After Hours Report

The major averages recovered from a sharp morning decline to finish little changed on Thursday, as crude oil retreated substantially from its session high and alleviated one of the pressures that weighed on stocks early in the day. The S&P 500 and Nasdaq Composite ended flat, while the DJIA (-0.3%) logged a modest loss. The Russell 2000 (-0.1%) also finished near its flat line, while the S&P Mid Cap 400 declined 0.4%.

The session began on a considerably weaker note as crude oil surged above $96 per barrel and Treasury yields remained at multi-year highs. The combination weighed particularly heavily on growth stocks, sending the Nasdaq firmly lower and producing broad losses across the market. The tone improved considerably after a Reuters report indicated that a potential phased reopening of the Strait of Hormuz is being discussed. Oil quickly backed away from its highs, easing concerns that another sharp increase in energy prices would add to inflation pressures. WTI crude ultimately settled $2.22 higher (+2.4%) at $94.68 per barrel, still well below its intraday peak.

Treasury yields remained another significant headwind, with an attempted recovery in Treasuries ultimately failing amid concerns about additional Fed tightening, elevated government debt levels, and another soft Treasury auction. New York Fed President John Williams (voting FOMC member) said it is reasonable to expect another rate increase this year, while Philadelphia Fed President Anna Paulson (voting FOMC member) said that "some modest further tightening may be warranted" if conditions evolve as she expects.

The continued pressure on Treasuries made the recovery in technology and other growth stocks more notable, as those groups rebounded even without meaningful relief from the recent backup in rates. The information technology sector (-0.3%) consequently finished with a relatively modest loss after being down more than 1.0% earlier, while the PHLX Semiconductor Index (-0.3%) staged a similarly sharp recovery. Oracle (ORCL 139.52, -5.04, -3.48%) remained a notable laggard after Bloomberg reported that the company sent a "force majeure" notice to the developer of its New Mexico data center project.

Meta Platforms (META 777.59, +33.49, +4.50%) moved firmly in the opposite direction and provided an outsized boost to the major averages. Shares reached year-to-date highs and extended their gain since the beginning of September to roughly 36%, with the rally accelerating following the launch of Muse. The early reception to the AI agent has given investors a clearer path toward monetizing META's substantial AI investments, helping propel the communication services sector (+1.9%) to the top of the standings.

The health care sector (+0.7%) was another standout, supported by continued strength in Moderna (MRNA 194.82, +12.71, +6.98%) and Eli Lilly (LLY 1183.79, +32.80, +2.85%), while the energy sector (+0.4%) finished higher alongside the increase in crude oil. The financials sector ended flat.

Most other areas remained in negative territory despite the recovery in the headline averages. The materials (-1.0%), utilities (-1.0%), and consumer staples (-1.0%) sectors recorded the widest losses, followed by the industrials sector (-0.7%) and real estate sector (-0.4%). That weakness was reflected in market breadth, with decliners outpacing advancers by nearly 2-to-1 on the NYSE and roughly 3-to-2 on the Nasdaq late in the session.

There were also several pronounced stock-specific moves. Everpure (P 121.83, +12.18, +11.11%) surged to record highs following a bullish Analyst Day, while MGM Resorts (MGM 33.68, -4.17, -11.02%) was among the S&P 500's weakest performers after confirming that People Incorporated (PPLI 35.93, -0.04, -0.11%) withdrew its acquisition proposal.

Thursday's session ultimately looked considerably different at the close than it did near the morning lows. The retreat in oil from above $96 per barrel helped alleviate one of the market's primary early pressures, allowing technology, semiconductors, and mega-cap stocks to recover much of their early weakness despite Treasury yields remaining elevated. That helped the S&P 500 and Nasdaq erase their losses, although negative breadth and declines across most sectors pointed to a weaker underlying session than their flat finishes suggested.

U.S. Treasuries tried to recover from yesterday's sell-off, but that effort ultimately failed, even as reports suggested the U.S. and Iran are exploring discussions about a phased reopening of the Strait of Hormuz.  Like yesterday's 5-year note auction, today's $44 billion 7-year note auction saw some relatively soft dollar demand and foreign interest. Renewed selling hit the market after the results were released at 1:00 p.m. ET and left most securities at, or near, their highs for the session at the cash close. The 2-year note yield setteld up two basis points to 4.91%, and the 10-year note yield settled up seven basis points to 5.18%. 

• Nasdaq Composite: +15.9% YTD
• Russell 2000: +14.4% YTD
• S&P 500: +12.5% YTD
• S&P Mid Cap 400: +10.1% YTD
• DJIA: +6.8% YTD

Overseas:

• Europe: DAX -0.6%, FTSE -0.2%, CAC -0.5%
• Asia: Nikkei +0.8%, Hang Seng -0.3%, Shanghai -1.2%

Commodities:

• Crude Oil +2.22 @ 94.68
• Nat Gas +0.22 @ 3.37
• Gold -18.70 @ 4229.30
• Silver -0.96 @ 63.98
• Copper +0.03 @ 6.78

After-Hours Spotlight:

• Akamai (AKAM) signs $11.6 bln seven-year cloud deal with Anthropic...AKAM +18.6%
• Costco (COST) beats by $0.21, reports revs in-line, comparable sales on an adjusted basis of +6.7%...COST flat
• Lear (LEA) boosts buyback authorization to $1.5 bln, extends program through 2029...LEA +1.1%
• Rocket Lab (RKLB) / Iridium (IRDM): Iridium holders approve merger...RKLB +0.9%
• Scholastic Corp (SCHL) reports fiscal 2027 first quarter results...SCHL -12.6%
• Select Water Solutions (WTTR) to acquire Pilot Water Solutions in $700 mln cash-and-stock deal...WTTR +12.9%
• STAAR Surgical (STAA) authorizes $50 mln share repurchase program...STAA +4.8%
• Zscaler (ZS) names Ross Tackett chief revenue officer, effective Oct. 1...ZS -3.6%

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

• Earnings/Guidance (Full Earnings Calendar):
  • BlackBerry (BB) beats by $0.03, beats on revs; guides Q3 EPS in-line, revs in-line; guides FY27 EPS in-line, revs above consensus
  • CAVA (CAVA) Group commemorates its 500-restaurant footprint and is ahead of schedule and poised to surpass its goal of 1,000 restaurants by 2032; Says new restaurant productivity remains above 100%
  • Darden Restaurants (DRI) reports EPS in-line, revs in-line, blended same-restaurant sales increased 3.1%; reaffirms FY27 EPS guidance
  • Ducommun (DCO) unveils VISION 2032 growth plan at Investor Day, expands M&A target range to $300-500 mln
  • Everpure (P) reaffirms FY27 outlook and provides preliminary FY28 view at its Financial Analyst Meeting
  • H.B. Fuller (FUL) beats by $0.05, misses on revs; provides FY26 guidance
  • Kinross Gold (KGC) provides operational and return of capital update
  • Minerals Tech (MTX) reiterates long-term targets and shares several breakthrough innovations at Investor Day
  • Pasqal (PSQL) reports first half 2026 financial results
  • Stitch Fix (SFIX) beats by $0.04, misses on revs; provides Q1 (Mar) and FY27 guidance
  • TD Synnex (SNX) beats by $0.98, beats on revs
  • TransUnion (TRU) reaffirms guidance in connection with CFO transition
  • Wabash Natl (WNC) provides investor updates in presentation with Q3 outlook
• General News
  • National Economic Council Director Kevin Hassett questioning Federal Reserve's decision to raise interest rates in an inflation environment he describes as "subdued"
  • HUTCHMED highlights clinical data to be presented at the ESMO Congress 2026
  • New York Fed President John Williams (voting FOMC member) says it is reasonable to expect another rate increase this year. CNBC
  • Treasury Secretary Scott Bessent says the U.S. & China agreed to extend the trade truce until January 10. China could also make additional announcements in coming days around agriculture purchases and potential deals in the financial services sector. He said if there is an Iran deal, he "guarantees" Iran will stick to it. He said the U.S. is helping escort 10-17 million barrels of oil out of the Strait of Hormuz everyday. Fox News
  • Positive views on NEE, CRK, ENB, TRP, EXE, AEP . Barron's
  • China takes possession of sensitive F-35 stealth aircraft parts. Bloomberg
  • A judge ordered the White House to restore press access (VSNT, PSKY). FT
  • Energy Secretary Chris Wright told the oil industry to prepare for limits on diesel exports. Bloomberg
  • OpenAI agents hacked a government health website in Australia. Bloomberg
  • Qatar increased liquefied natural gas tanker traffic through the Strait of Hormuz to the highest level in 2 months, according to Bloomberg
  • Absci (ABSI) outlines planned Phase 2 endometriosis trial for ABS-201; start targeted for mid-2027
  • ACADIA Pharmaceuticals (ACAD) announces phase 3 enabling topline results from Phase 2 RADIANT study of remlifanserin for the treatment of Alzheimer’s disease psychosis
  • Amazon (AMZN) aiming to invest $3 bln in India's quick commerce business by 2030 Reuters
  • Amazon (AMZN) blocked Muse from its site. WSJ
  • Arcturus (ARCT) posts interim Phase 2 ARCT-810 data, unveils LUNAR 2.0 platform
  • Astellas Pharma advances setidegrasib into second Phase III trial with study in KRAS G12D-mutated lung cancer (ALPMY)
  • AstraZeneca (AZN)'s gefurulimab shows sustained disease control through 52 weeks in Phase III gMG trial
  • Baozun (BZUN) authorizes new $10 mln share repurchase program
  • Boeing (BA) wins order for 11 more jets from Biman Bangladesh Airlines
  • China takes possession of F-35 parts diverted to Hong Kong, according to Bloomberg (LMT)
  • Dolby (DLB) expands Atmos and Vision partnership with Meta across glasses, Instagram and VR
  • Elmet (ELMT) to invest $124.75 mln for 4.99% stake in Masan High-Tech Materials
  • Everforth (EFOR) ECS wins $148 mln SUNet contract extension, selected to prototype SUNet 2.0
  • Evommune (EVMN) to present late-breaker Phase 2a EVO301 atopic dermatitis data at EADV 2026
  • Flock Safety weighs sale amid scrutiny over camera network, according to Semafor (AXON)
  • Google (GOOG, GOOGL) nearing release of Gemini 4 Ai model. The Information (GOOG)
  • GRAIL (GRAL): FDA panel backs safety of GRAIL's cancer detection blood test, according to Stat News
  • GRAIL (GRAL) says FDA panel backs Galleri approval
  • Honda (HMC) in talks to construct a hybrid car plant in U.S. Nikkei
  • Hopes are declining for new China Boeing (BA) jet orders. Reuters
  • KBR (LMT) names Michael LaRouche CEO-designate of Trinzic ahead of planned January 2027 spin-off
  • L3Harris (LHX) awarded a $876.4 mln modification to previously awarded Navy contract
  • Lilly (LLY) wins FDA approval for once-weekly basal insulin Onswik in adults with type 2 diabetes
  • Merck (MRK) says remigromig met primary endpoint in pivotal BRUNELLO diabetic macular edema study
  • Mesoblast (MESO) received approval for Ryoncil from the FDA to implement a new potency assay, T-cell Proliferation Inhibition BioAssay
  • Mesoblast (MESO) gets FDA approval for new potency assay for commercial Ryoncil lot release
  • Milestone Pharmaceuticals (MIST) announces the enrollment of first Canadian study participant in ReVeRA-301 Phase 3 Pivotal Trial evaluating Etripamil nasal spray for AFib-RVR
  • Millrose Properties (MRP) increases quarterly dividend to $0.79/share from $0.77/share
  • MiMedx (MDXG) wins court ruling in AXIOFILL FDA classification dispute
  • Nuvectis Pharma (NVCT) announces that NXP200, an oral, brain-penetrant, paradox-breaker BRAF inhibitor, has been granted Breakthrough Therapy Designation for the treatment of patients with BRAF V600-mutant, recurrent or progressive high-grade glioma by China’s Center for Drug Evaluation
  • NVIDIA (NVDA) CEO Jensen Huang says AI firms should not receive antitrust or liability exemptions, according to Reuters
  • OceanaGold (OGC) Corporation announces that President and CEO Gerard Bond intends to retire in Q2 2027
  • OGE Energy (OGE) increases quarterly cash dividend to $0.42875/share from $0.425/share
  • Redwire (RDW) selected for Space Systems Command's $980 mln NITE-STAR contract vehicle
  • REGENXBIO and The Trustees of the University of Pennsylvania entered into a Settlement Agreement with Sarepta Therapeutics (SRPT) and Catalent to resolve all patent infringement litigation
  • Roche Hldg (RHHBY) : Atavistik Bio announces strategic research collaboration with Roche to discover and develop novel allosteric therapeutics
  • Roche's Genentech (RHHBY) enters bispecific antibody collaboration with Earendil Labs worth over $1.5 bln
  • Satellos Bioscience (MSLE) receives FDA clearance to expand forazapadin into Phase II FSHD development
  • SLB (SLB) wins four multi-year well construction contracts from Aramco
  • Starboard Value takes a stake in Knife River (KNF) and wants the company to improve its margins or explore a sale. WSJ
  • TransUnion (TRU) CFO Todd Cello to step down at year-end 2026; company reaffirms 2026 outlook
  • Unity Bancorp (UNTY) CEO James Hughes to retire March 31, 2027; President George Boyan to succeed
  • VisionWave (VWAV) receives $20 mln purchase order for 200 unmanned ground vehicles, but conditions remain unmet
  • WTW (WTW) partners with Softtek on AI workforce transformation
  • X-energy unit TRISO-X (DOW) completes vertical construction at TX-1 fuel facility

• Upgrades:
  • Arcturus Therapeutics (ARCT) upgraded to Buy from Neutral at Citigroup, tgt $20
  • Americold Realty Trust (COLD) upgraded to Neutral from Underweight at JPMorgan, tgt $16
  • CoreWeave (CRWV) upgraded to Overweight from Neutral at JPMorgan, tgt $125
  • Dollar General (DG) upgraded to Buy from Hold at HSBC, tgt $160
  • EastGroup Properties (EGP) upgraded to Overweight from Neutral at JPMorgan, tgt $231
  • Macerich (MAC) upgraded to Overweight from Neutral at JPMorgan, tgt $26
  • Nebius Group (NBIS) upgraded to Outperform from Neutral at BNP Paribas Exane, tgt $399
  • Paychex (PAYX) upgraded to Neutral from Underweight at JPMorgan, tgt $115
  • Quanta Services (PWR) upgraded to Outperform from Market Perform at Bernstein, tgt $775
  • Welltower (WELL) upgraded to Overweight from Neutral at JPMorgan, tgt $260
• Downgrades:
  • Alexandria Real Estate (ARE) downgraded to Underweight from Neutral at JPMorgan, tgt $56
  • Alkami Technology (ALKT) downgraded to Underweight from Overweight at JPMorgan, tgt $14
  • Bayerische Motoren Werke (BMWYY) downgraded to Hold from Buy at HSBC
  • Dropbox (DBX) downgraded to Sell from Neutral at Citigroup, tgt $29
  • Etsy (ETSY) downgraded to Neutral from Buy at Arete, tgt $81
  • Gaming and Leisure Properties (GLPI) downgraded to Neutral from Overweight at JPMorgan, tgt $46
  • Kite Realty Group (KRG) downgraded to Underweight from Neutral at JPMorgan, tgt $27
  • Rollins (ROL) downgraded to Neutral from Overweight at Piper Sandler, tgt $33
  • Safehold (SAFE) downgraded to Underweight from Neutral at JPMorgan, tgt $14
  • Stitch Fix (SFIX) downgraded to Market Perform from Outperform at William Blair
  • Tanger Factory Outlet Centers (SKT) downgraded to Neutral from Overweight at JPMorgan, tgt $39
  • VICI Properties (VICI) downgraded to Neutral from Overweight at JPMorgan, tgt $30
• Others:
  • AbCellera (ABCL) resumed with a Neutral at Goldman, tgt $13
  • Ares Management (ARES) initiated with an Overweight at Piper Sandler, tgt $150
  • Arrowhead Pharmaceuticals (ARWR) resumed with a Neutral at Goldman, tgt $74
  • Avidbank Holdings (AVBH) initiated with a Buy at StoneX,t gt $40
  • BayCom (BCML) initiated with a Buy at StoneX
  • BlueLinx (BXC) initiated with a Market Perform at Citizens
  • CNB Financial (CCNE) initiated with an Overweight at Piper Sandler, tgt $38
  • The Carlyle Group (CG) initiated with an Overweight at Piper Sandler, tgt $54
  • Contineum Therapeutics (CTNM) resumed with an Early-Stage Biotech rating at Goldman
  • Community West Bancshares (CWBC) initiated with a Buy at StoneX, tgt $30
  • Energy Services of America (ESOA) initiated with a Buy at Roth Capital, tgt $20
  • Enterprise Financial Services (EFSC) initiated with a Buy at StoneX, tgt $70
  • Eupraxia Pharmaceuticals (EPRX) initiated with an Outperform at Wedbush, tgt $17
  • Fervo Energy (FRVO) initiated with a Buy at Johnson Rice, tgt $35
  • First Interstate Bancsystems (FIBK) initiated with a Hold at StoneX
  • FuelCell Energy (FCEL) initiated with an Equal Weight at Barclays, tgt $20
  • Hope Bancorp (HOPE) initiated with a Hold at StoneX
  • Imax (IMAX) initiated with an Overweight at Morgan Stanley, tgt $63
  • Insmed (INSM) resumed with a Buy at Goldman, tgt $188
  • Iovance Biotherapeutics (IOVA) resumed with a Buy at Goldman, tgt $15
  • Jazz Pharmaceuticals (JAZZ) resumed with a Buy at Goldman, tgt $337
  • Kodiak Sciences (KOD) resumed with a Neutral at Goldman, tgt $36
  • Krystal Biotech (KRYS) resumed with a Buy at Goldman, tgt $441
  • Kymera Therapeutics (KYMR) resumed with an Early-Stage Biotech rating at Goldman
  • Madrigal Pharmaceuticals (MDGL) resumed with a Buy at Goldman, tgt $704
  • MeiraGTx Holdings (MGTX) initiated with a Neutral at Goldman, tgt $16
  • MGE Energy (MGEE) initiated with a Neutral at BofA Securities, tgt $76
  • MGM Resorts (MGM) resumed with a Neutral at BofA Securities, tgt $40
  • MiniMed Group (MMED) initiated with a Buy at Truist Securities, tgt $29
  • NeOnc Technologies (NTHI) initiated with a Buy at Roth Capital, tgt $20
  • Old National Bancorp (ONB) initiated with an Overweight at Wells Fargo, tgt $30
  • Preferred Bank (PFBC) initiated with a Buy at StoneX, tgt $120
  • PubMatic (PUBM) initiated with a Buy at Craig-Hallum, tgt $24
  • Quince Therapeutics (QNCX) initiated with a Buy at Rodman & Renshaw, tgt $70
  • Revolution Medicines (RVMD) resumed with a Buy at Goldman, tgt $267
  • Sagimet Biosciences (SGMT) resumed with a Sell at Goldman, tgt $7
  • Southern Missouri Bancorp (SMBC) initiated with a Buy at StoneX, tgt $80
  • Tarsus Pharmaceuticals (TARS) resumed with a Buy at Goldman, tgt $116
  • Turn Therapeutics (TTRX) initiated with a Buy at Lucid Capital Markets, tgt $24
  • United Therapeutics (UTHR) initiated with a Sell at Goldman, tgt $321
  • Versant Media Group (VSNT) initiated with a Buy at Citigroup,t gt $41
  • Wintrust Financial (WTFC) initiated with an Equal Weight at Wells Fargo, tgt $160

• Econ Data (Friday):
  • 08:30 ET: August Durable Goods Orders (Briefing.com consensus: -0.4%; prior 1.1%) and Orders, Excluding Transportation (Briefing.com consensus: 0.5%; prior 0.4%)
  • 10:00 ET: September University of Michigan Consumer Sentiment - Final (Briefing.com consensus: 47.8; prior 47.8)

• Earnings:
  • Monday (September 21)
    • Pre-Market: None
    • After-Hours: None
  • Tuesday (September 22)
    • Pre-Market: AZO, MLKN, THO
    • After-Hours: KBH, WOR
  • Wednesday (September 23)
    • Pre-Market: CBRL, CTAS, GIS, PAYX
    • After-Hours: FUL, SFIX
  • Thursday (September 24)
    • Pre-Market: DRI, SNX
    • After-Hours: BB, COST, FDXF
  • Friday (September 25)
    • Pre-market: None
    • Afternoon: None