Global Financial and Emerging Markets Weekly Update

Friday, May 8, 2026

Quote of the Week: Markets are once again trying to look through the oil shock. Equities have stopped reacting mechanically to oil, as earnings momentum remains strong enough to absorb higher yields and geopolitical risk.”Florian Ielpo Head of macro, Lombard Odier Investment Managers

Oil Markets: Oil prices whipsawed in the past few days as markets swayed between hopes for a negotiation breakthrough and concerns about a fraying ceasefire. President Trump, citing progress on negotiations with Iran, paused the plan to escort ships through the Straits of Hormuz (aka Operation Freedom) less than a day after it started. Oil prices (Brent) seesawed between $100 and $114/barrel (bbl) throughout the week, settling at $102/bbl by Friday, a 17-day low.