Panorama 360° : May 2026

Resilience : when fundamentals defy geopolitics · 7 May 2026

Between hopes for peace and the rise of artificial intelligence, markets are regaining momentum. An analysis of a month in which corporate strength served as a shield against volatility.

After the weakness observed in March, financial markets experienced a spectacular rebound in April. The upward movement was remarkably broad, boosting most major asset classes. The easing of geopolitical tensions in the Middle East, with the prospect of a permanent ceasefire, played a decisive role. This was compounded by a particularly strong start to the earnings season, especially in sectors related to artificial intelligence, which rekindled the appetite for growth stocks.

Regarding equities, earnings season has been a major driver of investor enthusiasm. The global stock index even finished the month higher than it was at the start of the Iran nuclear deal. So far, corporate earnings reports have largely exceeded expectations, confirming companies’ ability to protect their margins and adapt their models in a complex environment. A large majority of companies that have reported results have delivered positive surprises. Admittedly, some downward revisions have emerged in the sectors most sensitive to energy prices and consumer spending, particularly among industrial and discretionary stocks. The technology sector, in particular, continues to benefit from strong support. Results related to artificial intelligence have confirmed that this theme is not just about valuation or stock market hype: it also relies on real investment, sustained demand, and the ability of some companies to translate this momentum into profitable growth.

The broader enthusiasm for riskier assets cascaded into the fixed-income space. Convertible bonds continued to stand out, confirming their strong performance since the beginning of the year. They benefit from both their equity participation premium, their privileged exposure to growth sectors, and their low duration (i.e., low sensitivity to interest rates).

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