German benchmark index Dax jumps in AH trading after headlines the EU and the US are progressing toward an agreement that would set a 15% tariff for most products. Member states could be ready to accept a 15% tariff and EU officials are pushing to have that cover sectors including cars. Steel and aluminum imports above a certain quota would face the 50% duty. (via BBG)

OUCH! #Japan’s 10y bond yields have jumped to their highest level since 2008, driven by growing fiscal concerns. The spike came after President Trump announced a trade deal w/Japan. It appears Japan may be covering part of the cost of US car tariffs by using its own investment funds–essentially a partial bailout to smooth the deal.

Good Morning from Germany, where auto stocks are rallying on hopes that Europe can secure a trade deal w/the US similar to Japan’s. Under the new US-Japan agreement, all Japanese imports — incl cars — will face a flat 15% tariff. That’s good news for Japanese carmakers, as it allows them to avoid the higher, sector-specific 25% tariff on vehicles. European automakers are now hoping for a similar deal.

Nikkei jumps and Yen gains as #Japan's assets enjoy relief from US trade agreement. The headline 15% reciprocal tariff is a considerable discount from the 25% in the letter earlier this month. Toyota shares rising as much as 10% after NHK reported the US would impose a tariff rate of 15% on auto imports.

The meme stock frenzy is making a comeback. Retail investors seem to be targeting the most shorted stocks again — one by one. The latest name to catch their attention is Kohl’s (KSS), which now appears to be joining the meme stock rally.

Good Morning from Germany, where annual working hours are among the lowest in the world – and even that might be overstated. On avg, employees take 31 vacation days a year, plus at least 9 public holidays, many of which cluster between Easter and early June when offices are often quiet. On top of that, the avg number of paid sick days has risen to ~15 per year, up from 10 in 2015.

2021 vibes: Calls are almost 70% of the total market volume … hasn’t been this high since the 2021 meme days, Goldman's Garrett warns.

Opendoor is the market’s latest Meme Stock w/insane trading volumes. Shares of the San Francisco-based tech group that focuses on the stagnant real estate sector have nearly tripled in value over the past week. The rally appears to have been sparked by a prominent investor discussing the stock on social media, which drew the attention of retail traders. The company has struggled since peaking at a $20.6bn valuation in February 2021, shortly after merging with the SPAC (special purpose acquisition company) Social Capital Hedosophia Holdings Corp II, led by Chamath Palihapitiya. That decline isn’t surprising: Opendoor’s core business is in the "instant buyer" market, where it aims to make home sales faster and bypass traditional realtor fees—an idea that has faced serious challenges in a cooling housing market.

Good Morning from #Germany, where over 60 of the country’s top companies have kicked off a major new investment push worth at least €100bn. The goal: to help revive Europe’s largest economy, which has been stuck in a prolonged slump. One of the biggest concerns is that business investment has been falling. Back in 2019, gross fixed capital formation – a key measure of investment in infrastructure, machinery, and equipment – made up 11.7% of GDP. Today, that share has dropped to below 9%, a clear sign of the country’s fading economic dynamism.

Good Morning from Germany, where electricity prices on the energy exchanges have surged again – topping €100 per megawatt hour. So far this year, prices have crossed that level on 68 days. At these rates, building and operating large, energy-hungry data centers in Germany becomes increasingly difficult.