This content was published on

April 29, 2026 – 05:27

(Bloomberg) — Stocks fluctuated as traders stayed cautious ahead of the Federal Reserve’s policy decision and earnings from megacap technology companies. Oil swung between gains and losses.

Shares climbed in Hong Kong and mainland China, and dropped in Taiwan, with MSCI’s Asia Pacific equities gauge little changed. Futures contracts for the Nasdaq 100 Index rose 0.4%, as sentiment stabilized following a Wall Street selloff on Tuesday sparked by skepticism over the payoff from artificial intelligence investments.

Brent crude whipsawed before trading 0.2% lower at $111.08 per barrel. The commodity had earlier risen to almost $112 following a Wall Street Journal report that President Donald Trump told his aides to prepare for an extended blockade of Iran. That could effectively keep the Strait of Hormuz shut.

“It is clear the Iran conflict is entering a stalemate where there is no more bombing, but no resolution to the conflict either, and no nuclear deal or flow of vessels through the Strait,” said Rodrigo Catril, strategist at National Australia Bank Ltd. in Sydney. “Oil prices are likely to be supported from here and the complacency of risk assets including US equities could be challenged.”

Treasury futures were little changed after falling Tuesday when elevated oil prices drove up inflation expectations and curbed bets for Fed interest-rate cuts ahead of Wednesday’s policy announcement. Trading in cash Treasuries is closed during Asian hours due to the holiday in Japan.

The focus on Wednesday will also be on preassigns reports from megacap technology firms. The companies have helped global equities rally in recent weeks to erase losses from the Middle East conflict, making this week’s earnings announcements crucial for sustaining the rally.

Big tech firms representing about a quarter of the S&P 500’s value are getting ready to release their earnings. Alphabet Inc., Microsoft Corp., Amazon.com Inc. and Meta Platforms Inc. report Wednesday, followed by Apple Inc. a day later.

Tech earnings have been largely shielded from the disruptions of the Iran war. The sector’s results are expected to have grown 41% in the first quarter, according to data compiled by Bloomberg Intelligence.

“We will see the big hyperscalers with very strong numbers on cloud demand,” Hartmut Issel, UBS Wealth Management Head of APAC Equities & Credit, said on Bloomberg Television. “So that tells you there is no shortage of demand as such and that’s the important part.”

Elsewhere, the United Arab Emirates said it will leave OPEC next month, in a significant blow to the group that raises questions about its future. The UAE’s exit May 1 after six decades of membership is the latest indication of how the conflict is reshaping global energy markets.

In recent meetings, including a Monday discussion in the Situation Room, Trump opted to continue squeezing Iran’s economy and oil exports by preventing shipping to and from its ports, the Journal report said. He assessed that his other options — resume bombing or walk away from the conflict — carried more risk than maintaining the blockade, officials said.

“We are in a regime of supply-driven shock to oil & gas prices, which causes a negative correlation between changes in oil prices and global equities,” Morgan Stanley strategists including Jonathan Garner and Kristal Ji wrote in a note.

Corporate News:

A constellation of AI stocks dropped after OpenAI reportedly failed to meet its sales and user targets. Kone Oyj is nearing a cash-and-stock deal to acquire TK Elevator, people familiar with the matter said, in what will be one of the biggest-ever private equity exits in Europe. Visa Inc. earnings topped estimates as consumers used the company’s branded cards for transactions across the world. Starbucks Corp. reported better-than-expected quarterly results and said it now sees comparable sales rising at least 5% this year, up from its previous view of 3% or more. Jack Daniel’s owner Brown-Forman Corp. and Jameson whiskey maker Pernod Ricard SA terminated talks about a potential merger. The US has warned banks they are at risk of secondary sanctions if they support Chinese private refiners that buy Iranian oil, cranking up pressure on Tehran even at the cost of further irking Beijing just weeks ahead of a leaders’ meeting. Some of the main moves in markets:

Stocks

S&P 500 futures rose 0.2% as of 12:25 p.m. Tokyo time Nikkei 225 futures (OSE) fell 0.9% Australia’s S&P/ASX 200 fell 0.3% Hong Kong’s Hang Seng rose 1.3% The Shanghai Composite rose 0.4% Euro Stoxx 50 futures were little changed Currencies

The Bloomberg Dollar Spot Index was unchanged The euro was little changed at $1.1710 The Japanese yen was little changed at 159.60 per dollar The offshore yuan was little changed at 6.8371 per dollar Cryptocurrencies

Bitcoin rose 0.5% to $76,852.27 Ether rose 0.2% to $2,300.45 Bonds

Japan’s 10-year yield was unchanged at 2.465% Australia’s 10-year yield declined three basis points to 5.00% Commodities

West Texas Intermediate crude fell 0.8% to $99.12 a barrel Spot gold was little changed This story was produced with the assistance of Bloomberg Automation.

–With assistance from Rob Verdonck, Abhishek Vishnoi and Ruth Carson.

©2026 Bloomberg L.P.