After Hours Report

The major averages extended their losing streak to three sessions on Thursday as another surge in crude oil, rising Treasury yields, and heightened expectations for a rate hike continued to weigh on equities. The S&P 500 (-0.6%), Nasdaq Composite (-0.7%), and DJIA (-0.6%) finished with similar losses, while the Russell 2000 (-1.0%) and S&P Mid Cap 400 (-0.9%) underperformed.

Oil prices remained at the center of the market's concerns and continued climbing throughout the afternoon as an off-ramp to the U.S.-Iran conflict remained elusive. WTI crude settled $6.32 higher (+6.6%) at $102.30 per barrel, bringing its gain for the holiday-abbreviated week to roughly 11.5%. The latest advance compounded the oil-driven pressure that has weighed on equities throughout the week. Treasury yields presented another obstacle, with the 10-year note yield climbing 11 basis points to 4.94%.

Expectations for tighter monetary policy also increased following this morning's August Producer Price Index. Headline PPI rose 0.4% month-over-month, matching the Briefing.com consensus, while core PPI increased a slightly cooler-than-expected 0.2% (Briefing.com consensus: 0.3%). However, upward revisions to the July readings and an acceleration in year-over-year producer inflation reinforced expectations for a possible rate hike at next week's FOMC meeting. The CME FedWatch Tool assigned a 73.1% probability to a rate hike following the report, up from 61.2% yesterday.

The pressure remained widespread through the close, with nine of the 11 S&P 500 sectors finishing lower. The materials sector (-1.5%) ended at the bottom of the standings amid declining precious metal prices with particular weakness in copper.

Meanwhile weakness in the information technology sector (-0.9%) had an outsized influence on the major averages. Semiconductor stocks were a particular source of weakness after providing relative support during the first two sessions of the week. The PHLX Semiconductor Index dropped 2.7%, with NVIDIA (NVDA 218.40, -5.27, -2.36%) among the notable mega-cap laggards. Taiwan Semiconductor Manufacturing (TSM 428.31, -7.05, -1.62%) also declined despite reporting a 53.3% year-over-year increase in August revenue to NT$514.81 billion, as the stock gave back some ground following its strong recent run.

Skyworks (SWKS 84.03, +7.49, +9.79%) and Qorvo (QRVO 112.36, +7.12, +6.77%) bucked the broader semiconductor weakness, however, as shares rallied amid increased investor optimism that their proposed merger will ultimately close.

Earnings-related selling added to the weakness in several individual names. Cooper (COO 54.17, -9.31, -14.67%) fell sharply after its Q3 revenue miss and downside Q4 guidance highlighted a steeper near-term slowdown at CooperVision. American Eagle (AEO 14.54, -2.35, -13.91%) was another pronounced laggard following its quarterly results, as continued softness at the American Eagle brand and a modest reduction to back-half operating income expectations overshadowed strength at Aerie. Several other apparel stocks traded lower in sympathy.

There were some pockets of strength outside the technology sector. Reddit (RDDT 155.36, +8.92, +6.09%) ranked among the better-performing S&P 500 components, while Comcast (CMCSA 25.17, +0.58, +2.36%) and CHTR rebounded from Wednesday's declines. Both stocks had come under pressure in the prior session after Comcast highlighted heightened "competitive intensity" during comments at the Goldman Sachs Communacopia + Technology Conference. The communication services sector finished 0.3% higher, while the consumer staples sector (+0.2%) also finished modestly higher.

Attention now turns to a pair of potentially significant catalysts. Oracle (ORCL 153.17, -8.46, -5.23%) reports earnings after today's close and faces elevated expectations surrounding its rapidly expanding AI infrastructure business and massive data center buildout. Investors will be looking for continued cloud acceleration as new capacity comes online, along with evidence that the company's heavy infrastructure investment is progressing as planned.

Tomorrow morning's August CPI report (Briefing.com consensus: 0.4%) carries even broader implications. The report is widely viewed as a key deciding factor in whether the Fed raises rates or remains on hold at next week's FOMC meeting, putting inflation and the policy outlook squarely in focus following three consecutive losing sessions for the stock market.

Selling in U.S. Treasuries on Thursday produced yet another round of fresh 2026 highs in yields on notes and bonds of all tenors.  Today's strong 30-year bond reopening briefly returned the 30-year yield to its opening level before late pressure lifted that yield to within five basis points of its high from 2007 (5.408%). The 2-year note yield settled up 12 basis points to 4.55%, and the 10-year note yield settled up 11 basis point to 4.94%.

• Russell 2000: +16.5% YTD
• Nasdaq Composite: +12.2% YTD
• S&P Mid Cap 400: +11.5% YTD
• S&P 500: +10.9% YTD
• DJIA: +8.3% YTD

Reviewing today's data: 

• August PPI 0.4% (Briefing.com consensus 0.4%); Prior was revised to 0.1% from 0.0%, August Core PPI 0.2% (Briefing.com consensus 0.3%); Prior was revised to 0.3% from 0.2%
  • The key takeaway from the report is that while the slightly cooler-than-expected core PPI was a positive sight, it was essentially masked by the upward revisions to readings for July, so this report reinforces the market's expectations for a rate hike as early as next week.
• Weekly Initial Claims 206K (Briefing.com consensus 208K); Prior was revised to 207K from 206K, Weekly Continuing Claims 1.774 mln; Prior was revised to 1.775 mln from 1.779 mln
  • The key takeaway from the report is that initial claims remain locked in a narrow range right on their four-week moving average, signaling little overall change in layoff activity.
• August Existing Home Sales 3.98 mln (Briefing.com consensus 4.03 mln); Prior 4.06 mln
  • The key takeaway from the report is that home sales remain pressured by high mortgage rates and limited inventory, especially at the lower end. Sales of homes priced at $500,000 and below have faced the most pressure while sales of homes priced over $1 million have were up 3.9% year-over-year in August.
• July Wholesale Inventories 1.3% (Briefing.com consensus 1.3%); Prior was revised to 0.4% from 0.2%

 Overseas:

• Europe: DAX -0.7%, FTSE -0.6%, CAC -0.5%
• Asia: Nikkei +0.2%, Hang Seng -1.3%, Shanghai -0.4%

Commodities:

• Crude Oil +6.32 @ 102.39
• Nat Gas +0.02 @ 2.84
• Gold -51.80 @ 4408.00
• Silver -3.77 @ 64.91
• Copper -0.34 @ 6.55

After-Hours Spotlight:

• Adobe (ADBE) beats by $0.05, reports revs in-line; guides Q4 EPS in-line, revs in-line...ADBE -2.4%
• Celsius (CELH): CEO bought 18000 shares at $27.44 worth ~$494K...CELH +1.7%
• Copart (CPRT) misses by $0.03, reports revs in-line; to acquire ACV for $10.50/share in cash, representing implied equity value of $1.9 bln...CPRT +7.4%
• Frequency Electronics, Inc. (FEIM) Announces First Quarter of Fiscal Year 2027 Financial Results...FEIM +27.0%
• Oracle (ORCL) beats by $0.18, beats on revs; guides Q2 EPS in-line, revs in-line; guides FY27 EPS above consensus, revs in-line...ORCL +6%
• Reformation (REF) beats by $0.02, reports revs in-line; guides FY26 revs above consensus...REF +0.9%
• RH (RH) beats by $2.32, reports revs in-line; guides Q3 revs below consensus; guides FY27 revs above consensus...RH +7.1%
• Robinhood Markets (HOOD) reports August operating data...HOOD -1.1%
• Zumiez (ZUMZ) misses by $0.03, misses on revs; provides Q3 (Sep) and FY26 guidance...ZUMZ -16.2%

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

• Earnings/Guidance (Full Earnings Calendar):
  • 1-800-FLOWERS (FLWS) reports Q4 results
  • AeroVironment (AVAV) beats by $0.37, beats on revs; provides FY27 guidance
  • American Eagle (AEO) beats by $0.57, beats on revs
  • Burning Rock Biotech (BNR) reports Q2 results
  • Cadeler A/S (CDLR) provides an update on its outlook for 2026, revising upwards its full-year revenue and EBITDA guidance
  • ChipMOS TECHNOLOGIES (IMOS) reports 33.3% yr/yr increase in August 2026 revenue
  • Cooper (COO) beats by $0.03, misses on revs; guides Q4 EPS below consensus, revs below consensus; reaffirms long-term free cash flow objective exceeding $2.2 bln for FY26-FY28
  • Designer Brands (DBI) reports second quarter of 2026 financial results; Raising full year guidance following strong operating performance and positive start to third quarter
  • Elevance Health to reaffirm guidance at conferences (ELV)
  • HIVE Digital Technologies (HIVE) surpasses $1 million in average daily revenue
  • JetBlue Airways (JBLU) raises Q3 revenue outlook on strong demand; weather and fuel drive higher costs
  • Labcorp Holdings Inc. (LH) reaffirms FY26 guidance and provides long-term outlook ahead of today's Investor Day
  • Limoneira Company (LMNR) Announces Third Quarter Fiscal Year 2026 Financial Results
  • Lovesac (LOVE) beats by $0.87, misses on revs; provides Q3 (Sep) and FY27 guidance
  • Macy's (M) beats by $0.26, beats on revs; guides FY27 EPS in-line, revs in-line
  • MasterCraft (MCFT) beats by $0.05, beats on revs; guides Q1 EPS above consensus, revs above consensus
  • Middleby (MIDD) reaffirms Q3 and FY26 guidance
  • Navan (NAVN) beats by $0.01, beats on revs; provides Q3 (Sep) and FY27 guidance
  • Shoe Station Group (SHOE) misses by $0.11, misses on revs; guides FY27 EPS below consensus, revs below consensus
  • Taiwan Semiconductor Manufacturing (TSM) reports August revenue surges 53% yr/yr
  • Wealthfront (WLTH) reports Q2 (Jul) results, revs in-line
  • Yuanbao (YB) announces second quarter 2026 unaudited financial results
• General News
  • Swarmer to acquire Ukraine UGV maker Ratel Robotics for up to $224 mln
  • President Trump teases $5,000 dividend Bloomberg
  • Energy Transfer moving listing from NYSE to Texas Stock Exchange WSJ
  • Accenture selected by MotoGP for next-gen direct-to-fan streaming platform (ACN)
  • Adobe: OpenAI limits ChatGPT ads for certain competing AI products from Adobe and others, according to The Information (ADBE)
  • AeroVironment lands first international LOCUST laser weapon order worth more than $50 mln (AVAV)
  • AI researcher leaving Meta (META) Semafor
  • Argan increases quarterly cash dividend to $0.70/share from $0.50/share (AGX)
  • Ascendis presents infant Phase 2 TransCon CNP data in achondroplasia at ESPE (ASND)
  • Bayer AG (BAYRY) receives FDA accelerated approval for HYRNUO as first-line HER2-mutated lung cancer therapy
  • CAMP4 Therapeuticsm has received authorization from the United Kingdom’s Medicines and Healthcare Products Regulatory Agency to include UK sites in the Company’s global Phase 1/2 clinical trial of CMP-002, a potential first-in-class, disease-modifying therapeutic candidate for patients with SYNGAP1-related disorder (CAMP)
  • Chemours, DuPont (DD) and Corteva (CTVA) reach $455 mln North Carolina PFAS settlement
  • Commerce.com unveils cost-cutting plan, authorizes $50 mln buyback (CMRC)
  • Compass Pathways selects Fluence for post-approval COMP360 provider training (CMPS)
  • CooperCompanies (COO) completes review, keeps CooperSurgical and boosts buyback authorization to $3 bln from $2 bln
  • COPT Defense says 3Q vacancy leasing reached 177,000 sq. ft. to date; starts $88 mln of Redstone Gateway projects (CDP)
  • Definium to present Phase 3 DT120 topline data in GAD and MDD at Psych Congress (DFTX)
  • Dell sells $5 bln of debt (DELL) Bloomberg
  • Disc Medicine posts initial Phase 2 RESTORE-PV data for DISC-3405 in polycythemia vera (IRON)
  • DuPont also confirms Chemours (CC), Corteva (CTVA) reach North Carolina PFAS settlement
  • Fortune Brands Innovations (IEX) names Peter Clifford CFO
  • Genius Sports teams with Equativ, StackAdapt on live sports moment targeting (GENI)
  • Granite (GVA) wins $23.7 mln Glacier National Park road rehabilitation contract
  • Grupo Financiero Galicia (GGAL) provides litigation update
  • InterDigital increases quarterly dividend to $0.75/share from $0.70/share (IDCC)
  • Jacobs (J) wins 5.5-year Oklahoma City wastewater O&M contract
  • Kinetik weighing alternatives, including possible sale, according to Bloomberg (BX)
  • Lockheed Martin awarded a $257.3 mln modification to previously awarded Navy contract (LMT)
  • Lockheed Martin awarded a $825.9 mln modification to previously awarded Air Force contract (LMT)
  • Magnite expands ITN partnership with agentic AI workflow for local linear TV (MGNI)
  • Motorola Solutions boosts share repurchase authorization by $2 bln (MSI)
  • Nasdaq to invest $100 mln in Payward, expands tokenized equities and surveillance tie-up (NDAQ)
  • Novartis shareholder looking for Board changes (NVS) Reuters
  • NVIDIA partners with Australian data center group on up to 2-GW AI buildout by 2027 (NVDA)
  • OpenAI broadens cooperation with Samsung (MSFT, SSNLF) Reuters
  • Palantir renews and expands Fujitsu enterprise AI partnership (PLTR)
  • Palantir, NVIDIA partner on sovereign AI stack for supply chains (NVDA)
  • Pasqal Holding SA (PSQL) announces the signing of a three-year Memorandum of Understanding (MoU) with LG CNS
  • Pipeline operator Kinetik exploring sale (KNTK) Bloomberg
  • Prelude Therapeutics (PRLD) announces that the U.S. FDA cleared the Company to proceed with a Phase 1 study under its Investigational New Drug Application for PRT13722, an oral KAT6A selective degrader being developed for the treatment of patients with HR+/HER2- breast cancer
  • Qnity Electronics established an indemnification liability of $43 mln, which remains unchanged, and represents the Applicable Qnity Percentageof 44% of DuPont's a(DD) fter-tax liability for this Settlement
  • Syntec Optics (OPTX) announces that the company more than doubled its purchase orders—worth over $9 million—to supply defense equipment, up from its Q1 announcement about orders for diverse defense platforms
  • Teledyne (TDY) wins $15.4 mln unmanned-systems contract in Europe
  • Tempus (TEM) wins up to $9.5 mln ARPA-H award for autonomous heart-failure AI agent
  • Village Farms (VFF) names Hamid Shekarchi interim CFO
  • Volkswagen estimates cost of job cuts and plant closures (VWAGY) Reuters
  • WTW partners with Lyzr on agentic AI workforce transformation offering

• Upgrades:
  • Block (XYZ) upgraded to Buy from Hold at StoneX, tgt $105
  • Casey's General Stores (CASY) upgraded to Outperform from Market Perform at Raymond James, tgt $750
  • DT Midstream (DTM) upgraded to Overweight from Equal Weight at Morgan Stanley, tgt $170
  • Herc Holdings (HRI) upgraded to Overweight from Neutral at JPMorgan, tgt $175
  • Kymera Therapeutics (KYMR) upgraded to Outperform from Peer Perform at Wolfe Research, tgt $180
  • Meta Platforms (META) upgraded to Overweight from Neutral at JPMorgan, tgt $820
  • Novartis (NVS) upgraded to Hold from Reduce at HSBC
  • Orchestra BioMed (OBIO) upgraded to Buy from Neutral at BTIG, tgt $10
  • PACCAR (PCAR) upgraded to Outperform from Sector Perform at RBC Capital, tgt $150
  • Simmons First National (SFNC) upgraded to Outperform from Market Perform at Keefe, Bruyette & Woods, tgt $26
  • Synopsys (SNPS) upgraded to Overweight from Equal Weight at Wells Fargo, tgt $475
  • Yum! Brands (YUM) upgraded to Overweight from Equal Weight at Wells Fargo, tgt $175
• Downgrades:
  • AngloGold Ashanti (AU) downgraded to Market Perform from Outperform at BMO Capital, tgt $115
  • BioCryst Pharmaceuticals (BCRX) downgraded to Sector Perform from Outperform at RBC Capital, tgt $11
  • Bowhead Specialty (BOW) downgraded to Market Perform from Outperform at Citizens
  • Chewy (CHWY) downgraded to In Line from Outperform at Evercore ISI, tgt $25
  • Cooper Companies (COO) downgraded to Neutral from Buy at BofA, tgt $65
  • Cooper Companies (COO) downgraded to Neutral from Outperform at Robert W. Baird, tgt $61
  • Cooper Companies (COO) downgraded to Neutral from Overweight at Piper Sandler, tgt $59
  • Uber (UBER) downgraded to Neutral from Buy at Arete, tgt $74
  • United Rentals (URI) downgraded to Neutral from Overweight at JPMorgan, tgt $1,170
• Others:
  • 908 Devices (MASS) initiated with a Buy at Canaccord, tgt $13.50
  • Adagene (ADAG) initiated with a Buy at Chardan, tgt $9
  • Adlai Nortye (ANL) initiated with a Buy at Jefferies, tg
  • Aehr Test Systems (AEHR) initiated with an Outperform at Oppenheimer, tgt $120
  • Amer Sports (AS) initiated with a Buy at BTIG, tgt $42
  • Amer Sports (AS) resumed with an Equal Weight at Morgan Stanley, tgt $31
  • AMD (AMD) initiated with an Overweight at Piper Sandler, tgt $600
  • Antero Resources (AR) resumed with a Hold at Stifel, tgt $42
  • APA Corp. (APA) initiated with a Buy at Stifel, tgt $62
  • Arm Holdings (ARM) initiated with an Overweight at Piper Sandler, tgt $320
  • Broadcom (AVGO) initiated with an Overweight at Piper Sandler, tgt $460
  • California Resources (CRC) resumed with a Buy at Stifel, tgt $68
  • CareTrust REIT (CTRE) initiated with an Outperform at Huntington, tgt $44
  • Chiron Real Estate (XRN) initiated with a Market Perform at Huntington, tgt $37
  • Chord Energy (CHRD) resumed with a Buy at Stifel, tgt $182
  • Clean Harbors (CLH) initiated with an Outperform at William Blair
  • Coinbase (COIN) initiated with an Equal Weight at Morgan Stanley, tgt $250
  • Diamondback Energy (FANG) resumed with a Buy at Stifel, tgt $259
  • Devon Energy (DVN) resumed with a Buy at Stifel, tgt $61
  • Driven Brands (DRVN) resumed with an Underperform at BofA, tgt $12
  • Energy Transfer (ET) resumed with a Buy at Stifel, tgt $25
  • EOG Resources (EOG) resumed with a Hold at Stifel, tgt $158
  • Enterprise Products (EPD) resumed with a Hold at Stifel, tgt $40
  • FatPipe (FATN) initiated with a Buy at Roth Capital, tgt $8
  • FedEx Freight (FDXF) initiated with a Market Perform at Bernstein, tgt $133
  • Fervo Energy (FRVO) initiated with an Outperform at Northland, tgt $27
  • Gulfport Energy (GPOR) initiated with a Hold at Stifel, tgt $193
  • Intel (INTC) initiated with a Neutral at Piper Sandler, tgt $110
  • Janus Living (JAN) initiated with an Outperform at Huntington, tgt $36
  • Kinder Morgan (KMI) resumed with a Hold at Stifel, tgt $35
  • Knight-Swift (KNX) initiated with an Outperform at Bernstein, tgt $91
  • LTC Properties (LTC) initiated with an Outperform at Huntington, tgt $47
  • Mach Natural Resources (MNR) resumed with a Buy at Stifel, tgt $15
  • Marvell Technology (MRVL) initiated with an Overweight at Piper Sandler, tgt $270
  • MPLX (MPLX) resumed with a Hold at Stifel, tgt $65
  • National Health Investors (NHI) initiated with an Outperform at Huntington, tgt $79
  • Nebius Group (NBIS) initiated with a Buy at Truist, tgt $355
  • Nike (NKE) resumed with an Underweight at Morgan Stanley, tgt $31
  • NVIDIA (NVDA) initiated with an Overweight at Piper Sandler, tgt $300
  • Old Dominion (ODFL) initiated with a Market Perform at Bernstein, tgt $200
  • ONEOK (OKE) resumed with a Hold at Stifel, tgt $105
  • On Holding (ONON) resumed with an Overweight at Morgan Stanley, tgt $39
  • Ovintiv (OVV) initiated with a Buy at Stifel, tgt $92
  • Permian Resources (PR) resumed with a Buy at Stifel, tgt $30
  • Qualcomm (QCOM) initiated with a Neutral at Piper Sandler, tgt $190
  • Range Resources (RRC) resumed with a Hold at Stifel, tgt $46
  • RELX (RELX) initiated with a Buy at TD Cowen
  • Revolution Medicines (RVMD) initiated with an Overweight at Morgan Stanley, tgt $255
  • Sabra Healthcare REIT (SBRA) initiated with an Outperform at Huntington, tgt $23
  • Saia (SAIA) initiated with an Outperform at Bernstein, tgt $439
  • SK Hynix (SKHY) initiated with an Overweight at JPMorgan, tgt $245
  • StepStone Group (STEP) initiated with an Outperform at RBC Capital, tgt $65
  • Strawberry Fields REIT (STRW) initiated with a Market Perform at Huntington, tgt $15
  • Targa Resources (TRGP) resumed with a Buy at Stifel, tgt $340
  • TXO Partners (TXO) resumed with a Buy at Stifel, tgt $17
  • Under Armour (UAA) resumed with an Equal Weight at Morgan Stanley, tgt $4
  • Western Midstream Partners (WES) resumed with a Buy at Stifel, tgt $55
  • WhiteHawk Minerals (WHK) resumed with a Buy at Stifel, tgt $32
  • Williams Companies (WMB) resumed with a Buy at Stifel, tgt $85
  • XPO (XPO) initiated with an Outperform at Bernstein, tgt $244

• Econ Data (Friday):
  • 8:30 ET: August CPI (Briefing.com consensus 0.4%; prior 0.1%) and Core CPI (Briefing.com consensus 0.2%; prior 0.2%) 
  • 10:00 ET: Preliminary September University of Michigan Consumer Sentiment (Briefing.com consensus 51.5; prior 51.7)
  • 14:00 ET: August Treasury Budget (Briefing.com consensus -$485.0 bln; prior -$432.3 bln)

• Earnings:
  • Monday (September 7)
    • Pre-Market: None
    • After-Hours: None
  • Tuesday (September 8)
    • Pre-Market: ABM, GME, UNFI
    • After-Hours: AVO, BRZE, CASY, TTAN
  • Wednesday (September 9)
    • Pre-Market: ASO, CAL, CHWY, CNM, JMKE, KFY, ODD, SAIL, SIG, SUNB
    • After-Hours: AEO, AVAV, COO, NAVN, WLTH
  • Thursday (September 10)
    • Pre-Market: LOVE, M, MCFT, SHOE
    • After-Hours: ADBE, CPRT, DSGX, ORCL, REF, RH, ZUMZ
  • Friday (September 11)
    • Pre-market: KR
    • Afternoon: None