Waller's remarks spurred risk rally

The S&P 500 (SPX) rose 1.20%, the Nasdaq (^IXIC) gained 1.52% and the Dow Jones Industrial Average (DJIA) climbed 1.79% as Fed Governor Waller's data-dependent remarks and related macro reports supported risk appetite. European markets outperformed, with the DAX (DAX) up 2.27%, the CAC (FRA40) up 1.97% and the FTSE (UKX) up 0.73%, while Shanghai Composite (000001.SS) was unchanged (0.0%).

Consumer discretionary led sector gains with XLY up 2.36%, while energy lagged as XLE fell 2.76%. Notable stock movers included MAAS (+31.55%), MXL (+12.51%) and LION (+12.47%); major decliners included BMI (-24.13%), PBF (-12.83%) and DOW (-10.82%).

Fed Governor Waller signaled a data-dependent stance and highlighted energy-driven inflation risks, a message that supported higher Treasury yields and USD strength. The IMF warned of an energy-driven supply shock in Europe that raises inflation and growth risks and could pressure sovereign yields, and Canada's housing starts for March printed 235.9K versus prior 251K, underscoring mixed regional data.

Regions Financial (RF) reported Q1 EPS of $0.62, beating consensus while total revenue of $1.87 billion slightly missed estimates; the EPS beat supported the shares but mixed metrics tempered upside. Management repurchased $401 million of stock, paid $227 million in dividends and sold about $900 million of shorter-duration securities at a $40 million loss to extend duration and improve portfolio yields with an expected two-year payback. Nexus IT completed the acquisition of Imagis, expanding its national platform in regulated industries. Announced transactions included UCB's agreement to acquire Neurona Therapeutics and Forager Capital Management's proposal to acquire Repay Holdings Corporation for $4.80 per share in cash.