Production halts and an unprofitable EV business nearly wiped out Ford Motor’s net profit in the first quarter, the company said Monday. Ford reported net income of $471 million, down from $1.3 billion a year earlier. Revenue fell to $40.7 billion, down from $42.8 billion in the first quarter of 2024. Wholesale deliveries fell 7% to 971,000 during the three-month period, which Ford attributed to slower production of some models. Adjusted pretax income shrank to $1 billion, from $2.8 billion a year earlier. The result exceeded analyst and Ford’s own forecast in February, when it projected adjusted earnings of around $0 for the quarter. At the same time, Ford suspended its guidance for the full year, saying it couldn’t predict the full impact of President Trump’s tariffs on its business. The company expected that tariff-related costs would shave around $1.5 billion off its adjusted pretax earnings. While Ford’s tariff bill will be lower than many competitors, the impact still amounts to “huge numbers,” Ford Chief Executive Jim Farley told analysts on a call Monday.

Despite staying positive for much of the day's trading session, the Swiss market closed slightly weak on Monday with a few stocks turning weak past midafternoon, as investors turned cautious amid a lack of prominent triggers. The benchmark SMI closed down 20.76 points or 0.17% at 12,233.03, the day's low. The index touched a high of 12,318.91 in the session. Adecco ended down by 2.59%. VAT Group and Swatch Group both closed lower by about 1.9%. Novartis ended 1.36% down. Richemont, Straumann Holding, SIG Group, Alcon and Sika lost 0.5 to 0.8%. Swiss Re climbed nearly 1.5%. Swiss Life Holding, Zurich Insurance, Geberit and UBS Group closed higher by 0.6 to 1.1%, while, ABB, Julius Baer, Kuehnd + Nagel and Sandoz Group posted modest gains. On the economic front, Switzerland's consumer prices showed a flat change in April, data from the Federal Statistical Office showed. The consumer price index showed no variations compared to last year, following a stable increase of 0.3% in March. Further, this was the lowest level since March 2021, when prices were down by 0.2%. Excluding food and energy, core inflation moderated to 0.6% from 0.9% a month ago. Month-on-month, consumer prices stalled for the second straight month in April.

Europe
European stocks turned in a mixed performance on Monday with investors closely following developments on the trade front, and continuing to react to quarterly earnings updates from big name European companies. The mood remained somewhat cautious as markets awaited the policy announcements from the Federal Reserve and the Bank of England, due later in the week. The pan European Stoxx 600 edged up 0.16%. Germany's DAX climbed 1.12% and France's CAC 40 closed down 0.55%. Switzerland's SMI ended 0.17% down. The U.K. market was closed for Bank Holiday. Among other markets in Europe, Austria, Belgium, Denmark, Finland, Greece, Italy, Norway, Portugal and Spain ended higher. Czech Republic, Netherlands, Poland, Russia and Turkiye closed weak, while Sweden ended flat. In the German market, Rheinmetall, Puma, Commerzbank, Munich RE, Hannover Rueck, Deutsche Bank, Beiersdorf, Covestro and Fresenius Medical Care gained 1.5 to 3.4%. Allianz, Bayer, Vonovia and MTU Aero Engines also ended notably higher. BASF ended down more than 4%. Deutsche Post closed lower by about 3.2% and Zalando drifted lower by about 1.6%. In the French market, Unibail Rodamco, Airbus, Eurofins Scientific and Edenred climbed 1.5 to 2.3%. Kering dropped about 4.7%. Bouygues ended lower by more than 3%. AXA, Danone, Sanofi, Teleperformance and Schneider Electric also closed sharply lower.

United States
Stocks saw considerable volatility over the course of the trading session on Monday before eventually ending the day mostly lower. The major averages recovered from an early slump but once again came under pressure in the latter part of the session. The major averages ended the day off their early lows but still in negative territory. The Nasdaq slid 133.49 points or 0.7 percent to 17,844.24, the S&P 500 fell 36.29 points or 0.6 percent at 5,650.38 and the Dow dipped 98.60 points or 0.2 percent to 41,218.83. The early pullback on Wall Street came as some traders looked to cash in on the recent strength in the markets, which lifted the major averages to their best levels in a month. The S&P 500 closed higher for the ninth consecutive session last Friday, marking its longest winning streak in over twenty years. Renewed trade concerns also weighed on stocks after President Donald Trump announced plans to impose a 100 percent tariff on movies produced in foreign countries. Energy stocks turned in some of the market's worst performances on the day amid a steep drop by the price of crude oil, with the Philadelphia Oil Service Index plunging by 2.7 percent and the NYSE Arca Oil Index slumping by 1.7 percent. The price of crude oil tumbled to its lowest closing level in over four years after members of OPEC+ agreed to increase output by another 411,000 barrels per day in June. Notable weakness also emerged among steel stocks, as reflected by the 1.1 percent loss posted by the NYSE Arca Steel Index. On the other hand, gold stocks moved sharply higher along with the price of the precious metal, driving the NYSE Arca Gold Bugs Index up by 3.1 percent. Airline stocks also turned in a strong performance but closed well off their best levels, with the NYSE Arca Airline Index climbing by 1.2 percent.

Asia
On the stock exchanges in East Asia and Australia, positive signs predominated on Tuesday. In Japan and South Korea, stock market trading is still suspended on Tuesday due to local public holidays. The Chinese stock markets rose more sharply on the first trading day after their public holiday break. The Composite Index in Shanghai gained 0.9 per cent and the Hang Seng Index in Hong Kong advanced by 0.7 per cent. The fact that the Caixin Purchasing Managers' Index for the services sector fell in April is not a burden.

Bonds
In the U.S. bond market, treasuries extended the notable downward move seen over the two previous sessions. Subsequently, the yield on the benchmark ten-year note rose 2.1 basis points to 4.343 percent.

Analysis
DZ Bank raises SocGen target to EUR 50 (42) – Buy
Deutsche Bank raises Allianz target to EUR 380 (343) – Buy
HSBC raises Eon target to EUR 16.40 (15.10) – Buy

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