Market Beats | China’s GDP Beats Expectations with 5% Growth; NYC Building Staff Authorize Strike; Barry Callebaut Hikes Profit Warning; US Jobless Claims Fall to 207,000, Signaling Resilient Labor Market; Hochul’s Proposed Pied-à-Terre Tax Sends Shivers Through NYC Luxury Real Estate; Allbirds’ AI Pivot Triggers Meme-Stock Volatility with 31% Slide; Netflix Shares Slide on Weak Outlook as Co-Founder Reed Hastings Departs Board

—— China’s GDP Beats Expectations with 5% Growth; NYC Building Staff Authorize Strike; Barry Callebaut Hikes Profit Warning; US Jobless Claims Fall to 207,000, Signaling Resilient Labor Market; Hochul’s Proposed Pied-à-Terre Tax Sends Shivers Through NYC Luxury Real Estate; Allbirds’ AI Pivot Triggers Meme-Stock Volatility with 31% Slide; Netflix Shares Slide on Weak Outlook as Co-Founder Reed Hastings Departs Board

1. China’s GDP Beats Expectations with 5% Growth

China’s economic growth rebounded more than expected in the first quarter of 2026, signaling that the ongoing conflict in Iran has had a limited impact on the country’s momentum so far. Driven by robust manufacturing and exports, Gross Domestic Product (GDP) expanded 5% year-on-year, the fastest pace in three quarters, according to the National Bureau of Statistics. On a seasonally adjusted basis, the economy grew 1.3% compared to the final quarter of 2024.

The latest data highlights a stark divergence between production and consumption. Industrial output in March grew by a better-than-forecast 5.7%, while retail sales struggled, rising only 1.7%—a significant drop from the 2.8% growth seen in the first two months of the year. Hao Zhou, chief economist at Guotai Junan International, noted that manufacturing remains the primary anchor for growth, but warned that the central government’s priorities must now shift toward reflation and boosting domestic demand.

Despite the seven-week war in the Middle East, China’s previous efforts to bolster energy security and years of deflationary pressure have blunted the immediate impact of rising oil costs on consumer prices.

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2. NYC Building Staff Authorize Strike

New York City’s residential building staff have voted to authorize a strike, positioning approximately 3,500 co-ops, condos, and apartment buildings for a massive operational shutdown as early as April 21. The strike authorization comes as negotiations between the 32BJ SEIU union—representing nearly 34,000 doormen, porters, and maintenance workers—and the Realty Advisory Board on Labor Relations remain stalled. With the current contract set to expire on April 20, the potential walkout threatens to disrupt the daily lives of hundreds of thousands of New Yorkers.

The labor dispute centers on healthcare coverage, wage increases to offset rising living costs, and the strengthening of pension funds. On Wednesday, thousands of workers gathered for a rally on Park Avenue, where Mayor Zohran Mamdani joined union leaders to advocate for the staff. Mamdani highlighted the economic disparity, noting that those who maintain multi-million dollar luxury residences often struggle to meet their own rent.

In anticipation of the work stoppage, many high-rise residents are preparing for a “self-service” lifestyle. Buildings have begun organizing volunteer shifts to handle front-desk duties, lobby cleaning, and package distribution. Management in several complexes has already advised tenants to minimize online shopping deliveries. The last such strike occurred in 1991, long before the city became reliant on the modern delivery and e-commerce infrastructure.

If the strike proceeds, routine services like garbage removal will fall to residents, while non-emergency renovations and scheduled moves will be suspended indefinitely.

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3. Barry Callebaut Hikes Profit Warning

Barry Callebaut, the world’s leading manufacturer of high-quality chocolate and cocoa products, saw its shares plummet over 15% after slashing its annual profit outlook. The company cited a volatile mix of rapidly falling cocoa prices, industry-wide overcapacity, and persistent supply chain disruptions as primary factors. Under the leadership of new CEO Hein Schumacher, the group now anticipates a “mid-teens” percentage drop in EBIT for the current fiscal year, a sharp reversal from previous growth forecasts.

The Zurich-based processor, which supplies chocolate for major brands like Magnum and KitKat, noted that the speed of the cocoa market’s decline combined with a highly competitive landscape has significantly eroded profitability. Analysts at Kepler Cheuvreux described the move as a “reset” under the new chief executive, noting that structural pressures on demand are becoming a primary concern for investors. Furthermore, the company pointed to logistical disruptions linked to the conflict in Iran and a temporary facility closure in Canada as additional headwinds.

Despite an outperform in volume compared to the broader market, recurring EBIT fell 4.2% in the first half to SFr310.9 million.

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4. US Jobless Claims Fall to 207,000, Signaling Resilient Labor Market

Applications for US unemployment benefits declined last week, providing further evidence that mass layoffs remain limited across most sectors of the economy. Initial claims dropped by 11,000 to a total of 207,000 for the week ending April 11, marking the most significant weekly decrease since February. While the Labor Department noted that data can be volatile during holiday periods—including the recent Easter holiday—the four-week moving average remained largely unchanged, suggesting a consistent trend of labor market strength.

The latest figures align with a broader stabilization of the US workforce. Earlier reports showed a rebound in job growth for March alongside a decline in the national unemployment rate. This sentiment was echoed in the Federal Reserve’s recent Beige Book survey, which described labor demand as “stable” with minimal reports of significant job cuts.

However, continuing claims, which track the total number of people receiving ongoing benefits, edged up to 1.82 million for the week ending April 4, indicating that some displaced workers may be taking slightly longer to find new roles.

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5. Hochul’s Proposed Pied-à-Terre Tax Sends Shivers Through NYC Luxury Real Estate

Governor Kathy Hochul’s proposal for a yearly surcharge on high-end second homes worth at least $5 million has triggered immediate backlash from New York City’s real estate industry. The measure, which aims to address the city’s dire housing affordability crisis and budget gaps, would impact an estimated 13,000 luxury residences. Brokers report that affluent buyers are already hitting pause on transactions, fearing that the “pied-à-terre tax”—a concept that has failed to pass in previous years—now feels more realistic under the current political climate.

The proposal represents a compromise between Hochul and Mayor Zohran Mamdani, who has advocated for higher taxes on the wealthy and corporations. Supporters, including Manhattan Borough President Brad Hoylman-Sigal, argue that the “global superrich” are using Manhattan as a wealth-parking lot while local residents struggle with soaring housing costs. Bloomberg data highlights the scale of the issue: 56% of homes valued at $5 million or more are owned by non-residents. Conversely, luxury agents argue that these wealthy owners support a vast ecosystem of local jobs and economic activity.

As Corcoran’s Noble Black noted, deterring this capital flow could have a cooling effect on a real estate market already strained by high borrowing costs.

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6. Allbirds’ AI Pivot Triggers Meme-Stock Volatility with 31% Slide

Allbirds Inc.’s dramatic pivot from sustainable footwear to artificial intelligence infrastructure appears to be more of a speculative bubble than a fundamental business transformation. After the stock skyrocketed 582% following the announcement of its rebranding to NewBird AI, shares plunged as much as 31% on Thursday. Analysts have characterized the movement as typical “meme stock” behavior, driven by AI-related hype rather than concrete technological advantages. Adam Sarhan of 50 Park Investments noted that the market’s initial reward of the stock, despite a lack of established AI expertise, signals an increase in speculative froth.

The trading activity on Wednesday was unprecedented, with nearly 300 million shares changing hands—far exceeding the daily average of 20 million. Retail net buying reached a record high, surpassing even the company’s initial public offering. While the surge provided a temporary boost, market experts warn that the rapid reversal highlights the danger of following emotional market trends.

With retail investors leading the charge, the risk of a sharp correction remains high, leading many professional observers to advise caution as the “AI pivot” continues to face skepticism regarding its long-term viability.

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7. Netflix Shares Slide on Weak Outlook as Co-Founder Reed Hastings Departs Board

The four-member crew of NASA’s Artemis II mission—Reid Wiseman, Victor Glover, Christina Koch, and Jeremy Hansen—has already secured its place in history by shattering human deep-space distance records. Beyond their technical achievements, the astronauts have also earned acclaim as skilled photographers, capturing breathtaking high-resolution images of Earth and the moon from a distance of approximately 252,760 miles. Operating from within the Lockheed Martin-built Orion capsule, the crew has provided a rare glimpse into daily life and work during this historic lunar journey.

The imagery sent back to Earth has inspired global awe, with one particular shot of the moon eclipsing the sun drawing significant attention. In a post on X, the White House described the vantage point as “a view few in human history have ever witnessed.”

As Artemis II continues its mission, these visual records serve as a powerful testament to the progress of the Artemis program and humanity’s return to deep-space exploration.

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