After Hours Report

The stock market got on a winning track this morning, and it showed little intention of getting off it once it did, largely dismissing an afternoon contention from Elon Musk that the "one big, beautiful bill" is a "disgusting abomination" since it will massively increase the budget deficit. Small-cap stocks, mega-cap stocks, and semiconductor issues led today's gains, which had some grounding in growth optimism and continued backing from momentum buyers.

Today's start was a bit sluggish, with some consolidation interest in the air. The indices gained some traction around 10:00 a.m. ET, however, following an April JOLTS - Job Openings Report that showed a pickup in openings.

That was viewed as a good indication for the labor market, which conveyed some encouraging thoughts about the growth outlook in spite of the OECD downgrading its 2025 global GDP growth forecast to 2.9% from 3.1% and its U.S. GDP growth forecast to 1.6% from 2.2% and China's Caixin Manufacturing PMI for May registering its weakest reading (48.3) since 2022.

Today's best-performing sector was the information technology sector (+1.5%), which was led by NVIDIA (NVDA 141.40, +4.02, +2.9%) and the semiconductor stocks. The energy sector (+1.1%) was next in line, followed by the materials (+1.0%) and industrials (+0.8%) sectors, exposing today's pro-cyclical orientation.

The Russell 2000 (+1.6%), led by its banking and energy components, outpaced the other major indices. Today's buying efforts, though, were broad-based.

Advancers led decliners by a better than 2-to-1 margin at the NYSE and Nasdaq. Like yesterday, today's advance unfolded on below-average trading volume at the NYSE and Nasdaq.

Separately, Treasuries were little changed from Monday's settlement levels but saw some intraday movement. The 10-yr note yield, which dipped below 4.41% in the overnight futures trade, settled unchanged at 4.46%, while the 30-yr bond yield, which slipped to 4.93%, settled at 4.98%, down two basis points. 

• S&P 500: +1.5% YTD
• Nasdaq: +0.5% YTD
• DJIA: -0.05% YTD
• S&P 400: -2.8% YTD
• Russell 2000: -5.7% YTD

Reviewing today's data:

• Factory orders declined 3.7% month-over-month in April (Briefing.com consensus -3.1%) following a downwardly revised 3.4% increase (from 4.3%) in March. Excluding transportation, factory orders declined 0.5% for the second straight month. Shipments of manufactured goods dropped 0.3% on the heels of a 0.2% decline in March.
  • The key takeaway from the report is that April activity was devoid of strength, with declines in durable goods orders, nondurable goods orders, and business spending.
• The April JOLTS - Job Openings Report showed there were 7.391 mln job openings versus an upwardly revised 7.200 mln (from 7.192 mln) in March.

Overseas:

• Europe: DAX +0.6%, FTSE +0.2%, CAC +0.3%
• Asia: Nikkei -0.1%, Hang Seng +1.5%, Shanghai +0.4%

Commodities:

• Crude Oil +0.84 @ 63.41
• Nat Gas +0.02 @ 3.72
• Gold -19.70 @ 3377.60
• Silver -0.05 @ 34.63
• Copper -0.03 @ 4.83

After-Hours Spotlight:

• Asana (ASAN) beats by $0.03, reports revs in-line; guides Q2 EPS in-line, revs in-line; guides FY26 EPS above consensus, revs in-line... ASAN down 6.3%
• Couchbase (BASE) beats by $0.02, beats on revs; guides Q2 revs below consensus; guides FY26 revs in-line... BASE down 2.2%
• CrowdStrike (CRWD) beats by $0.07, reports revs in-line; guides Q2 EPS above consensus, revs below consensus; raises FY26 EPS guidance, guides revs in-line; Approves Share repurchase program of up to $1.0 bln of common stock... CRWD down 6.7%
• D-Wave Quantum (QBTS) files for $400 mln mixed securities shelf offering... QBTS down 2.8%
• Guidewire Software (GWRE) beats by $0.42, beats on revs; guides mid-point of Q4 revs above consensus... GWRE up 8.5%
• Hewlett Packard Enterprise (HPE) beats by $0.05, beats on revs; guides Q3 EPS and revs in-line; raises low end of FY25 EPS guidance; lowers high end of FY25 CC revenue guidance... HPE up 2.9%
• Wells Fargo (WFC) confirms that the Federal Reserve has removed the limits on growth in total assets imposed in its 2018 consent order and announces a special employee award... WFC up 2.4%
• Yext (YEXT) beats by $0.02, beats on revs; Raises full year adjusted EBITDA guidance... YEXT unchanged

Fair Value for Wednesday, June 4:

• S&P 500: 5,980
• Nasdaq 100: 21,700
• DJIA: 42,578

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

• Earnings/Guidance (Full Earnings Calendar):
  • Algonquin Power & Utilities (AQN) provides outlooks for for FY25-FY27; sees FY25 and FY26 EPS in-line with consensus
  • British American Tobacco (BTI) provides trading update; sees FY revenue slightly ahead of previous guidance
  • Cango (CANG) reports May production
  • CME Group (CME) reports record ADV in May
  • Credo Technology Group (CRDO) beats by $0.08, beats on revs; guides Q1 revs above consensus
  • Dollar General (DG) beats by $0.30, beats on revs; guides FY26 EPS in-line, revs in-line
  • Donaldson (DCI) beats by $0.04, reports revs in-line; guides FY25 EPS above consensus, reaffirms FY25 revs guidance
  • Evolent Health (EVH) to reaffirm the 2025 and Q2 guidance at the William Blair 45th Annual Growth Stock Conference
  • Ferguson plc (FERG) beats by $0.49, beats on revs
  • NIO (NIO) misses by RMB0.45, misses on revs; guides Q2 revs in-line
  • Ollie’s Bargain Outlet (OLLI) beats by $0.04, beats on revs, comps of +2.6%; reaffirms FY26 EPS guidance, revs guidance, raises comp guidance
  • Philip Morris International (PM) reaffirms FY25 EPS guidance at dbAccess Global Consumer Conference in Paris
  • Public Storage (PSA) reports metrics for the two months ended May 31, 2025 - Square foot occupancy was 92.3% vs 92.8% year ago period
  • Signet Jewelers (SIG) beats by $0.18, beats on revs; guides Q2 revs in-line; raises guidance for FY26 EPS in-line, revs in-line
  • Wabash Natl (WNC) provides investor updates in presentation - expecting near break-even FCF in 2025
  • Xeris Biopharma (XERS) reaffirms FY25 revenue outlook ahead of Analyst and Investor Day today
• General News
  • China's lead trade negotiator to take firmer stance than predecessor in President Trump's first term, according to the Wall Street Journal
  • Elon Musk labels "one big, beautiful bill" a "disgusting abomination," saying it will massively increase the budget deficit
  • Commerce Secretary Lutnick says U.S-India trade deal is close, according to Reuters
  • Senate GOP to look more closely at potential impact of Section 899 provision of House reconciliation bill, according to Bloomberg
  • Dept. of Education to hold off on garnishing Social Security benefits for recipients that defaulted on student loans, according to CNBC
  • Dallas Fed President Logan (non-FOMC voter) says framework should evolve for high-inflation era, focus on forward-looking policy
  • Bank of Japan Governor Ueda said central bank would raise rates if growth re-accelerates, signals sticking with taper of bond purchases, according to Reuters
  • OECD cuts 2025 U.S. growth forecast and increases inflation forecast, according to CNBC
  • Americans scaling back summer travel plans, according to Reuters
  • Eurozone CPI drops to 1.9% yr/yr in May, below the ECB's 2.0% target, according to Bloomberg
  • Global bond yields ease as Japan sees successful 10-yr government bond sale, according to Bloomberg
  • Iran likely to reject U.S. nuclear deal proposal, according to Reuters
  • Agenus (AGEN) and Zydus Lifesciences enter $141 mln strategic collaboration to advance BOT/BAL
  • Americold Realty Trust (COLD) appoints Rob Chambers to new executive role of President; Also reaffirms FY25 guidance
  • Amylyx Pharmaceuticals (AMLX) announces that the U.S. FDA has granted Fast Track designation to AMX0114, an investigational antisense oligonucleotide targeting calpain-2 for the treatment of people living with amyotrophic lateral sclerosis
  • Ascentage Pharma (AAPG) Presents Clinical Data on Bcl-2 Inhibitor Lisaftoclax in Venetoclax-Refractory Patients in Oral Report
  • Beam Therapeutics (BEAM) Announces U.S. FDA Orphan Drug Designation Granted to BEAM-101 for the Treatment of Sickle Cell Disease
  • Bill.com (BILL) announces Rohini Jain will join BILL as CFO
  • BioStem Technologies (BSEM) provides update on its Form 10 registration statement and SEC review process; Believes it has favorably resolved outstanding SEC accounting comments
  • Boeing (BA): The National Transportation Safety Board to hold a June 24 hearing to determine the probable cause of a mid-air cabin panel blowout of a new Boeing, opens new tab 737 MAX 9 flight in January 2024 that spun the planemaker into a crisis
  • BP (BP) deepens and progresses in Azerbaijan with go-ahead for new major project and exploration access
  • Cardiff Oncology (CRDF) announces positive data from investigator-initiated trial of onvansertib in combination with paclitaxel in metastatic triple-negative breast cancer presented at ASCO 2025
  • Constellation Energy (CEG) confirms Meta (META) 20-Year deal for clean, reliable nuclear energy in Illinois
  • Customers Bancorp (CUBI) CFO Philip Watkins will transition to Executive Vice President, Head of Corporate Development and Investor Relations, on or around August 15, 2025, to focus on spearheading strategic initiatives
  • DeFi Development Corp. (DFDV) reports record month with key integrations, treasury growth, and institutional partnerships
  • Donaldson (DCI) announces appointment of Richard Lewis as COO, effective August 1, 2025
  • Eaton (ETN) and Siemens Energy (SMNEY) announced a fast-track approach to building data centers with integrated onsite power
  • EchoStar (SATS) has elected not to make approximately $183 million in cash interest payments due on June 2, 2025
  • Endeavour Silver (EXK) continues to confirm high-grade structures during its 2024/2025 drill program at Pitarrilla
  • Energy Fuels (UUUU) reports record month of U.S. uranium production
  • Enlight Renewable Energy Ltd.'s (ENLT) Generacion Eolica Castilla La Manch entered into re-financing agreement totaling approximately $310 million for the hybridization of Gecama Project in Spain
  • FactSet (FDS) announces that its Board of Directors has appointed Sanoke Viswanathan as Chief Executive Officer, effective early September 2025
  • First Busey Corp (BUSE) approves an amendment to Busey’s previously adopted share repurchase program to increase the number of shares of Busey’s common stock available for repurchase by 2 mln shares
  • HCI Group (HCI) completes its catastrophe reinsurance programs for the 2025-2026 treaty year
  • Jacobs Solutions (J) awarded a $4 bln US Air Force contract for Space Force range contract
  • Jazz Pharmaceuticals (JAZZ) announces Zepzelca (lurbinectedin) and Atezolizumab (Tecentriq) combination significantly improves survival as first-line maintenance therapy for extensive-stage small cell lung cancer
  • Kura Oncology (KURA) and Kyowa Kirin Report Positive Pivotal Ziftomenib Monotherapy Data at 2025 ASCO Annual Meeting
  • Meta Platforms (META) to buy nuclear power from Constellation (CEG), according to reports
  • Parsons (PSN) is removing financial effects of contract from 2025 guidance for any period after June 2025 given the recent Department of State reorganization issued May 29, 2025
  • Personalis (PSNL): New Data shows NeXT personal identifies breast cancer patients receiving neoadjuvant therapy that are at high risk for relapse
  • Redwire Corporation (RDW) has been awarded a contract from Aspera Biomedicines
  • Roche Hldg (RHHBY): Genentech’s tecentriq combined with lurbinectedin shows significant survival benefit in extensive-stage small cell lung cancer
  • RTX (RTX) awarded a $1.1 bln modification to a previously awarded US Navy contract
  • Sanofi (SNY) reports Rilzabrutinib granted orphan drug designation in the US for sickle cell disease
  • Snowflake (SNOW): Monte Carlo announced strategic collaboration with Snowflake, the AI Data Cloud company, to support Snowflake Cortex Agents, Snowflake's AI-powered agents that orchestrate across structured and unstructured data to provide more reliable AI-driven decisions, within the Snowflake Cortex AI platform
  • Toyota Motor (TM) confirms plans to accelerate collaboration towards transforming into a mobility company through privatization of Toyota Industries (TYIDY)
  • Tucows (TCX) announces appointment of Laurenz Nienaber as Chair of the Board of Directors and Jeffrey Tory as Independent Vice Chair
  • Uber (UBER) appoints Andrew “Mac” Macdonald as President & COO, effective immediately
  • Venture Global (VG) has initiated full mobilization and started site work at the company’s third LNG export facility, CP2 LNG
  • WeRide (WRD) partners with Renault to bring autonomous shuttles to Roland-Garros again

• Upgrades:
  • Advance Auto Parts (AAP) upgraded to Neutral from Sell at Redburn Atlantic, tgt $45
  • Block (XYZ) upgraded to Outperform from In Line at Evercore ISI, tgt $75
  • Cardinal Health (CAH) upgraded to Overweight from Equal Weight at Wells Fargo, tgt $179
  • Cencora (COR) upgraded to Overweight from Equal Weight at Wells Fargo, tgt $337
  • Kymera Therapeutics (KYMR) upgraded to Buy from Neutral at B. Riley Securities, tgt $60
    
  • Kymera Therapeutics (KYMR) upgraded to Overweight from Equal Weight at Morgan Stanley, tgt $79
  • Oshkosh (OSK) upgraded to Buy from Hold at Truist, tgt $127
  • Pinterest (PINS) upgraded to Overweight from Neutral at JPMorgan, tgt $40
  • UBS (UBS) upgraded to Buy from Hold at Jefferies
  • Woodward (WWD) upgraded to Buy from Hold at Deutsche Bank, tgt $291
• Downgrades:
  • ASML (ASML) downgraded to Equal Weight from Overweight at Barclays
  • Bumble (BMBL) downgraded to Underweight from Neutral at JPMorgan, tgt $5
  • GSK (GSK) downgraded to Hold from Buy at Berenberg
  • HSBC (HSBC) downgraded to Neutral from Buy at BofA Securities, tgt $63
  • MAC Copper (MTAL) downgraded to Market Perform from Outperform at BMO Capital, tgt $12.25
  • Rio Tinto (RIO) downgraded to Hold from Buy at Jefferies
  • Sprout Social (SPT) downgraded to Neutral from Overweight at Cantor Fitzgerald, tgt $24
• Others:
  • ASGN (ASGN) initiated with an Equal Weight at Wells Fargo, tgt $56
  • Badger Meter (BMI) initiated with a Market Perform at Raymond James
  • Biomea Fusion (BMEA) assumed with an Overweight at Piper Sandler, tgt $7
  • Q2 Holdings (QTWO) initiated with an Overweight at Cantor Fitzgerald, tgt $110
  • Reddit (RDDT) initiated with a Sector Perform at RBC Capital, tgt $125
  • Salesforce (CRM) initiated with an Overweight at Cantor Fitzgerald, tgt $32
  • Uranium Energy (UEC) initiated with an Outperform at BMO Capital, tgt $7.75
  • Valvoline (VVV) assumed with a Buy at Goldman, tgt $45

• Econ Data (Wednesday):
  • 07:00 ET: MBA Mortgage Applications Index (prior -1.2%)
  • 08:15 ET: May ADP EMployment Change (Briefing.com consensus 115K; prior 62K)
  • 09:45 ET: May S&P Global US Services PMI (prior 50.8)
  • 10:00 ET: May ISM Services (Briefing.com consensus 52.0%; prior 51.6%)
  • 10:15 ET: Atlanta Fed President Bostic (non-FOMC voter) and Fed Governor Cook (FOMC voter) at Fed Listens event
  • 10:30 ET: EIA Crude Oil Inventories (prior -2.80M)
  • 14:00 ET: Fed's Beige Book
• Earnings:
  • Monday (June 2)
    • Pre-Market: CPB SAIC
    • After-Hours: CRDO
  • Tuesday (June 3)
    • Pre-Market: DG DCI FERG NIO OLLI SIG
    • After-Hours: ASAN BASE CRWD GWRE HPE YEXT
  • Wednesday (June 4)
    • Pre-Market: DLTR GCO REVG CXM THO
      
    • After-Hours: AGX DSGX FIVE GEF MDB PVH VRNT
  • Thursday (June 5)
    • Pre-Market: BF.B CIEN CBRL MOMO TTC VSCO
    • After-Hours: BRZE AVGO DOCU LULU AVO WOOF RBRK IOT TTAN MTN ZUMZ
  • Friday (June 6)
    • Pre-Market:ABM
    • After-Hours: None
  General Motors: 5,000 members at GM's Arlington, TX assembly plant join UAW strike