After Hours Report

The stock market saw some roller-coaster action today that followed the track of developments related to the Israel-Iran conflict, which was elevated over the weekend when the U.S. destroyed three nuclear sites in Iran.

The U.S.-led strikes created some nervous energy in the capital markets, but they didn't create much fear. That was clear to see at today's open, when stocks moved higher and oil prices moved lower. They did so, driven by a sense that the conflict will be contained and that there won't be any major disruption to oil supplies coming out of the Middle East.

The early gains faded, though, with the S&P 500 running into resistance at the 6,000 level, and as news reports indicated Iran was preparing a missile strike on a U.S. base in Qatar. The latter report was accurate, but subsequent reports that Iran notified officials beforehand to limit any casualties, that the missiles were intercepted by Qatar's air defense system, and that there were no casualties or deaths triggered a relief trade that carried the indices to new session highs and the S&P 500 back above 6,000.

That relief was also evident in the oil market. WTI crude futures fell 7.0% today to $68.63/bbl. That move undercut the energy sector (-2.5%), which was the only S&P 500 sector to close in red figures. Gains for the remaining 10 sectors ranged from 0.1% (health care) to 1.8% (consumer discretionary), but eight sectors were up at least 1.0%.

The consumer discretionary sector was steered by Tesla (TSLA 348.71, +26.55, +8.24%), which surged after rolling out its robotaxi service in Austin, TX. Tesla also spearheaded a 1.3% gain in the Vanguard Mega Cap Growth Index Fund (MGK 352.79, +4.62, +1.33%).

The rate-sensitive real estate (+1.5%), utilities (+1.3%), and financials (+1.2%) sectors were relative strength leaders today, benefitting from a drop in Treasury yields that was helped by safe-haven flows and burgeoning hope the Fed could cut rates at its July FOMC meeting.

Fed Governor Bowman (FOMC voter) said she could support a rate cut at the July meeting if inflation pressures remain contained. Her view followed on the heels of Fed Governor Waller (FOMC voter) saying on Friday that he thinks the Fed could cut rates at its July meeting.

The 2-yr note yield fell eight basis points to 3.83%, and the 10-yr note yield dropped six basis points to 4.32%. Separately, the fed funds futures market increased the probability of a 25-basis point cut at the July meeting to 22.7% from 14.5% on Friday, according to the CME FedWatch Tool.

These viewpoints will add some intrigue to Fed Chair Powell's semiannual monetary policy report, which he will deliver Tuesday before the House Financial Services Committee. Undoubtedly, he will be pressed to explain why the Fed, based on comments from his recent press conference, isn't inclined to cut rates at the July meeting.

• S&P 500: +2.4% YTD
• Nasdaq: +1.7% YTD
• DJIA: +0.1% YTD
• S&P 400: -2.3% YTD
• Russell 2000: -4.4% YTD

Reviewing today's data:

• Flash June S&P Global U.S. Manufacturing PMI (Actual 52.0; prior 52.0) and flash June S&P Global U.S. Services PMI (Actual 53.1; prior 53.7)
• Existing home sales increased 0.8% month-over-month in May to a seasonally adjusted annual rate of 4.03 million (Briefing.com consensus 3.94 million) from an unrevised 4.00 million in April. Sales were down 0.7% from the same period a year ago.
  • The key takeaway from the report is that the inventory of existing homes for sale is rising, yet overall demand remains subdued because of affordability constraints stemming from high prices and high mortgage rates.

Overseas:

• Europe: DAX -0.4%, FTSE -0.2%, CAC -0.7%
• Asia: Nikkei -0.1%, Hang Seng +0.7%, Shanghai +0.7%

Commodities:

• Crude Oil -5.20 @ 68.63
• Nat Gas -0.14 @ 3.70
• Gold +9.30 @ 3395.10
• Silver +0.16 @ 36.18
• Copper +0.02 @ 4.85

After-Hours Spotlight:

• President Trump responds to Iranian attacks via his social media platform, Truth Social, says Iran’s missile response was "very weak," praises Qatar and calls for peace in region
• Chewy (CHWY) announces public offering of Class A common stock by selling stockholder and concurrent share repurchase of up to $150 mln... CHWY down 2.9%
• First Financial Bancorp (FFBC) enters into definitive agreement to acquire Westfield Bancorp in cash and stock transaction; Transaction expected to be 12% accretive to earnings... FFBC unchanged
• iMDx (IMDX) Reports Strong Head-to-Head Data in Kidney Transplant Rejection Testing... IMDX up 0.8%
• KB Home (KBH) beats by $0.04, beats on revs; Lowers FY25 housing revenue, average selling price, and housing gross profit margin guidance... KBH down 2.0%
• Murano Global Investments (MRNO) files for 129,765,157 ordinary share offering by selling shareholders... MRNO unchanged
• Starbucks (SBUX): weighing sale of China business, according to CaixinGlobal... SBUX up 0.6%
• Terns Pharmaceuticals (TERN) Presents Positive Data from Phase 1 Study of TERN-601 Once-daily Oral GLP-1R Agonist for Treatment of Obesity at 85th Annual American Diabetes Association Scientific Sessions... TERN up 0.5%
• Thor Industries (THO) announces re-authorization of $400 million share buyback... THO up 1.3%
• Veradigm (MDRX) issues downside Q2 revenue guidance (two estimates), reaffirms FY25 revenue guidance...MDRX halted
• Zscaler (ZS) CTO Syam Nair to step down, effective July 4... ZS down 0.1%

Fair Value for Tuesday, June 24:

• S&P 500: 6,076
• Nasdaq 100: 22,070
• DJIA: 42,883

For a full rundown of today's market and after hours developments, see Live In Play

• Earnings/Guidance (Full Earnings Calendar):
  • Commercial Metals (CMC) misses by $0.11, misses on revs
  • FactSet (FDS) misses by $0.03, reports revs in-line; reaffirms FY25 EPS guidance, revs guidance; Also announces that it appoints Sanoke Viswanathan as CEO
  • Radius Recycling (RDUS) provides MayQ guidance; co previously announced it's being acquired
  • Sempra Energy (SRE) provides Unified Tracker Mechanism update and anticipated financial impact; affirms 2025 and 2026 EPS guidance ranges
• General News
  • President Trump orders U.S. strikes on three Iranian nuclear facilities and said Iran “must now make peace, If they do not, future attacks will be far greater.” Iran says it “reserves all options to defend its sovereignty.” Pentagon says nuclear sites “sustained extremely severe damage.”
  • Intelligence agencies detected signs that Iran supported militias were preparing attacks on U.S. bases in Iraq, according to NY Times
  • Iranian Parliament approved a measure to close Strait of Hormuz, but final decision will be made by Iran's Supreme National Security Council, according to The Hill
  • Vice President JD Vance in interview says the U.S. is not at war with Iran, but with their nuclear weapons program. He said it would be "suicidal" for Iran to block the Strait of Hormuz, according to NBC News
  • Secretary of State Marco Rubio in interview urged Iran to pursue diplomacy and said U.S. is ready to meet with Iran, according to CBS News
  • President Trump posts renewed criticism on Fed Chairman Jerome Powell; says "Maybe, just maybe, I’ll have to change my mind about firing him? But regardless, his term ends shortly!"
  • Richmond Federal Reserve President Thomas Barkin (not a voting FKMC member) says he is not in a rush to lower rates, according to Reuters
  • President Trump says he prefers money for green energy tax credits gets used for something else in reconciliation bill
  • U.S. and E.U. getting close to deal on several non-tariff trade issues, according to WSJ
  • Republicans praised President Trump's decision to strike Iran, while Democrats were critical of the unilateral action, according to Washington Post
  • Iranian allies, such as Russia and China are only offering rhetorical support, according to Bloomberg
  • Senate parliamentarian rejected plan in reconciliation bill to force USPS to end EV development, according to Reuters
  • Senate parliamentarian rejects food aid cuts that were supposed to be part of reconciliation bill, according to NY Times
  • Senators mulling changes in fuel economy rules, according to WSJ
  • India will audit aviation industry following crash, according to Bloomberg
  • Explosions heard over U.S. military base in Qatar, according to Washington Post
  • Qatar Air Defences intercepted a missile attack on US military base Al Udeid, according to BloombergTV
  • Iran coordinated the attacks on U.S. base in Qatar and gave officials advance warning to minimize casualties, according to NY Times
  • Qatar's Dr. Majed Al Ansari confirms that Qatar’s air defenses successfully thwarted the attack and intercepted the Iranian missiles
  • U.S. base in Syria on alert, according to Reuters
  • President Trump does not want any more military engagement in the Middle East following Iranian response, according to CNN
  • Lawmakers want to close Veterans Affairs Medicare loophole, according to WSJ
  • HHS Secretary Kennedy, CMS Administrator Oz secure industry pledge to fix broken prior authorization system
  • President Trump monitoring for possibility of additional Iranian attacks on U.S. bases in Iraq & Bahrain - CNBC
  • Alexander & Baldwin (ALEX) terminates agreement with Mahi Pono Holdings
  • Alvotech (ALVO) receives EMA reccomendation of biosimilar to Eylea
  • Amgen (AMGN) announces full results from Part 1 of the Phase 2 study of MariTide
  • Apple (AAPL) secured movie deal with Peter Chernin, according to Bloomberg
  • Apple (AAPL) in talks to avoid EU fines related to its application store, according to FT
  • AstraZeneca (AZN) reports data showing reduction in steroid burden and event-related hospitalisations in adult patients with AChR-Ab+ gMG treated with Ultomiris
  • Biomea Fusion (BMEA) Presents New Preclinical and Clinical Data on Icovamenib at the 85th Scientific Sessions of the American Diabetes Association
  • BP (BP) considers Sam Laidlaw for Chairman, according to Sky News
  • Bristol-Myers (BMY) gets orphan drug designation for treatment of sickle cell disease
  • CGI Group (GIB): C-Suite realigns transformation strategies to navigate complexity, boost efficiency and drive outcomes
  • Cidara Therapeutics (CDTX) Announces Topline Results from its Phase 2b NAVIGATE Trial Evaluating CD388, a Non-Vaccine Preventative of Seasonal Influenza
  • Compass (COMP) sues Zillow (ZG/Z), alleging anticompetitive tactics to protect market dominance, according to Bloomberg
  • Compass Pathways (CMPS) successfully achieves primary endpoint in first phase 3 trial evaluating COMP360 psilocybin for treatment-resistant depression
  • Enbridge (ENB) and Energy Transfer (ET) interested in increased Illinois pipeline capacity, according to Bloomberg
  • Ensign Group (ENSG) announces that Chairman Christopher Christensen has provided notice to the board of his intent to retire from both his roles effective September 1; CEO Barry Port appointed to serve as Chair of the Board of Directors, effective September 1
  • ePlus (PLUS) has a signed a definitive agreement with Marlin Leasing Corporation, a portfolio company of the Asset Value Funds sponsored and managed by leading global investment firm HPS Investment Partners, LLC, to sell the domestic subsidiaries comprising its U.S. financing business
  • Exelixis (EXEL) Announces Zanzalintinib in Combination with an Immune Checkpoint Inhibitor Improved Overall Survival in STELLAR-303 Phase 3 Pivotal Trial in Patients with Metastatic Colorectal Cancer
  • Fair Isaac (FICO) will take into account "buy now pay later" loans in credit scores, according to WSJ
  • FedEx (FDX) issues message regarding passing of founder and Executive Chairman Frederick Smith
  • Fiserv (FI) aiming to introduce a stablecoin, according to WSJ
  • Fractyl Health (GUTS) Presents New Data at the American Diabetes Association’s 85th Scientific Sessions Demonstrating its Rejuva® Smart GLP-1™ Pancreatic Gene Therapy Platform Prevents Obesity and Type 2 Diabetes in Preclinical Models
  • Fractyl Health (GUTS) announces positive 3-month data from the REVEAL-1 Cohort of its ongoing REMAIN-1 pivotal study
  • GE HealthCare (GEHC) Issues Correction for Certain Carestations due to Risk of Ineffective Ventilation When Used in Volume Control Ventilation (VCV) Mode
  • GeneDx (WGS) announces the American Academy of Pediatrics issued updated guidance to now recommend exome and genome sequencing as first-tier tests for children with global developmental delay or intellectual disability in most circumstances because of superior diagnostic yield and higher cost-effectiveness if pursued earlier in the diagnostic process
  • GlaxoSmithKline (GSK) reports Linerixibat accepted for review by the EMA
  • Global Medical REIT (GMRE) announced that Mark Decker has been appointed as the Company’s Chief Executive Officer and President, effective immediately
  • Grifols, S.A. (GRFS) refuted reports of illicit payments to Scranton Enterprises, according to Bloomberg
  • Hormel Foods (HRL) promotes John Ghingo to President; Jeffrey Ettinger to serve as Interim CEO
  • HPE (HPE) unveils unified program to power up profitable growth for partners
  • Incyte (INCY) provides update on FDA review of ruxolitinib cream
  • Johnson & Johnson (JNJ) reports IMAAVY (nipocalimab-aahu) showed greater sustained disease control versus approved FcRn blockers for generalized myasthenia gravis at multiple timepoints over 24 weeks in newly published indirect treatment comparison
  • Kosmos Energy (KOS) confirms commercial operations date reached for Golar’s (GLNG) FLNG Gimi at Greater Tortue Ahmeyim
  • Larimar Therapeutics (LRMR) receives FDA Recommendations on Safety Database, and Other Details of Nomlabofusp BLA Submission for Friedreich’s Ataxia Program
  • Lilly's (LLY) once-weekly insulin efsitora alfa demonstrated A1C reduction and a safety profile consistent with daily insulin in multiple Phase 3 trials
  • Lilly's (LLY) oral GLP-1, orforglipron, showed compelling efficacy and a safety profile consistent with injectable GLP-1 medicines, in complete Phase 3 results published in The New England Journal of Medicine
  • Mammoth Energy Services (TUSK) and Stingray Pressure Pumping entered into an equipment purchase agreement
  • Merck (MRK) announces phase 3 hyperion study of WINREVAIR met primary endpoint in recently diagnosed adults with pulmonary arterial hypertension
  • Microsoft (MSFT): Introducing Mu language model and how it enabled the agent in Windows Settings?
  • Molecular Partners (MOLN) and Orano Med present preclinical data on mesothelin-targeting Radio-DARPin candidate MP0726 at SNMMI 2025
  • News Corp. (NWSA) extends CEO contract
  • Novo Nordisk's (NVO) subcutaneous and oral amycretin data published in The Lancet and presented at ADA 2025
  • Novo Nordisk (NVO) reports higher dose of Wegovy provided average weight loss of 21% in people with obesity
  • Novo Nordisk (NVO): CagriSema 2.4 mg / 2.4 mg demonstrated 22.7% mean weight reduction in adults with overweight or obesity in REDEFINE 1, published in NEJM
  • Novo Nordisk (NVO) reports Mim8 prophylaxis treatment shown to be well-tolerated when switching from emicizumab in people with haemophilia A in new phase 3 data presented at the ISTH 2025 Congress
  • Novo Nordisk A/S (NVO) confirms Ozempic received EU recommendation in peripheral arterial disease, cementing the broad benefits of semaglutide for people with type 2 diabetes and comorbidities
  • Omnicom (OMC) and Interpublic (IPG) confirm the FTC concluded its antitrust review of Omnicom's proposed acquisition of Interpublic and reached agreement on a mutually acceptable consent order
  • Palvella Therapeutics (PVLA) Completes Enrollment in Phase 3 SELVA Trial of QTORIN™ Rapamycin for Microcystic Lymphatic Malformations, Exceeding Enrollment Target by Over 25%
  • PTC Therapeutics (PTCT) granted Marketing Authorization by the European Commission for Sephience
  • Renesas (RNECF) announces expected loss resulting from signing restructuring support agreement with Wolfspeed (WOLF)
  • Roche Hldg (RHHBY) reports early data suggest Roche’s NXT007 may have the potential to provide haemostatic normalisation in people with haemophilia A
  • Sanofi (SNY) reports Sarclisa recommended for EU approval by the CHMP to treat transplant-eligible newly diagnosed multiple myeloma
  • Sequans Communications (SQNS) is establishing a bitcoin treasury, marking a strategic expansion alongside its core semiconductor cellular IoT business
  • Steris (STE) awarded a maximum $450 mln modification exercising option period of a five-year base Defense Logistics Agency contract
  • Taiwan Semiconductor Manufacturing (TSM) will support Apple's (AAPL) advanced packaging embrace, according to Digitimes China
  • Telix Pharmaceuticals (TLX) announces that the United States Food and Drug Administration has approved a label expansion for Illuccix to include patient selection for radioligand therapy in the pre-taxane setting
  • Tesla (TSLA) introduced robotaxi service in Austin, TX, according to WSJ
  • Teva Pharma (TEVA) reports final data from PEARL real-world study reinforcing the long-term effectiveness of AJOVY
  • T-Mobile US (TMUS) readies T-Satellite launch; recaps today's webcast
  • Toyota (TM) will increase U.S. prices by more than $200 starting in July, according to Bloomberg
  • Vertex (VRTX) Presents Positive Data for Zimislecel in Type 1 Diabetes at the American Diabetes Association 85th Scientific Sessions
  • Vertex Pharma (VRTX) and Ono Pharmaceutical form strategic agreement to develop and commercialize Povetacicept in Japan and South Korea
  • Vulcan Materials (VMC) received imminent danger order from Mine Safety and Health Administration; co took corrective action
  • Walmart (WMT) to pay $10 mln to settle FTC charges that it turned a blind eye to scammers who used its in-store money transfer services

• Upgrades:
  • Advanced Micro Devices (AMD) upgraded to Buy from Hold at Melius Research, tgt $175
  • Boston Properties (BXP) upgraded to Neutral from Underweight at JPMorgan, tgt $78
  • Cero Therapeutics (CERO) upgraded to Buy from Hold at D. Boral Capital, tgt $30
  • DoorDash (DASH) upgraded to Strong Buy from Outperform at Raymond James, tgt $260
    
  • Estee Lauder (EL) upgraded to Buy from Hold at Deutsche Bank, tgt $95
  • Evercore (EVR) upgraded to Overweight from Equal Weight at Morgan Stanley, tgt $312
  • FMC (FMC) upgraded to Overweight from Equal Weight at Wells Fargo, tgt $50
  • Moelis (MC) upgraded to Overweight from Underweight at Morgan Stanley, tgt $68
  • Omnicom Group (OMC) upgraded to Neutral from Underperform at BofA Securities, tgt $80
  • Ventas (VTR) upgraded to Overweight from Neutral at JPMorgan, tgt $72
• Downgrades:
  • Americold Realty Trust (COLD) downgraded to Neutral from Overweight at JPMorgan, tgt $21
  • AST SpaceMobile (ASTS) downgraded to Sector Perform from Outperform at Scotiabank, tgt $45.40
  • Bright Horizons (BFAM) downgraded to Hold from Buy at Jefferies, tgt $135
  • CCC Intelligent Solutions (CCCS) downgraded to Underweight from Neutral at JPMorgan, tgt $10
  • Couchbase (BASE) downgraded to Neutral from Outperform at Robert W. Baird, tgt $25
  • Dow Inc. (DOW) downgraded to Underperform from Market Perform at BMO Capital, tgt $22
  • Equifax (EFX) downgraded to Neutral from Buy at BofA Securities, tgt $285
  • Federal Realty Investment Trust (FRT) downgraded to Neutral from Overweight at JPMorgan, tgt $108
  • Howard Hughes (HHH) downgraded to Neutral from Overweight at JPMorgan, tgt $76
  • KBR (KBR) downgraded to Sector Weight from Overweight at KeyBanc
  • Lineage (LINE) downgraded to Equal Weight from Overweight at Morgan Stanley, tgt $50
  • Lineage (LINE) downgraded to Underweight from Neutral at JPMorgan, tgt $50
  • XP Inc. (XP) downgraded to Market Perform from Outperform at Itau BBA, tgt $21
• Others:
  • Boyd Gaming (BYD) initiated with a Neutral at JPMorgan, tgt $79
  • BrightSpring Health Services (BTSG) initiated with a Buy at TD Cowen, tgt $37
  • Caesars Entertainment (CZR) initiated with an Overweight at JPMorgan, tgt $47
  • Choice Hotels (CHH) initiated with an Underweight at JPMorgan, tgt $124
  • Churchill Downs (CHDN) initiated with an Overweight at JPMorgan, tgt $116
  • DoubleDown Interactive (DDI) initiated with a Buy at Roth Capital, tgt $16
  • DraftKings (DKNG) initiated with an Overweight at JPMorgan, tgt $50
  • Hilton Worldwide (HLT) initiated with an Overweight at JPMorgan, tgt $282
  • Hormel Foods (HRL) initiated with a Buy at Goldman, tgt $35
  • Host Hotels (HST) initiated with a Neutral at JPMorgan, tgt $16
  • Las Vegas Sands (LVS) initiated with a Neutral at JPMorgan, tgt $47
  • Marriott International (MAR) initiated with a Neutral at JPMorgan, tgt $284
  • MGM Resorts (MGM) initiated with a Neutral at JPMorgan, tgt $38
  • Monopar Therapeutics (MNPR) initiated with a Buy at Chardan Capital Markets, tgt $60
  • NextNRG (NXXT) initiated with a Buy at ThinkEquity, tgt $6
  • NuScale Power (SMR) initiated with a Neutral at Citigroup, tgt $46
  • Park Hotels & Resorts (PK) initiated with an Underweight at JPMorgan, tgt $10
  • Penn Entertainment (PENN) initiated with an Overweight at JPMorgan, tgt $24
  • Pilgrim's Pride (PPC) initiated with a Neutral at Goldman, tgt $50
  • Red Rock Resorts (RRR) initiated with an Overweight at JPMorgan, tgt $62
  • Ryman Hospitality Properties (RHP) initiated with an Overweight at JPMorgan, tgt $117
  • Rush Street Interactive (RSI) initiated with a Neutral at JPMorgan, tgt $14
  • Septerna (SEPN) initiated with a Buy at H.C. Wainwright, tgt $26
  • Soleno Therapeutics (SLNO) initiated with a Buy at TD Cowen, tgt $110
  • Sunstone Hotel Investors (SHO) initiated with an Underweight at JPMorgan, tgt $8
  • Tyson Foods (TSN) initiated with a Buy at Goldman, tgt $67
  • VTEX (VTEX) initiated with a Buy at Citigroup, tgt $10
  • Wyndham Hotels (WH) initiated with an Overweight at JPMorgan, tgt $101
  • Wynn Resorts (WYNN) initiated with an Overweight at JPMorgan, tgt $109

• Econ Data (Tuesday):
  • 08:30 ET: Q1 Current Account Balance (prior -$303.9B)
  • 09:00 ET: April FHFA Housing Price Index (Briefing.com consensus 0.0%; prior -0.1%)
  • 09:00 ET: April S&P Case-Shiller Home Price Index (Briefing.com consensus 4.1%; prior 4.1%)
  • 10:00 ET: Fed Chair Powell's Semiannual Monetary Policy Report before House Financial Services Committee
  • 10:00 ET: June Consumer Confidence (Briefing.com consensus 99.0; prior 98.0)
• Earnings:
  • Monday (June 23)
    • Pre-Market: CMC FDS
    • After-Hours: KBH
    Tuesday (June 24)
    • Pre-Market: CCL SNX
    • After-Hours: AVAV BB FDX WOR
      
  • Wednesday (June 25)
    • Pre-Market: GIS PAYX WGO
      
    • After-Hours: FUL JEF MU MLKN SCS WS
  • Thursday (June 26)
    • Pre-Market: AYI LNN MKC WBA
    • After-Hours: CNXC NKE
  • Friday (June 27)
    • Pre-Market: APOG
    • After-Hours: None
  General Motors: 5,000 members at GM's Arlington, TX assembly plant join UAW strike