Updated 2 min read
The Dow closed at a fresh record on Tuesday as Wall Street welcomed the latest wave of quarterly results from the likes of General Motors (GM) and Coca-Cola (KO).
Gains for the Dow Jones Industrial Average (^DJI) lifted the blue-chip benchmark 0.5%. Meanwhile, the S&P 500 (^GSPC) closed the session little changed, and the Nasdaq Composite (^IXIC) slipped roughly 0.1%.
Investors are focused on the flood of major earnings reports due this week, headlined on Tuesday by streaming giant Netflix (NFLX) and GM. The Big Three automaker’s stock surged after GM raised its full-year profit outlook. Meanwhile, shares in Dow components Coca-Cola (KO) and 3M (MMM) popped after upbeat earnings reports.
Later, investors will watch Netflix’s results after market close for insights into its ad business and live programming. The streaming giant has recently weathered a volatile stretch for its stock.
Worries about US-China trade tensions moved to the back burner even as the two countries prepared the ground for negotiations to resume. Trump signed a rare earths deal with Australia, a move aimed squarely at China. But the president said he expects to reach a “fair deal” when he meets his Chinese counterpart, President Xi, in South Korea next week.
Meanwhile, the government shutdown continues, now the third-longest federal work stoppage in US history. There are no plans in motion to end the closure, even as economic pressures mount.
That puts the spotlight on Federal Reserve speakers, with ears pricked for clues into the central bank’s thinking on interest rates ahead of its policy meeting next week.
Fed Governor Christopher Waller is scheduled to appear on Tuesday in the run-up to the Bureau of Labor Statistics finally releasing the September Consumer Price Index report on Friday. That inflation data could move the needle for markets, which are currently pricing in another quarter-point rate cut.
LIVE 22 updates
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Dow posts record on strong earnings, gold crashes
The Dow Jones Industrial Average closed at a new record on Tuesday, buoyed by strong earnings from Coca-Cola (KO) and 3M (MMM).
Meanwhile, the S&P 500 (^GSPC) closed the session flat, and the Nasdaq Composite (^IXIC) slipped roughly 0.1%.
Gold prices tumbled in their biggest daily drop in twelve years as a stunning rally in precious metals came to a halt.
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Walmart is pausing H-1B visa hiring
Walmart (WMT) is pausing hiring individuals who need H-1B visas, Bloomberg first reported on Tuesday.
This comes after President Trump signed a proclamation in late September requiring companies to pay a $100,000 fee for any new visa petitions.
“Walmart is committed to hiring and investing in the best talent to serve our customers, while remaining thoughtful about our H-1B hiring approach,” a Walmart spokesperson said.
Walmart is America’s biggest retailer, employing 1.6 million employees in the US alone; however, Walmart employees who hold approved H1-B visas are far fewer than at other companies.
Amazon (AMZN), Tata Consultancy Services (TCS.NS), Microsoft (MSFT), Meta (META), and Apple (AAPL) are the top five holders of H-1B visas.
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Bitcoin climbs above $112,000 per token as bulls point to rotation out of gold
Bitcoin (BTC-USD) climbed to $112,000 per token on Tuesday, extending its gains from the prior session as crypto bulls pointed to the steep drop in gold as a sign investors may be rotating out of precious metals and into digital assets.
Crypto has been in recovery mode following a rocky period when leveraged trades and forced liquidations sent the world’s largest cryptocurrency below $105,000. The digital asset has been up for the last four sessions.
The move in bitcoin came as gold (GC=F) prices tumbled 5% on Tuesday, marking their biggest daily drop in more than a decade. This came as a stunning rally in precious metals came to a halt.
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Amazon’s massive AWS outage points to a key weakness in the modern internet
Amazon’s (AMZN) AWS is back online after a daylong outage that impacted companies and organizations across the country and globe.
Yahoo Finance’s Dan Howley explains what went wrong and what the outage reveals about the internet today:
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Apple stock on track for record closing high
Apple (AAPL) stock was on track to close at a record high on Tuesday after Wells Fargo and Goldman Sachs analysts boosted their price targets on shares following a report on Monday of strong initial iPhone 17 sales in the US and China.
Shares of the iPhone maker rose 0.6% to above $263 each in afternoon trading. Apple’s market capitalization was also nearing the $4 trillion milestone, a feat only accomplished by Nvidia (NVDA) and Microsoft (MSFT) so far.
Wells Fargo, which has an Overweight rating on shares, raised its price target on the stock to $290 from $245. Goldman, meanwhile, upped its price target to $279 from $266.
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Warner Bros. Discovery considers breakup options, citing ‘unsolicited’ takeover interest
Yahoo Finance’s Allie Canal reports:
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Gold tumbles in biggest daily drop in years as stunning rally comes to a halt
Yahoo Finance’s Ines Ferré reports:
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Dow touches intraday high as blue-chip companies report earnings
The Dow Jones Industrial Average (^DJI) rose about 0.9% to reach an intraday high of over 47,100 as third quarter results from blue-chip companies lifted shares of the index’s components.
Standouts included 3M (MMM), which gained over 5%, and Coca-Cola (KO), which rose more than 3%. Although it was not among those reporting earnings on Tuesday, Salesforce (CRM) led enterprise stocks higher, jumping 4% midmorning.
The S&P 500 (^GSPC) also traded just below its record high as the major indexes neared their next milestones.
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Alphabet stock sinks after OpenAI teases browser reveal
Shares of Google parent company Alphabet (GOOG, GOOGL) fell as much as 4% Tuesday morning after OpenAI teased the release of a new web browser in a video on Tuesday.
OpenAI is set to host a webcast unveiling its latest product at 1:00 p.m. ET.
OpenAI has long reported to have been working on a browser — and a host of other AI companies are focused on making AI-native browsers — which would compete with Google Chrome, among other applications.
Alphabet stock closed at a record high on Monday as the company has clawed back from the narrative it was being left behind in the AI race, with faster uptake of its Gemini AI tools bolstering investor confidence.
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Rare earths mining is having a crypto moment
Ohio-based steel company Cleveland-Cliffs (CLF) is jumping into the rare earths mining business — a surprising upshot of China’s trade-spat clampdown.
Yahoo Finance’s Hamza Shaban digs into the Big Tech-esque play:
Read more here in today’s takeaway from the Morning Brief.
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Halliburton stock pops on profit beat
Shares in Halliburton (HAL) rallied after beating on revenue and earnings per share (EPS) for the third quarter, and announcing a deal for data center power infrastructure.
Oilfield services giant Halliburton reported revenue of $5.6 billion in the third quarter, beating consensus estimates of $5.4 billion, and adjusted earnings per share of $0.58 per share, beating estimates of $0.49.
“I am pleased with Halliburton’s third quarter performance,” CEO Jeff Miller commented. “We are committed to returning cash to shareholders, maintaining cost and capital discipline, and investing in differentiated technologies that drive long-term performance.”
On Monday night, shortly before Tuesday’s earnings report, Halliburton and energy technology developer VoltaGrid announced a partnership that will see Halliburton supply power generation equipment for VoltaGrid’s data center customers.
The collaboration is expected to see an initial roll-out in the Middle East.
“The demand for power and for AI is like nothing I’ve ever seen in terms of demand growth and that we’ve watched that, and we also know that not only in the U.S. but around the world, the rest of the world is a really big opportunity set for the same level of growth,” Miller said.
“From a Halliburton perspective, we’ve got boots on the ground in 70 countries. We’ve got excellent execution skills, a proven manufacturing, and we also have global scale, industrial global scale, which I think is critical.”
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GSI Technology stock soars after Cornell paper suggests its chips could match Nvidia’s
GSI Technology (GSIT) stock continued to rip higher on Tuesday following reports of a breakthrough in its AI chip platform that could rival Nvidia’s (NVDA).
Shares of the Sunnyvale, Calif.-based company surged another 30% to over $17 each at the market open before paring gains to around 10%. The stock rocketed 155% higher on Monday, sending its market cap to around $377 million.
Nvidia stock dipped 0.7% on Tuesday.
The massive move in the company’s stock price came after researchers at Cornell University published a paper stating that the GSI’s Gemini-I APU could perform retrieval-augmented generation (RAG) tasks at similar speeds as Nvidia’s A6000 chips while using 98% less energy.
An APU, or associative processing unit, is a single chip that combines a central processing unit (CPU) and a graphics processing unit (GPU). The researchers’ findings suggest that GSI’s memory architecture could perform as well as Nvidia’s GPU at a fraction of the energy usage and verified some of the company’s claims.
“Cornell’s independent validation confirms what we’ve long believed — compute-in-memory has the potential to disrupt the $100 billion AI inference market,” GSI Technology CEO Lee-Lean Shu said in a statement.
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Dow jumps as blue-chip earnings roll in, S&P 500 and Nasdaq muted at the open
Stocks rose at the open as investors assessed quarterly reports from General Motors (GM), Coca-Cola (KO), and GE Aerospace (GE) and looked ahead to results from Netflix (NFLX) after the close.
The broad benchmark S&P 500 (^GSPC) neared record highs at the open, rising just above the flat line. The Dow Jones Industrial Average (^DJI) added 1% as earnings reports from blue-chip companies poured in. The tech-heavy Nasdaq Composite (^IXIC) was also roughly flat.
Meanwhile, the 10-year Treasury yield (^TNX) declined by about 3 basis points to 3.95%.
Bitcoin (BTC-USD) snapped a winning streak, falling 1.8% at the open to around the $108,000 level.
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Precious metals slide as US-China tensions ease
Precious metals fell through the early hours of Tuesday’s trading session after President Trump signaled that he is willing to work with China on a trade deal.
Futures on gold (GC=F) lost roughly 2.8%, falling back below $4,300 per troy ounce, while silver (SI=F) and platinum (PL=F) futures both fell by more than 5%.
“I think we’re going to end up having a fantastic deal with China,” Trump said in comments Monday night, after signing a separate deal with Australian Prime Minister Anthony Albanese on critical mineral access. “It’s going to be a great trade deal. It’s going to be fantastic for both countries, and it’s going to be fantastic for the entire world.”
Capital.com senior market analyst Daniela Hathorn noted Tuesday morning that signals of progress in what has become a tit-for-tat trade war between Washington and Beijing seemed to put investors at ease
“The confirmation of willingness to resolve the issues has been enough to remove some of the risk premia in markets, at least for now,” Hathorn wrote.
Precious metals have spent the last few months on a near-historic bull run that saw gold cross $4,000 for the first time and silver cross $50 for the first time since a market panic in the 1980s. Given how quickly the metals have run up, Hathorn said, the market was likely due for a correction.
“The trade had become quite overcrowded and was running a little hot considering the levels both markets were at, so a reversal is not entirely out of the blue,” Hathorn wrote.
However, “The fundamentals haven’t changed, with long-term support still in place.”
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Netflix earnings: Investors weigh ad growth, valuation risks with shares down 8% from June’s record highs
Yahoo Finance’s Allie Canal reports:
Netflix (NFLX) will report third quarter earnings after the bell on Tuesday as investors look for signs of momentum across its advertising business and live programming slate following a volatile stretch for the stock.
Shares have climbed about 40% year to date but have underperformed the broader market and tech peers in recent months amid questions over engagement growth, valuation, and new forms of competition emerging from AI-driven content platforms. …
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GM stock jumps on upbeat full-year guidance, as tariff exposure improves in Q3
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Coca-Cola stock pops as earnings top estimates amid ‘challenging’ environment
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Good morning. Here’s what’s happening today.
Economic data: Philadelphia Fed non-manufacturing index (October)
Earnings calendar: Netflix (NFLX), GE Aerospace (GE), Coca-Cola (KO), Philip Morris International (PM), RTX Corporation (RTX), Intuitive Surgical (ISRG), Texas Instruments (TXN), Danaher Corporation (DHR), Capital One (COF), Lockheed Martin (LMT), Chubb (CB), Northrop Grumman (NOC), 3M (MMM), Elevance Health (ELV), General Motors (GM), Nasdaq Inc. (NDAQ), PACCAR (PCAR), Waste Connections (WCN), EQT Corporation (EQT), Equifax (EFX), Haliburton (HAL), Galaxy Digital (GLXY), Mattel (MAT)
Here are some of the biggest stories you may have missed overnight and early this morning:
GM stock jumps on outlook boost, thanks for Trump
Coca-Cola pops as earnings beat amid ‘challenging’ environment
Rare-earths mining is having a crypto moment
Trump’s Australia rare earths deal is aimed squarely at China
Worried automakers race to beat China’s rare earths deadline
The unexpected ripple effect of the AI boom
ISS recommends investors reject CoreWeave deal for Core Scientific
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Premarket trending tickers: RTX, Philip Morris and Strategy
RTX (RTX) stock rose 5% before the bell after the defense group raised its full-year profit and revenue forecast, a sign that it has managed to avoid the impact of tariffs.
Philip Morris (PM) stock rose 4% before the bell on Tuesday after raising its annual profit forecast for the third time this year, due to strong demand for its portfolio of smoking alternatives.
Strategy (MSTR) stock fell 1% in premarket trading on Tuesday. The company, which is one of the largest holders of bitcoin dipped in early morning trading. Bitcoin also fell 2%.
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Elevance rises after earnings beat as medical costs remain in check
Elevance (ELV) stock rose 4% before the bell on Tuesday after the health insurance company beat Wall Street estimates for its third-quarter earnings report.
Reuters reports:
