Key Takeaways
- Canada plans to recognize Palestine at the UN General Assembly in September 2025, contingent on significant reforms by the Palestinian Authority, including governance changes and demilitarization of the future state, with elections excluding Hamas.
- Arm Holdings (ARM) reported Q1 2025 revenue of $1.05 billion and adjusted EPS of $0.35, meeting analyst expectations.
- Meta Platforms (META) shares soared after the company announced an earnings beat and a strong revenue forecast, driven by robust advertising and AI integration.
- Former President Donald Trump announced plans for new AI and auto manufacturing facilities in the U.S., highlighting domestic investment goals and praising Treasury Secretary Bessent after a positive meeting with China.
- Goldman Sachs (GS) and Hackman Capital are renegotiating a $1.1 billion studio loan, addressing overdue debt tied to major Hollywood studios.
Prime Minister Mark Carney announced on Wednesday that Canada intends to recognize a Palestinian state at the United Nations General Assembly in September 2025. This recognition is predicated on the Palestinian Authority's commitment to crucial reforms, including fundamental governance changes, holding general elections in 2026 that exclude Hamas, and the demilitarization of the future state. Carney confirmed he spoke with Palestinian President Abbas on Wednesday.
Canada also issued a strong condemnation of Israel, stating that it condemns Israel for allowing the humanitarian crisis in Gaza to unfold. This move aligns with similar recent announcements from other allied countries, including France and the United Kingdom, which are also considering or planning to recognize a Palestinian state under various conditions.
In corporate news, Arm Holdings (ARM) released its Q1 2025 earnings, reporting revenue of $1.05 billion and adjusted EPS of $0.35, both of which met analyst estimates. The company's GAAP EPS for the quarter was $0.12, with adjusted operating income reaching $412 million and adjusted net income at $374 million. Arm's adjusted gross margin stood at 97.9%.
Meta Platforms (META) saw its shares climb significantly following a strong earnings report and an optimistic revenue forecast. The social media giant's performance was bolstered by strong advertising revenue, partly attributed to the integration of artificial intelligence tools.
On the domestic front, former President Donald Trump announced plans for new AI and auto manufacturing facilities in the United States. Speaking at a health technology event, Trump emphasized his domestic investment goals. He also praised Treasury Secretary Bessent, stating that his meeting with China "went well."
Meanwhile, in the financial sector, Goldman Sachs (GS) and Hackman Capital are reportedly in discussions to renegotiate a substantial $1.1 billion studio loan. These discussions are centered around overdue debt linked to major Hollywood studios, indicating ongoing financial adjustments within the entertainment real estate market.
Federal Reserve Chair Jerome Powell also held a press conference, with details of his statement expected to provide further insights into monetary policy and the economic outlook. Japan's financial industry is reportedly looking to tighten oversight of trading in government bond futures, following recent developments involving Nomura.
Ed Liston is a senior contributing editor at TheStockMarketWatch.com. An active market watcher and investor, Ed guides an independent team of experienced analysts and writes for multiple stock trader publications.