bank letter backing his eBay bid reveals a big issue: GameStop’s $56 billion bid hinges on a TD Securities financing requirement to maintain an investment-grade credit profile.
EU mulls restricting use of U.S. cloud for sensitive government data: sources: A new “Tech Sovereignty Package” could force governments to drop American tech giants for critical workloads.
Coinbase (COIN) earnings Q1 2026: Shares fell 4% after the crypto exchange reported a surprise $1.49 per share loss amid declining spot trading volumes.