Andy Chen

TradingKey - On April 21, during the early Asian trading session, crude oil futures continued their weak range-bound pattern. An increased inclination for profit-taking drove both major crude oil benchmarks lower, while the slight price pullback also reflected the market's cautious stance ahead of US-Iran negotiations. As of press time, WTI crude fell over 1% to $86.55, and Brent crude dropped 0.5% to $95.

TradingKey - Catalyzed by repeated closures of the Strait of Hormuz over the weekend and the re-escalation of Middle East tensions, compounded by the U.S. seizure of an Iranian merchant vessel and Iran firing on commercial ships, market expectations for a de-escalation in the Middle East have cooled significantly. Goldman Sachs stated that noticeably weak oil demand—particularly for petrochemical feedstocks and jet fuel—driven by high refined product prices and margins, could lead to further declines in oil prices.

TradingKey — Middle East conflicts escalated further over the weekend. Optimistic signals released by Trump were refuted by Iran during the two-day period. According to Reuters, the U.S. military seized an Iranian cargo ship attempting to break through its blockade, while Iran stated it would not participate in a second round of peace talks, despite U.S. President Trump's threats of a new round of air strikes. While short-term geopolitical tensions remain unclear, the market delivered a different performance: the Nasdaq recorded a 13-day winning streak and hit a new record high on April 17, reaching an intraday high of 24,519.51 points and closing at 24,468.48 points, a gain of 1.52%.

United Airlines (UAL) will report its first-quarter 2026 earnings results next Monday after the U.S. market close. Coupled with merger rumors involving American Airlines, market attention on United has been further heightened. According to the latest FactSet survey, the median 2026 EPS estimate for United Airlines has been revised downward from $10.68 to $9.93, with a low estimate of $6.86. The median price target is $133.50, representing a 40% implied upside from the current share price.

Netflix (NFLX) reported its first-quarter financial results for the period ended March 31, 2026, after the bell. During the period, the company’s net profit reached $5.283 billion, up 82.77% year-over-year. Diluted earnings per share (EPS) were $1.23, significantly exceeding the $0.66 recorded in the same period last year and the analyst estimate of $0.76. However, the stock fell 10% in after-hours trading as guidance missed expectations.

TradingKey - Since the escalation of the US-Iran conflict, geopolitical tensions in the Middle East have repeatedly recurred, causing crude oil prices to rise in tandem with news flow. Crude oil prices have become a "barometer" of geopolitical risk, serving as a typical case of a market where price volatility is driven by news. According to the latest media reports, two US officials stated that US and Iranian negotiators made progress during Tuesday's talks and are moving toward a framework agreement to end the conflict.

On April 15, Tesla CEO Elon Musk announced on social platform X: "Congratulations to the Tesla AI chip design team on completing the tape-out of the AI5 chip! AI6, Dojo3, and other exciting chips are also in development." Driven by the news, Tesla's stock price performed strongly yesterday, closing up 7.62% at $391.95, with a turnover of $43.862 billion.

TradingKey - Citigroup (C) announced its first quarter 2026 financial results. During the period, net income attributable to common shareholders was $5.785 billion, compared to $4.064 billion a year ago, representing a year-on-year increase of 42.35% and a sharp quarter-on-quarter surge of 134%. Diluted earnings per share (EPS) were $3.06, up from $1.96 in the same period last year. Total revenue for the period reached $24.633 billion, compared to $21.596 billion previously, up 14% year-on-year and 24% quarter-on-quarter. The robust revenue growth was primarily driven by performance across Citigroup's five core businesses and its "Legacy Franchises."

TradingKey - Overnight, U.S. lithium mining stocks were among the top gainers. Sigma Lithium (SGML) led the sector, closing up 17.1%; Lithium Americas (LAC) rose 7.62%; Albemarle (ALB) climbed 6.79%; and SQM closed 6.71% higher. Looking back at the past year, the lithium battery sector has maintained a sustained rally. Albemarle (ALB) surged from its post-U.S.-China trade war low of $48.57 to a high of $205 this year. The key driver behind this move was better-than-expected energy storage demand triggered by the rise in AI computing power requirements. During this period, lithium carbonate futures rebounded from a mid-year low of 59,000 RMB/ton to the 150,000 RMB/ton level. However, judging by recent performance, the sector appears to have shifted from its previous unilateral upward trend toward a period of range-bound volatility.

TradingKey - During the US pre-market session, the three major index futures are all under pressure. As of press time (5:00 PM Beijing time), Dow Jones Industrial Average futures fell 0.48% to 47,895 points; Nasdaq 100 Index futures dropped 0.65% to 25,117 points; and S&P 500 Index futures declined 0.57% to 6,816.15 points.