Apple slows down

US stocks dropped after Apple disclosed its plans to slow hiring. The S&P 500 extended losses in late trading after giving up a gain that had surpassed 1%. Tech and health-care shares led the decline, with Apple sliding more than 2%. Morgan Stanley’s Michael J. Wilson contends the odds of a US recession in the next 12 months are at 36%. “We don’t believe this bear market is over, even if we avoid a recession,” he wrote in a note on Monday. Meanwhile, the economy continues to grapple with the effects of inflation in areas ranging from housing to trade. Here’s your markets wrap. —Natasha Solo-Lyons

Bloomberg is tracking the coronavirus pandemic and the progress of global vaccination efforts.

Goldman Sachs also plans to slow hiring, potentially reducing the pace at which it replaces staff lost to attrition. Additionally, the bank said it will reinstate annual performance reviews at the end of the year, a practice that’s been suspended since early in the pandemic.

Foreign homebuyers are back in the US real estate market. Buyers who are not US citizens accounted for $59 billion worth of home purchases in the 12 months through March, a 9% jump from a year earlier and the first increase in three years.

While the US rental market is showing early signs of cooling down, that offers little comfort for renters in Austin, Texas, where the cost of a one-bedroom apartment has more than doubled over the past year. That’s just one in the long list of cities where it doesn’t pay to be a renter.

Some of the largest US landlords have pulled back on purchases of single-family rental homes as rising financing costs and high home prices push property funds away from the housing market.

A halt of Russian gas supplies to the European Union could potentially reduce its gross domestic product by as much as 1.5% if the next winter is cold and the region fails to take preventive measures to save energy.

Advanced US missile systems sent to Ukraine seem to be making an impression. Russian Defense Minister Sergei Shoigu made a point of urging Kremlin forces to destroy Kyiv’s long-range strike capabilities. In recent weeks, the US has supplied Ukraine with HIMARS artillery, capable of hitting Russian targets as far as 50 miles away. That’s allowed Kyiv’s military to obliterate Russian logistics centers, supply lines and ammunition dumps far behind the front lines—and mostly from beyond the range of Russian artillery.

Rishi Sunak and Penny Mordaunt retained the top two places in the contest to be Conservative leader and next UK prime minister after topping a third ballot of the party’s MPs on Monday.

US President Joe Biden’s administration is reportedly rewriting its National Security Strategy to account for the lessons of Russia’s war on Ukraine, Hal Brands writes in Bloomberg Opinion. One issue that this document will have to grapple with outside its traditional focus on statecraft and diplomacy is food. Vladimir Putin is giving an object lesson in how geopolitical insecurity can cause food insecurity—which can then make big problems everywhere much worse.

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