Market Bizzz

Berkshire Hathaway reported stronger Q1 operating profit despite economic headwinds impacting consumer businesses. Led by Warren Buffett and CEO Greg Abel, the firm amassed nearly $400 billion in cash, struggled to find large deals, remained a net stock seller, and saw mixed performance across insurance, rail, and retail segments.

The S&P 500 and Nasdaq reached record highs, fueled by strong earnings and falling crude prices, marking their longest weekly gain streak since October 2024. Despite historical May weakness, analysts are optimistic about continued upward momentum, with Q1 earnings growth at 27.8% and 83% of companies beating estimates.

Zen Technologies saw a significant drop in its March quarter performance. Net profit declined by 69% year-on-year, while revenue from operations fell by 45%. The company’s profit after tax is attributable to its shareholders. Zen Technologies has declared a final dividend of Re 1 per share for FY26.

Elon Musk’s massive $158 billion compensation package from Tesla highlights stark economic disparities. While workers face stagnant wages and job insecurity due to AI, Musk’s pay, tied to future performance targets, dwarfs company earnings and reflects an unsustainable economic trend.

Oil prices stay above $110 a barrel as the Middle East conflict enters its second month. The Strait of Hormuz remains blocked, impacting global supply. Peace talks are stalled, with expectations of a swift agreement fading. Fresh attacks and potential US military strikes are pushing prices higher. Analysts warn of further price increases if the situation escalates.

Oil prices climbed Friday as Iran conflict resolution efforts stalled, with Tehran blocking the Strait of Hormuz and the U.S. Navy restricting Iranian crude exports. Brent crude futures rose to $111.59 a barrel, and WTI futures reached $105.46, marking four consecutive months of gains. Tensions escalated with threats of “long and painful strikes” on U.S. positions if attacks resume.

Gold prices held steady Friday, but a weekly dip was likely as soaring oil prices fueled inflation concerns, impacting interest rate expectations. Meanwhile, geopolitical tensions in the Strait of Hormuz and a significant drop in India’s gold imports due to tax issues also played a role in the market’s movements.

India’s state-run oil refiners are sparingly using a special FX credit line from State Bank of India, designed to support the rupee. Refiners are hesitant due to expectations of further rupee depreciation, which would increase their repayment costs. This cautious approach comes as the rupee faces renewed pressure, partly from oil-related dollar buying.

Vedanta shares will trade ex-demerger today. A special session will adjust prices. Four new entities will list soon. This restructuring aims to unlock value. Investors should focus on future listings. Vedanta’s Q4 results showed strong profit growth. The demerger is a significant corporate move in India’s metals sector.

Oil prices surged to their highest levels since mid-2022 amid growing concerns over a prolonged U.S. blockade on Iranian exports and stalled nuclear negotiations. This disruption, potentially extending until a broader deal is reached, is tightening supply conditions and could lead to further price increases.