After Hours Report

After spending the first half of the session drifting sideways, stocks turned lower following the June FOMC meeting, which left the federal funds target range unchanged but was interpreted as a more hawkish-than-expected shift in tone during Fed Chair Kevin Warsh's first meeting at the helm. Weakness was broad, and the S&P 500 (-1.2%), Nasdaq Composite (-1.3%), and DJIA (-1.0%) finished firmly lower, despite the DJIA notching a record intraday high earlier in the session.

The policy statement itself was notably stripped down, with the Committee voting 12-0 to hold the federal funds target range at 3.50%-3.75% and closing with an unambiguous commitment that it "will deliver price stability." The lack of forward guidance, combined with the removal of several longer-standing pieces of language, reinforced the impression of a procedural reset under Fed Chair Warsh.

That tone shift was further amplified in the updated Summary of Economic Projections, which showed inflation running persistently above target and pushed out expectations for policy easing. The median path now implies no rate cuts in 2026, alongside a meaningful upward revision to both headline and core PCE inflation forecasts. Taken together, the statement and projections were read as signaling a higher-for-longer policy stance, prompting a repricing in rates and contributing to the broader risk-off move in equities.

The afternoon sell-off left all eleven S&P 500 sectors in negative territory, though the session's earlier trends were still visible at the sector level. The industrials (-0.1%) and financials (-0.5%) sectors closed with the narrowest losses after their earlier gains pushed the DJIA to a new all-time high.

Several major banking components of the Dow, including Goldman Sachs (GS 1099.14, +8.47, +0.78%) and JPMorgan Chase (JPM 333.46, +2.32, +0.70%), escaped with gains, while Robinhood Markets (HOOD 105.20, +8.49, +8.78%) was one of the top-performing S&P 500 names after announcing it would eliminate 10% of its workforce against a backdrop of positive analyst commentary.

Electrical product names such as GE Vernova (GEV 1048.86, +66.51, +6.77%) and Vertiv (VRT 317.58, +17.98, +6.00%) contributed to the relative outperformance of the industrials sector, while semiconductor stocks also rebounded from yesterday's weakness.

While the afternoon selling pressure eroded the gain of the PHLX Semiconductor Index (+1.4%), it still finished firmly higher as investors bought into yesterday's weakness across semiconductor names.

That helped limit losses in the top-weighted information technology sector (-0.6%), which was weighted down by another weaker showing from the Magnificent Seven cohort today. Microsoft (MSFT 378.91, -14.92, -3.79%) was a laggard in the technology sector, while Meta Platforms (META 567.58, -32.63, -5.44%) weighed on the communication services sector (-3.0%), and Amazon (AMZN 237.50, -8.50, -3.46%) contributed to weakness in the consumer discretionary sector (-2.7%).

All seven Magnificent Seven stocks finished lower, and the Vanguard Mega Cap Growth ETF finished 1.4% lower. In other mega-cap news, SpaceX (SPCX 192.21, -9.59, -4.75%) finished lower for the first time after three consecutive sessions of sharp gains going back to its debut on Friday.

Elsewhere in the consumer discretionary sector, rate-sensitive names such as Carvana (CVNA 62.84, -7.20, -10.28%) and an assortment of homebuilder stocks lagged.

The real estate sector (-2.5%), which is also viewed as rate sensitive, underperformed as well.

Outside the S&P 500, the Russell 2000 (-0.7%) was a relative outperformer, while the S&P Mid Cap 400 (-1.2%) finished with a loss similar to those across the major averages.

Ultimately, the afternoon sell-off overshadowed what had been another constructive session for cyclical sectors, which benefited earlier in the day from stable oil prices as the market remains confident the proposed peace deal between the U.S. and Iran will be signed on Friday, even with President Trump levying threatening renewed military action if a deal is not struck. Instead, investors focused on the prospect of a higher-for-longer policy environment, with a more hawkish outlook and a lack of forward guidance diminishing the market's odds for a rate cut in 2026.

U.S. Treasuries had a mixed outing on Wednesday after sideways morning trade gave way to some post-FOMC volatility that produced losses in 10s and shorter tenors while the long bond outperformed. The 2-year note yield settled up 11 basis points to 4.16%, and the 10-year note yield settled up four basis points to 4.46%. 

• Russell 2000: +17.6% YTD
• S&P Mid Cap 400: +13.4% YTD
• Nasdaq Composite: +12.0% YTD
• S&P 500: +8.4% YTD
• DJIA: +7.1% YTD

Reviewing today's data:

• Weekly MBA Mortgage Applications Index -3.8%; Prior 10.8%
• May Retail Sales 0.9% (Briefing.com consensus 0.5%); Prior was revised to 0.4% from 0.5%, May Retail Sales, ex-auto 0.8% (Briefing.com consensus 0.5%); Prior 0.7%
  • The key takeaway from the report is that it shows real demand. The data are not adjusted for price changes, and retail sales activity in May outpaced the rate of inflation (+0.5%) in May. Moreover, excluding gasoline station sales (+3.4%), retail sales were still up 0.7%.
• April Business Inventories 0.5%; Prior was revised to 1.0% from 1.5%
• May Pending Home Sales 3.8% (Briefing.com consensus 0.9%); Prior was revised to 0.3% from 1.4%

Overseas:

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

Commodities:

• Crude Oil +0.03 @ 76.09
• Nat Gas -0.10 @ 3.14
• Gold +25.70 @ 4381.70
• Silver +0.35 @ 70.82
• Copper -0.01 @ 6.49

After-Hours Spotlight:

• Apple (AAPL): Tim Cook says Apple will raise prices due to memory chip crunch, according to WSJ...AAPL +0.4%
• Certara (CERT) announces that CFO John Gallagher intends to resign, effective July 14; reaffirms FY26 guidance...CERT flat
• Clorox (CLX) announces simplified operating structure to improve execution and accelerate growth; names Chris Hyder as COO...CLX +0.3%
• Innodata (INOD) appoints Jayant Chauhan as CFO; reaffirms FY26 guidance...INOD +1.0%
• Nucor (NUE) issues upside Q2 EPS guidance; Earnings in Q2 expected to increase all three operating segments...NUE +0.1%
• Rumble (RUM) announces closing of acquisition of Northern Data AG; Northern Data recently raised its FY26 revenue guidance to EUR 170-190 mln...RUM +3.8%
• Smith & Wesson Brands (SWBI) beats by $0.13, beats on revs...SWBI +13.4%
• SpaceX (SPCX) elects Roelof Botha as independent Common Stock Director...SPCX +1.0%
• Steel Dynamics (STLD) issues Q2 EPS guidance, which includes a charge related to asset write-downs; Q2 profitability from the company's steel operations is expected to be meaningfully higher than Q1 results...STLD -2.6%

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

• Earnings/Guidance (Full Earnings Calendar):
  • CarMax (KMX) beats by $0.35, beats on revs
  • Jabil (JBL) beats by $0.06, beats on revs; guides Q4 EPS above consensus, revs above consensus
  • La-Z-Boy (LZB) beats by $0.44, reports revs in-line; guides Q1 revs in-line
• General News
  • Iran to regain oil export rights as part of deal with the U.S. Bloomberg
  • New Fed Chairman Warsh presides over his first FOMC meeting. Bloomberg
  • AbCellera Biologics (ABCL): Jazz Pharmaceuticals and AbCellera Announce Collaboration to Discover Next-Generation T-cell Engaging Multispecific Antibodies
  • Aegon N.V. (AEG) strengthens leadership team and selects New York as location for its future headquarters
  • Aehr Test Systems (AEHR) receives follow-on silicon photonics order tied to AI data center buildout
  • Alphabet (GOOG): Further CMA action to secure a fairer deal for businesses and improve Google search services in UK
  • Amazon (AMZN) ticking slightly lower as company faces potential lawsuit from the FTC over claims company misled advertisers, according to Bloomberg
  • AMC Networks (AMCX) announces Hozefa Lokhandwala has joined the company as Chief Financial Officer, effective today
  • American Airlines (AAL) Chief Strategy Officer Stephen L. Johnson to retire
  • Anheuser-Busch InBev (BUD) Board has unanimously selected Dirk Van de Put, Independent Director since April 2023, as its new Chairman, effective 16 June 2026
  • ArcelorMittal (MT), thyssenkrupp Steel (TKAMY) and voestalpine call for pragmatic ETS reform, to secure the competitiveness of European steelmaking and help to accelerate decarbonisation
  • Ardmore Shipping (ASC) exercises options for two additional 40,500 dwt Handysize product/chemical tankers
  • Arqit Quantum (ARQQ) details settlement agreement - resolves the Federal Action for $7 mln
  • Array Tech (ARRY) announces launch of ARRAY DuraTrack D2S
  • Arvinas (ARVN) discloses that the company, Pfizer, and Rigel received notice that early termination of the waiting period under the Hart-Scott-Rodino Antitrust Improvements Act had been granted with respect to License Agreement transaction; Company and Pfizer eligible to to receive up to additional $320 mln in contingent payments
  • AST SpaceMobile (ASTS) launches three BlueBird satellites, advances network buildout
  • AT&T (T) discloses that CFO Pascal Desroches intends to retire; appoints Jennifer Biry as Deputy Chief Financial Officer
  • AutoZone (AZO) authorizes the repurchase of an additional $1.5 bln of common stock
  • BitGo Holdings (BTGO) expands digital payments reach through dtcpay partnership
  • Brazil Potash Corp. (GRO) announces award of second Front-End Engineering Design contract for mine shafts and underground development to WSP UK Ltd
  • Broadridge Financial (BR) has joined Anthropic's Project Glasswing; Strategic AI partnership helping secure critical software in the AI era
  • CareDx (CDNA) Announces Second KOAR Analysis Published in the Journal of the American Society of Nephrology
  • Collective Mining (CNL) provides progress update on exploration adit
  • Cronos Group (CRON) announces extension of share repurchase program to the Toronto Stock Exchange
  • Fermi America (FRMI) founder Neugebauer backs Double Eagle's Sellers to lead Fermi amid governance fight
  • FMC Corp (FMC) and Corteva (CTVA) announce a co-exclusive strategic supply and license agreement that will expand access to FMC's rimisoxafen technology across North and South America corn and soybean markets
  • Franco-Nevada (FNV) challenges Burkina Faso ruling on Karma stream
  • Glass House Brands (GLASF) restructures business and seeks NYSE listing
  • Graham (GHM) appointed Jonathan W. Painter as Chairman effective June 15, 2026
  • HSBC Holdings (HSBC) and Google (GOOG) Cloud form AI partnership to expand banking applications
  • IDEAYA Biosciences (IDYA) Board of Directors has elected Yujiro S. Hata, Chairman
  • Insight Molecular Diagnostics (IMDX): favorable head-to-head data on iMDx’s GraftAssure with competing NGS assay published in Clinical Chemistry
  • Intel (INTC) Foundry details process milestone and future innovation at VLSI Symposium
  • Jazz Pharmaceuticals (JAZZ) delivers extensive late-breaking data at SLEEP 2026, demonstrating real-world impact of Xywav on patient outcomes across narcolepsy and idiopathic hypersomnia
  • LPL Financial (LPLA) reports monthly activity for May 2026
  • Meta (META) executive complains about company's reorganization. Wired
  • Micropolis Robotics (MCRP) secures five-year Abu Dhabi autonomous services deal
  • Microsoft (MSFT) looking for Amazon's help handling GitHub's traffic. Business Insider
  • Microsoft (MSFT) may utilize DeepSeek in Copilot. Axios
  • NuScale Power (SMR) advances reactor control systems with Paragon contract
  • Ono Pharma's (OPHLY) Deciphera Pharmaceuticals announced the first patient was dosed in the global pivotal Phase 3 INTREPID study evaluating sapablursen for the treatment of polycythemia vera
  • Ouster (OUST) secures supply deal with AIM for autonomous heavy equipment
  • Palladyne AI (PDYN) awarded pair of contracts to research, develop, and operationally validate SwarmOS and Gremlin-X with U.S. Army warfighters
  • PayPal (PYPL) closing venture arm. Fortune
  • Rezolute (RZLT) Highlights Results Presented from Natural History Outcomes Studies and its Ersodetug Clinical Program in Hyperinsulinism at Annual Meeting of the Endocrine Society
  • Rigel (RIGL) Announces Closing of Licensing Agreement for VEPPANU (vepdegestrant)
  • Sphere Entertainment Co. (SPHR): The Wizard of Oz surpasses $400 mln in ticket sales
  • Spotify (SPOT) shareholders did not approve proposal regarding an artificial intelligence policy
  • Stellantis (STLA), Wayve and Uber (UBER) expand robotaxi alliance
  • Sun Life (SLF) and Medzown are collaborating to increase access to clinical trials for employees at self-insured employers across the country
  • Tigo Energy (TYGO) begins European shipments of residential battery system
  • Toyota Motor (TM) shareholders officially approved executive appointments, including re-electing Akio Toyoda as Chairman
  • Transocean (RIG) announces contract awards totaling $185 mln
  • Trident Digital Tech Holdings Ltd (TDTH) announces termination of deposit agreement, concurrent changes to share capital and direct listing of ordinary shares
  • Uber (UBER), Nuro Inc. and Lucid Group announce Houston as the second planned market for their robotaxi program
  • UCB SA (UCBJY) publishes long-term KYGEVVI data showing survival and functional benefits in rare mitochondrial disease
  • uniQure (QURE) announces that, during a recent Type B meeting with the U.S. Food and Drug Administration, the FDA communicated that the 3-year analysis from the Phase I/II study would be acceptable as the primary basis of a Biologics License Application for the accelerated approval of AMT-130 in Huntington’s disease
  • Verastem Oncology (VSTM) doses first patient in TARGET-D 201 Phase 2 Registration-Directed Trial of VS-7375 oral KRAS G12D (ON/OFF) inhibitor for KRAS G12D-mutated metastatic pancreatic cancer
  • Verastem Oncology (VSTM) reports updated results from RAMP 205 evaluating Avutometinib plus Defactinib in Combination with Standard-of-Care Chemotherapy in First-Line Metastatic Pancreatic Cancer
  • Viasat (VSAT) announces a strategic partnership with TiVo (TIVO), a wholly owned subsidiary of Xperi (XPER), to integrate the TiVo operating system as the connected TV platform across Viasat-delivered services worldwide
  • Volkswagen (VWAGY) using sealed-bid system to sell its engine unit. FT
  • WeRide (WRD) and Uber (UBER) target Swiss robotaxi launch later this year
  • W.P. Carey (WPC) tenant Hellweg Die Profi-Baumärkte GmbH & Co. KG filed for insolvency under self-administration; maintaining 2026 AFFO guidance
  • WW (WW) and CheqUp expand partnership to deliver holistic support for weight health in the UK

• Upgrades:
  • Carter's (CRI) upgraded to Equal Weight from Underweight at Wells Fargo, tgt $42
    
  • Charles River Laboratories (CRL) upgraded to Overweight from Equal Weight at Morgan Stanley, tgt $220
    
  • Credicorp (BAP) upgraded to Overweight from Equal Weight at Morgan Stanley, tgt $480
    
  • Huntsman (HUN) upgraded to Neutral from Underperform at Mizuho, tgt $14
    
  • Macerich (MAC) upgraded to Neutral from Underweight at JPMorgan, tgt $25
    
  • MFA Financial (MFA) upgraded to Buy from Neutral at BTIG Research, tgt $10.50
    
  • TPG Mortgage Investment Trust (MITT) upgraded to Buy from Neutral at BTIG Research, tgt $9
    
  • Wabash (WNC) upgraded to Buy from Neutral at DA Davidson, tgt $20
• Downgrades:
  • Cognizant Technology (CTSH) downgraded to Hold from Buy at Berenberg, tgt $59
    
  • Ellington Financial (EFC) downgraded to Neutral from Buy at BTIG Research
    
  • Ermenegildo Zegna (ZGN) downgraded to Neutral from Buy at Goldman, tgt $14
    
  • IQVIA (IQV) downgraded to Equal Weight from Overweight at Morgan Stanley, tgt $200
    
  • Leidos (LDOS) downgraded to Neutral from Buy at BofA Securities, tgt $125
    
  • ResMed (RMD) downgraded to Equal Weight from Overweight at Morgan Stanley, tgt $230
    
  • Rexford Industrial Realty (REXR) downgraded to Underweight from Neutral at JPMorgan, tgt $36
• Others:
  • Allegiant Travel (ALGT) reinstated with a Buy at Goldman, tgt $125
    
  • ATS Corporation (ATS) initiated with a Buy at Desjardins
    
  • Bloom Energy (BE) initiated with a Market Perform at Bernstein, tgt $276
    
  • BrightView Holdings (BV) initiated with an Outperform at Oppenheimer, tgt $17
    
  • CareTrust REIT (CTRE) resumed with an Outperform at Raymond James, tgt $43
    
  • Cheniere Energy (LNG) initiated with a Market Perform at Bernstein, tgt $283
    
  • Chiron Real Estate (XRN) initiated with a Market Perform at Raymond James
    
  • Constellation Energy (CEG) initiated with an Outperform at Bernstein, tgt $296
    
  • Enphase Energy (ENPH) initiated with a Market Perform at Bernstein, tgt $56
    
  • Fervo Energy (FRVO) initiated with an Outperform at Bernstein, tgt $47
    
  • Figma (FIG) initiated with a Buy at Citigroup, tgt $36
    
  • First Solar (FSLR) initiated with an Underperform at Bernstein, tgt $217
    
  • GE Vernova (GEV) initiated with an Outperform at Bernstein, tgt $1,206
    
  • Healthcare Realty Trust (HR) resumed with an Outperform at Raymond James, tgt $24
    
  • Healthpeak Properties (DOC) resumed with a Market Perform at Raymond James
    
  • Hemab Therapeutics (COAG) initiated with a Buy at H.C. Wainwright, tgt $40
    
  • Janus Living (JAN) initiated with a Strong Buy at Raymond James, tgt $34
    
  • Nano Nuclear Energy (NNE) initiated with a Buy at Roth Capital, tgt $45
    
  • NeoVolta (NEOV) initiated with a Buy at Needham, tgt $8
    
  • NextEra Energy (NEE) initiated with an Outperform at Bernstein, tgt $107
    
  • Omega Healthcare Investors (OHI) resumed with an Outperform at Raymond James, tgt $50
    
  • Ormat Technologies (ORA) initiated with an Underperform at Bernstein, tgt $115
    
  • Sabra Health Care REIT (SBRA) resumed with an Underperform at Raymond James
    
  • T1 Energy (TE) initiated with a Market Perform at Bernstein, tgt $9
    
  • Tyra Biosciences (TYRA) initiated with a Buy at JonesResearch, tgt $56
    
  • Venture Global (VG) initiated with a Market Perform at Bernstein, tgt $14
    
  • Ventas (VTR) resumed with an Outperform at Raymond James, tgt $94
    
  • Vistra (VST) initiated with an Outperform at Bernstein, tgt $187
    
  • Welltower (WELL) resumed with an Outperform at Raymond James, tgt $226

• Econ Data (Thursday):
  • 8:30 ET: June Philadelphia Fed survey (Briefing.com consensus 10.0; prior -0.4), weekly Initial Claims (Briefing.com consensus 226,000; prior 229,000), and Continuing Claims (prior 1.795 mln)
  • 10:30 ET: Weekly natural gas inventories (prior 108 bcf)
  • 16:00 ET: April Net Long-Term TIC Flows (prior $81.3 bln)

• Earnings:
  • Monday (June 15)
    • Pre-Market: None
    • After-Hours: PLAY
      
    Tuesday (June 16)
    • Pre-Market: WLY
    • After-Hours: LZB
      
  • Wednesday (June 17)
    • Pre-Market: KMX, JBL
      
    • After-Hours: SWBI
      
  • Thursday (June 18)
    • Pre-Market: ACN KR
    • After-Hours: None
  • Friday (June 19)
    • Pre-market: None
    • After-Hours: None