SG Morning Brief | Dow Tops 51K, Dell Surges 33% as Trump Lifts Hormuz Blockade

SG Morning Brief | Dow Tops 51K, Dell Surges 33% as Trump Lifts Hormuz BlockadeWeekend WrapTrump declared Friday that "the Hormuz Strait must be immediately open, no tolls, for unrestricted shipping traffic" and announced the US naval blockade "will now be lifted," then headed to the Situation Room for a final decision on an Iran deal. Secretary of State Rubio met Pakistani Foreign Minister Dar on Friday as Pakistan continues mediating indirect talks. If the Hormuz reopening holds, it is the most consequential geopolitical shift since the war began in February. SGX is closed today for Vesak Day; local investors will react to this week's developments on Tuesday.US Overnight (Friday Close)The S&P 500 rose 0.22% to a record 7,580.06, the Nasdaq added 0.20% to a record 26,972.62, and the Dow gained 0.72% (+363.49) to a record 51,032.46 — closing above 51,000 for the first time. The S&P posted its ninth consecutive weekly gain, a feat achieved only 10 times since World War II, and its seventh straight winning day. For May, the Nasdaq surged 8%, the S&P gained 5%, and the Dow rose 3%. Brent crude fell 1.70% to $91.12 on Hormuz optimism. Gold rose 1.34% to $4,593. The VIX fell to 15.32. For the week, the S&P gained 1.4%, the Nasdaq 2.4%, and the Dow 0.9%.Key MoversDell (DELL) +33% — Dell surged 32.76% to $420.91, its best day on record, after reporting Q1 revenue of $43.84 billion (+88% YoY), crushing the $36.1 billion estimate. AI server revenue hit $16.1 billion (+757% YoY) with a $51.3 billion backlog. The company raised FY27 revenue guidance to $165-169 billion from $138-142 billion, and now targets $60 billion in AI server revenue. Susquehanna upgraded to Positive with a $700 target.Hewlett Packard Enterprise (HPE) +13% — HPE surged 12.76% to $43.09 in a sympathy rally after Dell's blowout. Analysts called the AI server boom "a tide that lifts all boats" rather than a zero-sum share grab. HPE reports Q2 earnings today (Monday) after the close, with analysts expecting 28% revenue growth.IBM (IBM) +13% — IBM rose 12.71% to $297.80, approaching $300 for the first time, driven by the quantum computing investment tailwind and broader AI infrastructure momentum. Salesforce gained 8.46% and Microsoft 5.45%.SGX PreviewSGX is closed today (Monday June 1) for Vesak Day. The STI last closed at 5,070.55, near its all-time high. DBS is near S$62.18 and UOB near S$37.91. When trading resumes Tuesday, the Dow above 51K, Dell's AI server boom, and the Hormuz reopening should provide a strongly positive backdrop. Banks benefit from the sustained rate environment, and the Hormuz reopening directly eases Singapore's energy import costs.Asia Pre-MarketUS futures are not yet available for Monday morning. Friday's close: VIX 15.32, Gold $4,593, Bitcoin $74,069, Brent $91.12. The market enters June with nine consecutive winning weeks, record highs across all three indexes, and the VIX at its lowest level since March. The risk is that this much good news is already priced in.This Week's US Earnings and Economic CalendarCompanyDateTimingHPE (HPE)Mon Jun 1Post-mktBroadcom (AVGO)Wed Jun 3Post-mktCrowdStrike (CRWD)Wed Jun 3Post-mktEventDateTime (ET)Time (SGT)ISM Manufacturing PMIMon Jun 110:00 AM10:00 PMJOLTS Job OpeningsTue Jun 210:00 AM10:00 PMISM Services PMIWed Jun 310:00 AM10:00 PMNonfarm Payrolls (May)Fri Jun 58:30 AM8:30 PMWeek Ahead Spotlight: Broadcom (Jun 3) and Nonfarm Payrolls (Jun 5) — Broadcom is the last major AI chip report of the season. Fed Governor Waller noted three-month average job creation has slowed to just 48,000 — if Friday's payrolls confirm that trend, rate cut expectations could revive.One More ThingNine straight winning weeks. Dow above 51,000. Dell up 33% in a single day. Trump says the Hormuz blockade is being lifted. The market is priced for a best-case scenario on every front: AI earnings accelerating, Iran war ending, oil falling, inflation peaking. Any one of those assumptions failing triggers the first meaningful correction since March. The S&P's nine-week streak has happened only 10 times since 1945 — in 7 of those 10, the index was higher six months later, but in the 3 that failed the correction was swift. June seasonality is historically weak. The question is not whether fundamentals are strong. The question is how much is already in the price.This briefing is for informational purposes only and does not constitute investment advice.