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NASDAQ:NVDA

IBM Expands AI Infrastructure Push With $240 Million Together AI Agreement

IBM (NYSE: IBM) announced a multi-year $240 million agreement with Together AI to deploy a large-scale artificial intelligence inference cluster on IBM Cloud, further expanding the company’s exposure to growing enterprise AI infrastructure demand.

Under the agreement, IBM plans to deploy NVIDIA HGX B300 systems combined with NVIDIA Spectrum-X Ethernet networking. The cluster, expected to become available in the first quarter of 2027, will be used by Together AI to provide production-scale inference for open-source AI models.

The deployment will be IBM Cloud’s first dedicated large-scale inference cluster based on HGX B300 systems. NVIDIA says the architecture can deliver as much as 30 times greater AI factory output compared with previous generations.

Together AI has been scaling rapidly as demand for open-source AI models grows. The company says its inference platform currently processes around 400 trillion tokens per month and recently raised $800 million at an $8.3 billion valuation.

For IBM, the agreement strengthens its position as an infrastructure provider for increasingly compute-intensive AI workloads. It also deepens IBM’s existing relationship with NVIDIA, spanning GPUs, networking, cloud infrastructure and enterprise AI software.

The $240 million multi-year commitment provides IBM with another significant AI infrastructure customer while demonstrating demand for its GPU-based cloud capacity. The companies expect the platform to help enterprises run open-source AI models with improved performance and lower inference costs.

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The Investor 08-11-26

Semiconductor Stocks Fall as China's Chip Breakthrough Pressures Nvidia and the AI Sector

Semiconductor stocks came under pressure on Monday, dragging the Nasdaq lower as investors weighed China's rapidly advancing semiconductor industry against the latest developments in the global AI infrastructure race. Nvidia led the sector's decline, falling more than 4%, while weakness spread across AI and memory chipmakers.

The latest catalyst on the AI front came after reports that Nvidia is in talks to provide roughly $250 billion in financing guarantees for OpenAI's massive AI data center project in Ohio. The proposed 10-gigawatt facility would rank among the world's largest AI infrastructure projects, underscoring the enormous capital being committed to artificial intelligence. While the news reinforces long-term demand for AI hardware, it also highlights the rapidly evolving competitive landscape and the unprecedented scale of investment required across the industry.

Investor sentiment was also weighed down by developments in China. ChangXin Memory Technologies (CXMT), China's largest memory chipmaker, surged more than 400% in its Shanghai trading debut following Asia's largest IPO of 2026. The emergence of another major Chinese chipmaker renewed concerns that global competition in memory and AI-related semiconductors will intensify. Those concerns were particularly significant for Nvidia, whose growth opportunities in China have already been constrained by U.S. export restrictions.

The weakness extended across the broader semiconductor sector. Memory-related companies including Sandisk, Micron Technology, Western Digital, and SK Hynix posted notable declines, while ASML, AMD, Intel, Marvell Technology, Super Micro Computer, and Taiwan Semiconductor Manufacturing Co. (TSMC) also traded lower as investors reassessed the industry's competitive outlook.

Despite Monday's selloff, the semiconductor industry's long-term fundamentals remain supported by accelerating AI adoption and record investment in data center infrastructure. However, the combination of elevated valuations, China's rapid technological progress, and an increasingly competitive global landscape prompted investors to lock in profits following the sector's strong rally.

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European Investor 07-27-26

NVIDIA shares climbed approximately 4.5% today as investors reacted positively to the company’s latest artificial intelligence chip announcements and expanding vision for AI-powered computing.

The rally was fueled by NVIDIA’s unveiling of a powerful new AI supercomputer chip scheduled for release this fall, reinforcing the company’s position at the center of the global artificial intelligence infrastructure boom. Investors view the new product as another step in NVIDIA’s effort to maintain its technological lead as demand for AI training and inference continues to accelerate across enterprises, cloud providers, and government organizations.

Markets also welcomed news highlighting how NVIDIA’s next-generation AI processors could bring advanced artificial intelligence capabilities directly to Windows PCs. The move expands NVIDIA’s opportunity beyond data centers and cloud computing, potentially opening a massive consumer and enterprise PC market for AI-powered applications.

The announcements come just days after NVIDIA delivered another strong earnings report, which showcased continued growth in AI-related revenue and robust demand for its Blackwell platform. Today’s gains suggest investors remain confident that the company can sustain its leadership position despite increasing competition from rivals such as AMD, Intel, and custom chip developers.

With a market value exceeding $5 trillion and analysts maintaining an average price target well above current levels, NVIDIA continues to be viewed as one of the primary beneficiaries of the global AI spending cycle. Investors are betting that the company’s expanding portfolio of AI chips, software, and computing platforms will drive another wave of growth as businesses increasingly adopt artificial intelligence technologies.

Today’s move highlights the market’s belief that NVIDIA’s innovation pipeline remains strong and that demand for advanced AI computing is still in the early stages of a multi-year expansion.

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WS News 06-01-26

Nvidia Barely Moves in Premarket Despite Historic Quarter as Monster Guidance Already Priced In

Nvidia reported what may be the most extraordinary quarter in semiconductor history yesterday, yet shares edged up just 0.08% in premarket trading — a reaction that speaks volumes about how thoroughly the AI infrastructure bull case has been priced into one of the world's most closely watched stocks.

Revenue for Q1 fiscal 2027 came in at a record $81.6 billion, up 85% year over year and 20% sequentially, beating the consensus expectation of approximately $78 billion. Data Center revenue reached a record $75.2 billion, up 92% year over year, with compute revenue up 77% and networking revenue — a figure that had been less scrutinized — surging 199% to $14.8 billion. GAAP net income tripled to $58.3 billion and GAAP diluted EPS of $2.39 was more than triple the $0.76 reported a year ago. Gross margin expanded to 74.9% from 60.5% a year ago. The company returned a record $20 billion to shareholders in the quarter alone.

The forward guidance was the number the market had been waiting for. Nvidia guided Q2 revenue of $91.0 billion, plus or minus 2%, representing another roughly 12% sequential acceleration and approximately 76% year-over-year growth. Critically, the company stated it is not assuming any Data Center compute revenue from China in its outlook — meaning the guidance stands entirely on non-China demand, a significant reassurance given ongoing export restriction concerns.

The company also announced an $80 billion additional share repurchase authorization and a dramatic dividend increase, raising the quarterly payout from $0.01 per share to $0.25 per share — a 2,400% increase that signals management's confidence in sustained cash generation.

CEO Jensen Huang framed the moment in sweeping terms, describing the buildout of AI factories as the largest infrastructure expansion in human history and positioning Nvidia as the only platform running in every cloud, powering every frontier model and scaling from hyperscale data centers to the edge.

The company is also transitioning to a new reporting framework with two market platforms — Data Center and Edge Computing — reflecting its evolution beyond chips into a full-stack AI infrastructure company. The Vera Rubin platform, NVIDIA Dynamo 1.0 and a broad suite of agentic AI tools underscore that the product roadmap extends well beyond the current Blackwell cycle.

The near-flat premarket reaction is not a sign of disappointment — the results were objectively exceptional by any historical standard. It is instead a reflection of a stock that has already rallied 20% in the past month and trades at a valuation that embeds extraordinary future growth. When a company beats $78 billion estimates with $81.6 billion and guides to $91 billion next quarter, and the stock barely moves, it tells you that the market had already bought the dream. The question now is whether $91 billion in Q2 will finally surprise to the upside of even the most bullish expectations — and whether the Vera Rubin ramp can extend this cycle well into 2027 and beyond.

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The Investor 05-21-26

US Markets Open Cautiously Higher as All Eyes Turn to Nvidia

US equity markets opened in positive territory today, with the S&P 500 up 0.31%, the Dow adding 0.14% and the Nasdaq gaining 0.38%, as investors adopted a measured stance ahead of what is arguably the most consequential earnings report of the season — Nvidia's first quarter fiscal 2027 results, due after the closing bell today.

The cautious optimism comes after two consecutive sessions of declines driven by rising bond yields and geopolitical anxiety. The modest green open reflects a market catching its breath rather than making a bold directional call, with most participants holding their positions ahead of Nvidia's numbers.

Nvidia is expected to report roughly $78 billion in revenue and $1.77 in non-GAAP earnings per share, implying approximately 77% to 78% year-on-year revenue growth. Buy-side whispers run higher, with some sell-side desks modeling closer to $79 billion and the most aggressive houses above $80 billion. Nvidia has beaten the Street every quarter of this cycle, meaning a beat alone is already priced in. What markets will be watching most closely is the Q2 guidance and any commentary on the China export restrictions and gross margin sustainability.

The broader earnings backdrop heading into today is genuinely strong. With approximately one-third of S&P 500 companies reported, the blended year-over-year earnings growth rate stood at 15%, up from 13% expected at the end of March, putting the index on track for a sixth consecutive quarter of double-digit earnings growth. Eighty-four percent of reporting companies have beaten EPS estimates, with the magnitude of beats averaging 12%, well above the five-year historical average of 7.3%.

Today's earnings slate is also busy, with Target, Lowe's, TJX, Analog Devices and Hasbro among the morning reporters. From the earnings covered over the past two days, CAVA's 9.7% same-restaurant sales growth driven by actual traffic gains and 8x8's first GAAP-profitable fiscal year since 2015 were standouts, while Red Robin's margin improvement and Agilysys' record revenue quarter added to a broadly constructive picture across sectors.

On the macro front, the tension between a strong earnings season and a difficult rate environment remains unresolved. Bond yields have been climbing, with the 30-year Treasury recently crossing 5.18%, its highest level in nearly two decades. Iran ceasefire diplomacy continues to generate daily headlines and oil price swings, keeping inflation expectations elevated and Fed rate cut hopes pushed further into the future.

For today, Nvidia is the market. A strong print with confident guidance could provide the catalyst the broader indices need to break decisively higher. Anything short of that, and two days of bond-driven selling could resume.

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WS Investor 05-20-26

Nvidia Extends Rally as Jensen Huang Joins Trump in Beijing, May 20 Earnings in Sight

May 14, 2026 | NASDAQ: NVDA

Nvidia is building on yesterday's 2.29% gain with a further 1.93% rise in premarket, extending a five-day winning streak that has added approximately $590 billion in market cap and pushed shares back toward all-time highs. Two converging forces are driving the momentum — a dramatic geopolitical development in Beijing and accelerating anticipation ahead of the May 20 earnings report.

The headline development from the last 24 hours is Jensen Huang's last-minute addition to President Trump's China delegation. Nvidia CEO Jensen Huang has joined Trump's trip to China after initial indications he had not been invited. After seeing media coverage of Huang's absence from the delegation, Trump called the Nvidia executive and asked him to join, and Huang flew to Alaska to board Air Force One (CNBC).

Trump had previously approved Nvidia H200 chip exports to China in January 2026, but not a single one has been sold, making Huang's presence at the summit a potential catalyst for breaking that impasse. The market is treating that possibility as a meaningful positive for Nvidia's China revenue outlook.

Wells Fargo raised its price target on Nvidia from $265 to $315 with an overweight rating, saying AI will drive the stock more than 40% higher from current levels (CNBC). The broader analyst community is similarly positioned ahead of the May 20 earnings report. Nvidia has guided for Q1 fiscal 2027 revenue of $78 billion, plus or minus 2%, while the Wall Street consensus expects approximately $78.8 billion in revenue and adjusted EPS of $1.77 (Motley Fool). Hyperscaler capex commitments provide strong demand visibility — Microsoft plans to spend $190 billion in calendar 2026, Amazon approximately $200 billion, and Alphabet between $180 and $190 billion, all largely AI-driven (Motley Fool).

Nvidia shares have gained approximately 20% year to date, outpacing the S&P 500's 7.5% and the Nasdaq's 14% gains, with the stock trading near its 52-week high of $225 and a market cap of approximately $5.5 trillion. At roughly 27 times forward earnings, the valuation has actually compressed relative to prior peaks, giving bulls a reasonable entry point ahead of what most expect will be another beat-and-raise quarter.

The China angle is the wildcard. If the Beijing summit produces any signal of a pathway to H200 shipments resuming, the revenue upside for Nvidia could be significant — and the market appears to be starting to price in that possibility.

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European Investor 05-14-26

NVIDIA Rises as AI Momentum and China Hopes Lift Sentiment

NVIDIA shares rose about 2.65% today, extending a strong rally as investors continued to price in demand for artificial-intelligence chips and looked ahead to the company’s next earnings report. The stock traded near record levels, on pace for a record close after four straight days of gains.

One key driver appears to be renewed optimism around China. Investing*com reported that the move was helped by news of President Trump’s planned state visit to China on May 13–15, which investors interpreted as a possible opening for discussions around AI chip export restrictions. Since China remains a major potential market for advanced AI hardware, any easing or renegotiation of restrictions could be meaningful for NVIDIA’s future sales outlook (Investing*com).

The rally also reflects positioning ahead of NVIDIA’s upcoming earnings, expected on May 20 on which analysts remain highly bullish. Expectations for revenue is about $78.6 billion, up 78% year over year.

Recent AI infrastructure news has also supported sentiment. Reuters reported last week that NVIDIA plans to invest up to $2.1 billion in data-center operator IREN as part of a broader deal to deploy up to 5 gigawatts of AI infrastructure, underscoring the scale of demand for computing capacity (Reuters).

Overall, today’s gain seems to be driven by three factors: record-high momentum, expectations for another strong earnings report, and hopes that U.S.-China talks could improve the outlook for AI chip sales. The main risk is valuation: after such a sharp rally, investors may expect near-perfect earnings and guidance.

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Global Finance News 05-11-26

NVIDIA and ServiceNow announced an expanded partnership to develop autonomous AI agents for enterprise use, unveiled at ServiceNow Knowledge 2026.

The collaboration focuses on delivering governed, secure AI agents capable of executing complex, multi-step workflows across enterprise systems. A key highlight is “Project Arc,” a self-evolving desktop agent designed to assist knowledge workers such as developers and IT teams by interacting directly with local systems and applications.

The solution integrates NVIDIA’s accelerated computing and open models with ServiceNow’s workflow and governance platforms, enabling enterprises to deploy AI agents with greater control, auditability, and security. The initiative also emphasizes efficiency, leveraging NVIDIA’s AI infrastructure to significantly reduce operational costs for large-scale AI deployments.

The partnership reflects a broader shift toward autonomous, action-oriented AI systems, where enterprises prioritize not just AI reasoning but real-world execution within controlled environments.

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The Investor 05-05-26

Nvidia Slides 4% in Pre-Market as Custom Chip Threat and China Restrictions Cloud the AI Chip Throne

Nvidia shares are down around 4% in pre-market trading on May 1, a jarring contrast to the broader AI optimism generated by a wave of blowout Big Tech earnings, as two converging headwinds move to the forefront of investor concern.

The primary catalyst for the drop is growing anxiety about competition in the AI chip market. Amazon recently disclosed that its in-house chip business is growing quickly, while Alphabet announced plans to sell its custom AI chips to select outside customers, prompting investors to question whether Nvidia's dominant position may begin to erode as hyperscalers increasingly develop alternatives. (CNBC)

The China situation is adding a second layer of pressure. A recent crackdown on chip smuggling in China has pushed prices of Nvidia's B300 servers close to $1 million each. Since these advanced systems are restricted in China, supply is constrained and prices are surging, but this also risks reducing demand and accelerating the push by Chinese customers toward competitor hardware. Separately, Chinese AI and tech firms including Alibaba and Tencent are increasingly betting on Huawei chips as they seek to break their dependence on Nvidia given ongoing US export restrictions. (CNBC, Investing*com)

The irony of the sell-off is that the hyperscaler earnings released overnight were uniformly bullish for AI infrastructure demand. Alphabet raised its 2026 capex guidance to $180 to $190 billion, while Amazon and Microsoft also flagged significant AI infrastructure increases, with Big Tech capital expenditures now seen topping $1 trillion collectively in 2027. Yet markets are increasingly asking whether that spending will flow to Nvidia or to proprietary custom silicon. (Stocktwits)

Nvidia closed at $209.25 on April 30 and is trading around $199.57 in pre-market, with a 52-week range of $110.82 to $216.83. The stock is still up more than 92% over the past year. Nvidia's next earnings report is scheduled for May 20, where the company will need to demonstrate that demand for its Blackwell architecture remains insulated from the custom chip threat. (The Motley Fool)

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European Investor 05-01-26

Nvidia stock volatile this week as AI optimism meets rising concerns

Shares of NVIDIA Corporation (NVDA) showed volatile performance this week, as strong momentum in the AI sector was offset by growing investor concerns about sustainability of demand and broader market risks.

The stock initially surged to a new record high, supported by continued enthusiasm around artificial intelligence and expectations of strong spending by major tech companies. According to Investopedia, Nvidia’s rally has been driven by its dominant position in data center GPUs and its central role in AI infrastructure.

However, the rally lost momentum as the broader market turned cautious. Reuters reported that semiconductor stocks, including Nvidia, came under pressure amid concerns that AI growth could slow and uncertainty around large-scale data center investments.

Additional headwinds also weighed on sentiment. Reports cited by KuCoin News highlighted risks from potential U.S. export restrictions on advanced AI chips, which could limit Nvidia’s access to key markets such as China.

Despite these short-term pressures, the longer-term outlook remains supported by strong structural demand. Investopedia noted that continued investment in AI infrastructure is expected to sustain Nvidia’s growth, even as valuation and macro concerns create near-term volatility.

Overall, this week’s price action reflects a balance between strong AI-driven fundamentals and rising investor caution, keeping Nvidia among the most closely watched stocks globally.

Source: Reuters, Investopedia, KuCoin News

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WS Investor 04-28-26

08-26-26The Investor

08-26-26Global Finance News

NASDAQ:INTU

Intuit Stock Sinks 12% as FY2027 Growth Outlook Signals Sharp Slowdown

Intuit (NASDAQ: INTU) shares fell about 12% in premarket trading Wednesday despite reporting solid fiscal 2026 results, as investors focused on a significant slowdown in projected revenue growth for fiscal 2027 and weakness at Mailchimp and TurboTax.

Intuit finished fiscal 2026 with revenue rising 14% to $21.4 billion. GAAP operating income increased 20% to $5.9 billion, while GAAP EPS climbed 20% to $16.46. Fourth-quarter revenue also grew 14% to $4.4 billion.

Why Is INTU Stock Falling?

The primary concern appears to be the FY2027 outlook. Intuit expects total revenue of $23.28 billion to $23.51 billion, representing growth of just 9%-10%. That marks a noticeable deceleration from the 14% growth delivered in FY2026.

Several individual businesses also point to slower growth. TurboTax revenue is expected to increase only 2%-3% in FY2027, while the broader Consumer segment is projected to grow 4%-6%.

Mailchimp is an even clearer weak spot. Intuit expects Mailchimp revenue to range from a 1% decline to flat growth in FY2027. The company is also separating Mailchimp from Global Business Solutions and will report it as a standalone segment beginning this fiscal year.

Underlying TurboTax customer trends add to the caution. Total U.S. TurboTax units declined 2% in FY2026 to 39 million, including a 2% decline in online units and a 7% drop in desktop units.

AI Growth Remains a Long-Term Catalyst

There were still significant positives. Intuit said its strategic "Big Bets" grew 34% in FY2026 and generated 30% of total revenue, while management continues to position the company as an AI-driven financial platform.

QuickBooks Online Accounting revenue grew 23% for the year, Credit Karma increased 20%, and TurboTax Live jumped 37%, reaching 53% of total TurboTax revenue.

Intuit also expects strong FY2027 earnings growth, including GAAP EPS growth of 22%-24%, and increased its quarterly dividend by 15%.

Still, the 12% premarket selloff suggests investors are prioritizing the expected slowdown in top-line growth, particularly the weak Mailchimp outlook and modest TurboTax growth, over Intuit's continued margin expansion and AI-driven long-term strategy.

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Global Finance News 08-26-26

Intuit Stock Rises 3.9% as Deutsche Bank Sets $425 Price Target

Intuit (NASDAQ: INTU) shares are up about 3.9% after Deutsche Bank initiated a $425 price target on the financial software company, adding a positive analyst catalyst for the stock.

The $425 target compares with Intuit's current share price of $364.22, implying approximately 17% upside.

Intuit holds a leading position in financial technology and business software through platforms including TurboTax, QuickBooks, Credit Karma and Mailchimp. Its large base of consumers and small-business customers provides substantial recurring revenue, while the company is increasingly integrating artificial intelligence and automation across its products.

The analyst action comes as investors continue to focus on Intuit's ability to use AI to automate accounting, tax preparation and financial management. The company's established ecosystem and extensive financial data could give it a strong competitive position as AI adoption accelerates across the fintech and enterprise software sectors.

Intuit's 3.9% gain suggests the new $425 price target is contributing to positive investor sentiment, with the implied upside reinforcing expectations for continued growth in its core financial software businesses.

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Global Finance News 08-19-26

Intuit Stock Falls 2.4% as Mizuho Cuts Price Target to $430

Intuit (NASDAQ: INTU) shares fell about 2.4% on Monday after Mizuho lowered its price target on the financial software company, adding pressure to the stock despite maintaining a positive rating.

Mizuho analyst Siti Panigrahi reduced the firm’s price target on Intuit to $430 from $500 while keeping an Outperform rating. With INTU trading around $337.26 in the rating report, the revised target still implies approximately 28% upside.

The price-target reduction likely reflects a more cautious assessment of Intuit’s near-term growth and valuation rather than a fundamental change in the analyst’s longer-term investment thesis. The maintained Outperform rating suggests Mizuho continues to see attractive upside potential despite lowering its expectations.

Intuit remains a major player in financial software through platforms including QuickBooks, TurboTax, Credit Karma and Mailchimp. The company has increasingly positioned artificial intelligence as a key part of its strategy, using AI-driven tools to automate accounting, tax preparation and financial decision-making for consumers and small businesses.

Monday’s 2.4% decline indicates investors are focusing on the sizable 14% reduction in Mizuho’s price target. However, the retained Outperform rating and $430 target suggest the brokerage remains constructive on Intuit’s longer-term prospects.

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WS News 08-17-26

Intuit Expands AI-Powered Finance Tools Across QuickBooks and Enterprise Suite

Intuit (NASDAQ: INTU) is expanding its AI capabilities across QuickBooks Online Advanced and Intuit Enterprise Suite, strengthening its push into the mid-market financial software and ERP sector.

The company introduced Intuit Intelligence Chat, which allows CFOs and controllers to ask questions about financial performance, identify anomalies, generate reports and initiate workflows using natural language. The system can also recommend actions while maintaining human approval and auditability.

QuickBooks Online Advanced is adding AI-powered bookkeeping through Books Upkeep, which automatically processes high-confidence transactions and directs exceptions to users. New business intelligence tools also provide real-time KPI monitoring and conversational forecasting.

Meanwhile, Intuit Enterprise Suite is expanding further into the ERP market with AI-assisted multi-entity accounting, multi-currency support and deeper industry-specific capabilities for construction, manufacturing and nonprofits.

The expansion strengthens Intuit's position in AI-powered financial software as the company moves beyond traditional small-business accounting toward larger and more complex organizations. The new capabilities are rolling out to U.S. customers across QuickBooks Online Advanced and Intuit Enterprise Suite.

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WS Investor 08-12-26

Intuit Plunges 13% in Premarket as Massive Layoffs and Restructuring Charges Overshadow Strong Results

Intuit tumbled 13% in premarket trading today despite reporting a genuinely strong third quarter and raising full-year guidance, as investors focused almost entirely on a jarring announcement buried in the capital allocation section — a 17% reduction in its full-time workforce alongside $300 million to $340 million in restructuring charges.

The underlying financial results were hard to fault. Total revenue grew 10% to $8.6 billion. Consumer revenue rose 8% to $5.3 billion, with TurboTax up 7% to $4.4 billion and Credit Karma accelerating 15% to $631 million on strength in personal loans, auto insurance and home loans. Global Business Solutions grew 15% to $3.3 billion, with Online Ecosystem revenue up 19% and QuickBooks Online Accounting up 22%. GAAP diluted EPS rose 11% to $11.09 and non-GAAP diluted EPS grew 10% to $12.80. The company also received board approval for a new $8 billion share repurchase authorization and raised its quarterly dividend 15% to $1.20 per share.

Full-year guidance was raised across every metric, with total revenue now expected to grow 13% to 14% to approximately $21.36 billion, and non-GAAP diluted EPS growth of approximately 18% to $23.80 to $23.85.

None of that mattered to the market this morning. The workforce reduction announcement — framed as a move to simplify organizational structure and become a faster, leaner, more focused company — immediately raised questions about the nature of the restructuring. Coming from a company that has been vocal about its AI-driven expert platform strategy, the layoffs could be interpreted as AI beginning to displace human roles within Intuit itself, most notably in TurboTax Live where human experts assist customers. TurboTax Live revenue is expected to grow 36% to $2.8 billion for the full year, representing 53% of total TurboTax revenue — a business built on human expertise that may now be facing internal automation pressure.

The $300 million to $340 million in restructuring charges will largely hit Q4, depressing GAAP EPS for the quarter to just $0.73 to $0.79 despite healthy underlying business momentum.

The 13% premarket drop reflects a market unsettled by the scale and timing of the workforce reduction — a signal that even the companies building AI tools are not immune to the disruption those tools create.

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The Investor 05-21-26

Intuit Achieves FedNow Certification to Enable Instant Payments

Intuit Inc. announced it has completed certification for the Federal Reserve’s FedNow Service, allowing it to expand real-time payment capabilities for businesses.

The integration enables instant money movement across Intuit’s platform, helping small and mid-sized businesses get paid faster, manage cash flow more efficiently, and access funds immediately. Key features include instantly payable invoices, real-time payroll, and on-demand bill payments.

By connecting to FedNow, Intuit can partner with financial institutions to process instant transactions, reducing reliance on slower traditional systems such as ACH.

The company said the move supports its broader strategy to unify payments, payroll, and banking services, improving financial decision-making and operational efficiency for its customers.
Business Wire

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WS Investor 04-09-26

SaaSpocalypse Revisited: Three Fears, Three Answers

Explore the SaaSpocalypse Revisited: Three fears addressed and the future of SaaS stocks after recent market fluctuations.

(thesmartinvestor.com.sg)

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Global Finance News 04-08-26

Intuit Inc. reported second-quarter fiscal 2026 revenue of $4.7 billion, up 17% year over year, and reiterated its full-year guidance, citing strong momentum across its AI-driven platforms.

GAAP operating income rose 44% to $855 million, while non-GAAP operating income increased 23% to $1.5 billion. GAAP diluted earnings per share climbed 49% to $2.48, and non-GAAP EPS grew 25% to $4.15. Global Business Solutions revenue rose 18% to $3.2 billion, with Online Ecosystem revenue up 21%. Consumer revenue increased 15% to $1.5 billion, driven by 23% growth at Credit Karma and 12% growth at TurboTax.

Intuit repurchased $961 million of stock during the quarter and raised its quarterly dividend 15% to $1.20 per share. The company reaffirmed full-year fiscal 2026 revenue guidance of $20.997 billion to $21.186 billion, representing growth of approximately 12% to 13%, alongside double-digit earnings growth expectations.

Source: Intuit Inc, Business Wire, February 26, 2026.

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Global Finance News 02-28-26

Intuit (Nasdaq: INTU) has entered a multi-year partnership with Anthropic to integrate Claude AI into its financial technology platform, enabling mid-market businesses to build secure, industry-specific AI agents and bringing Intuit’s financial expertise directly into Anthropic’s products.

Through integration of Anthropic’s Claude Agent SDK, businesses will be able to create customized AI agents on the Intuit platform tailored to their workflows, compliance needs and industry requirements. These agents can combine third-party operational data with Intuit financial data to automate insights, flag risks and support decision-making.

Intuit’s tax, accounting, finance and marketing capabilities — spanning TurboTax, Credit Karma, QuickBooks and Mailchimp — will also be accessible within Anthropic products including Claude*ai, Cowork and Claude for Enterprise. The companies said the collaboration will deliver personalized financial intelligence across both ecosystems.

In addition, Intuit will deploy Claude Code across its engineering organization to accelerate product development. The new AI-powered experiences are expected to begin rolling out in spring 2026.

Source: Business Wire, February 24, 2026.

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Global Finance News 02-24-26

Intuit (Nasdaq: INTU) announced a new campaign with Uber Advertising to support the expansion of TurboTax’s Human Intelligence (HI) service model, offering eligible customers a free Uber ride—up to $25—to one of nearly 600 TurboTax Expert Offices or 20 new retail stores.

The initiative is designed to promote TurboTax’s hybrid “done-for-you” tax experience, where Agentic AI automates data entry for most standard tax forms while local tax experts handle personalization and complex scenarios. The company says the model reduces friction by combining digital tools with in-person expertise in newly designed, stress-reducing retail locations.

To drive adoption, new or returning filers who did not use TurboTax Expert Full Service last year can access Expert Full Service (Federal and State) for a flat fee of $150 if they file by March 18, 2026.

The Uber ride offer is available in select U.S. markets through April 15, subject to promotional limits and conditions.

Source: Business Wire.

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WS Investor 02-19-26

08-26-26Global Finance News

08-25-26WS Investor

08-24-26European Investor

US

US Stocks Open Slightly Lower as PCE Inflation Remains Elevated

US stocks opened modestly lower on Wednesday as investors assessed July inflation data that showed underlying price pressures remained persistent.

The S&P 500 slipped 0.07% to 7,671.53 shortly after the opening bell, while the Dow Jones Industrial Average fell 0.15% to 53,499.19. The technology-heavy Nasdaq Composite declined 0.28% to 26,079.36, underperforming the broader market.

Core PCE Holds at 3.3%

The Federal Reserve's closely watched core PCE price index increased 3.3% year over year in July, unchanged from the previous month and matching market expectations.

On a monthly basis, core PCE rose 0.2%, also in line with forecasts, but accelerating slightly from June's 0.1% increase.

Headline inflation delivered a somewhat firmer signal. The PCE price index rose 0.2% month over month, above the 0.1% expected and reversing the previous month's 0.1% decline. Annual headline PCE inflation came in at 3.7%, slightly above the 3.6% forecast but unchanged from June.

Inflation Data Keeps Fed Outlook in Focus

The figures suggest inflation remains sticky, with both headline and core PCE running well above the Federal Reserve's 2% target. While the core readings matched expectations, the hotter-than-forecast monthly headline figure offered little evidence of a decisive return toward price stability.

That may be contributing to the cautious start on Wall Street, particularly in rate-sensitive technology stocks, with the Nasdaq posting the largest decline among the three major indexes.

Investors will now assess whether persistent inflation pressures could keep US monetary policy restrictive for longer than previously anticipated.

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The Investor 08-26-26

U.S. Stocks Edge Higher Despite Weak Housing Data and Escalating Canada Trade War

U.S. stocks traded modestly higher Tuesday as investors weighed mixed economic data against a sharp escalation in trade tensions between the United States and Canada.

The Nasdaq Composite led gains, rising 0.60%, while the S&P 500 advanced 0.27% and the Dow Jones Industrial Average added 0.11%.

U.S. Economic Data Sends Mixed Signals

ADP's weekly employment estimate showed private-sector employment increasing by 11,800, up from 9,500 previously, signaling continued resilience in the labor market.

Other data were weaker. The Conference Board's Consumer Confidence Index fell to 89.4 in August from 90.2, missing the 90.3 forecast. New home sales also dropped sharply to an annualized 607,000 in July from 678,000 and came in below expectations of 620,000.

The softer housing and confidence readings could support expectations for a less restrictive Federal Reserve policy outlook, helping offset concerns about the labor market remaining relatively firm.

U.S.-Canada Trade Tensions Escalate

Trade developments added uncertainty to the session after Canada announced retaliatory tariffs on about C$27.6 billion, or roughly $20 billion, of U.S. goods. The measures, scheduled to take effect September 8, will impose tariffs ranging from 15% to 50% on hundreds of product categories, including steel, aluminum, appliances, electronics, clothing and agricultural products.

Canada's action follows new 50% U.S. tariffs on roughly $20 billion of Canadian imports after trade negotiations between the two countries broke down. President Donald Trump has also threatened further tariffs on Canadian automobiles and auto parts, increasing concerns about disruption to highly integrated North American supply chains.

Despite the escalation, U.S. equities remained positive, with technology stocks providing the strongest support to the broader market. Investors are now balancing expectations for easier monetary policy against the inflation and growth risks created by the expanding U.S.-Canada trade dispute.

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WS Investor 08-25-26

US Stock Futures Fall as Strong Economic Data and Higher Treasury Yields Pressure Markets

U.S. stock futures moved lower Thursday after stronger-than-expected manufacturing and labor-market data reinforced expectations that the Federal Reserve may have less room to ease monetary policy, while Treasury yields moved higher.

Dow futures fell 0.56%, Nasdaq 100 futures declined 0.48%, and S&P 500 futures were down 0.23%.

Strong Economic Data Pushes Yields Higher

The Philadelphia Fed Manufacturing Index surged to 47.4 in August, far above the 24.1 forecast and up from 41.4 previously, signaling strong manufacturing activity.

Initial jobless claims also came in stronger than expected, falling to 206,000 from 212,000 versus the 210,000 forecast. Continuing claims increased to 1.799 million, slightly above expectations of 1.790 million.

Following the data, the U.S. 10-year Treasury yield climbed to around 4.702%, up roughly 5.2 basis points on the day.

The combination of stronger manufacturing activity and low layoffs reduces the immediate case for easier Federal Reserve policy, putting upward pressure on bond yields and weighing on equities.

Technology and other rate-sensitive stocks are particularly exposed to rising yields, contributing to the decline in Nasdaq futures. Markets will now assess whether the latest economic strength leads investors to further scale back expectations for future Fed rate cuts.

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European Investor 08-20-26

US Stocks Rise as Treasury Bond-Market Support Eases Yield Pressure

U.S. stocks were mostly higher Wednesday as the Treasury Department’s expanded bond-buyback operations continued to support sentiment by easing pressure in the government debt market.

The S&P 500 was up 0.37% at 7,719.85, while the Dow Jones Industrial Average gained 0.46% to 53,588.62. The Nasdaq Composite, however, slipped 0.05% to 26,277.81, giving back its earlier gains as technology stocks lagged the broader market.

Treasury Intervention Brings Relief to Bonds and Stocks

The main catalyst supporting risk sentiment was Treasury Secretary Scott Bessent’s move to bolster liquidity in the Treasury market. The department said it would at least double the maximum size of liquidity-support buybacks for longer-dated Treasury securities, increasing operations from $2 billion to at least $4 billion and targeting the 10- to 30-year portion of the curve.

Bond yields dropped sharply following the announcement. The benchmark 10-year Treasury yield fell about 6 basis points to around 4.65%, while the 30-year yield declined roughly 9 basis points to around 5.20%. Treasury prices and yields move inversely.

The action has provided some relief after the recent surge in long-term borrowing costs became a major headwind for equities. The 30-year Treasury yield had climbed to around 5.34% on Tuesday, its highest level in nearly two decades, amid concerns over government borrowing, inflation, the U.S.-Iran conflict and elevated energy prices.

Dow Leads While Nasdaq Loses Momentum

The latest market action shows a divergence beneath the headline indexes. The Dow is now outperforming with a 0.46% gain, while the S&P 500 remains moderately higher. The Nasdaq has reversed its earlier advance and is trading slightly lower.

The reversal suggests that lower Treasury yields have not been enough to sustain the initial rebound in technology stocks. Growth and technology shares remain particularly sensitive to changes in long-term rates because higher yields reduce the present value of expected future earnings.

For the broader market, however, Treasury intervention has eased one of Wall Street’s most immediate concerns and helped stabilize financial conditions.

Investors will continue to monitor the Treasury market, oil prices and developments surrounding the U.S.-Iran conflict. The Federal Reserve’s July meeting minutes are also in focus for additional clues about the outlook for monetary policy, inflation and interest rates.

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Global Finance News 08-19-26

Atlanta Fed GDPNow Estimate for Q3 Slips to 4.0%

The Atlanta Federal Reserve’s GDPNow model lowered its estimate for U.S. economic growth in the third quarter of 2026 to 4.0%, down from the previous estimate of 4.3%.

Despite the downward revision, the estimate continues to point to a strong pace of U.S. economic expansion. A 4.0% annualized growth rate would indicate that economic activity remains resilient heading deeper into the second half of the year.

The slight downgrade from 4.3% suggests incoming economic data have modestly softened the model’s assessment of Q3 growth rather than signaling a major deterioration in the economic outlook.

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European Investor 08-18-26

U.S. Stocks Fall as Iran Conflict, Rising Oil Prices and Treasury Yields Pressure Markets

U.S. stocks traded lower Tuesday as the continuing U.S.-Iran conflict pushed oil prices higher and intensified concerns about inflation and interest rates, with technology stocks leading the decline.

The Nasdaq Composite fell 1.3% to 26,301, underperforming the broader market. The S&P 500 declined 0.49% to 7,707, while the Dow Jones Industrial Average was down 0.06% at 53,429.

The risk-off move comes as hopes for a lasting resolution to the U.S.-Iran conflict fade. Iran has shifted toward a more offensive military posture after efforts to negotiate a permanent end to the conflict stalled, while Washington declined to extend the temporary ceasefire.

Oil and Bond Yields Add Pressure

Energy markets remain one of the main channels through which the conflict is affecting U.S. equities. Brent crude rose for a third consecutive session Tuesday, trading around $91 per barrel and reaching its highest level in nearly three weeks as continued restrictions around the Strait of Hormuz raised concerns about global oil supplies.

Higher oil prices are feeding concerns that energy costs could keep inflation elevated, complicating the outlook for monetary policy.

Those concerns have spilled into the bond market. The U.S. 30-year Treasury yield climbed as high as 5.327%, its highest level since 2007, while the benchmark 10-year yield was also around 4.73%. The rise in long-term yields reflects a combination of inflation concerns related to the conflict and oil prices, alongside broader worries about U.S. borrowing and debt issuance.

The combination of higher energy prices and rising bond yields is particularly challenging for growth and technology stocks, helping explain the Nasdaq's sharper decline.

Latest U.S. Data Point to Softer Economic Momentum

Tuesday's economic releases added another layer of uncertainty.

U.S. housing starts dropped 12.4% month-over-month in July to an annualized 1.239 million units, well below expectations of 1.340 million and down sharply from 1.415 million previously.

Industrial production increased just 0.2% month-over-month in July, below the 0.3% forecast and previous reading. On a year-over-year basis, production growth slowed to 1.08% from 1.29%.

The labor market offered a somewhat stronger signal. Weekly ADP employment growth came in at 9,500 jobs, up from 8,300 previously.

Taken together, the data point to uneven economic momentum: employment continues to expand, but housing activity weakened sharply and industrial production grew more slowly than expected.

For Wall Street, however, geopolitics remains the dominant driver Tuesday. As long as the U.S.-Iran conflict keeps Brent crude elevated and pushes longer-term Treasury yields higher, pressure on equity valuations — particularly in the technology sector — is likely to remain a central market risk.

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The Investor 08-18-26

U.S. Stocks Mixed as Strong Empire State Manufacturing Data Complicates Fed Outlook

U.S. stocks traded mixed Monday as investors weighed unexpectedly strong manufacturing data against continued strength in technology and AI-related shares.

The S&P 500 was down 0.14% at 7,774.51, while the Dow Jones Industrial Average fell 0.34% to 53,548.44. The technology-heavy Nasdaq bucked the trend, rising 0.13% to 26,764.38.

The New York Fed’s Empire State Manufacturing Index climbed to 20.6 in August from 15.6 in July, substantially exceeding the 10.6 market forecast and reaching its highest level in more than four years. New orders and shipments also recorded solid gains, pointing to stronger manufacturing activity in New York State.

The stronger report offered a positive signal for U.S. economic growth but also complicated the interest-rate outlook. Input-price pressures increased in the survey, potentially reinforcing concerns that the Federal Reserve may need to remain cautious about declaring inflation fully contained.

Technology stocks were providing support to the Nasdaq, with renewed strength in AI and semiconductor names helping the index outperform the broader market. Investors are also looking ahead to Wednesday’s Federal Reserve meeting minutes for additional clues on the policy outlook.

For Wall Street, the combination of resilient economic activity and easing inflation remains broadly constructive, but stronger growth and renewed price pressures could limit expectations for a more accommodative Fed.

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European Investor 08-17-26

Inflation is increasingly in focus for the US bond market and the Fed, says Mike Mitchell, head of US Treasury and Inflation Trading at Goldman Sachs.

(goldmansachs.com)

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European Investor 08-15-26

U.S. Stocks Slip as Weak Retail Sales and Consumer Sentiment Raise Growth Concerns

U.S. stocks are trading modestly lower Friday after a weaker-than-expected batch of economic data raised fresh concerns about consumer demand and the near-term growth outlook.

The S&P 500 is down 0.07% at 7,793.67, while the Dow Jones Industrial Average is 0.18% lower at 53,741.48. The Nasdaq Composite is down 0.19% at 26,751.53.

Retail Sales Weaken in July

The main pressure comes from July retail sales. Headline retail sales fell 0.6% month over month, considerably weaker than the 0.1% increase expected by economists and reversing the previous month's 0.2% gain.

Core retail sales also disappointed, declining 0.3% compared with expectations for a 0.2% increase. The previous reading was a 0.2% decline.

The figures point to softer consumer spending momentum entering the second half of the year. Because household consumption remains a major driver of the U.S. economy, the downside surprise is reinforcing concerns that economic growth could lose some momentum.

Consumer Sentiment Falls as Inflation Expectations Rise

The University of Michigan's preliminary consumer sentiment index for August dropped to 51.0 from 55.2, well below the 54.7 consensus estimate.

Consumer expectations weakened as well, falling to 50.6 from 55.4 and missing expectations of 55.2.

At the same time, one-year inflation expectations increased to 4.3% from 4.2%. The combination of weaker confidence and slightly higher inflation expectations presents a less favorable macro backdrop: consumers are becoming more cautious while inflation concerns remain elevated.

Why Are U.S. Stocks Down?

Friday's data create a mixed signal for monetary policy. Weak retail spending and deteriorating consumer confidence strengthen the case for easier Federal Reserve policy, but the increase in short-term inflation expectations could complicate that outlook.

The relatively small declines across the S&P 500, Dow and Nasdaq suggest investors are not treating the data as evidence of a severe downturn. Instead, the market reaction reflects renewed caution over whether softer consumer demand could begin weighing more materially on corporate earnings and U.S. economic growth during the second half of 2026.

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Global Finance News 08-14-26

U.S. Stocks Rally as Softer PPI Supports Rate-Cut Hopes

U.S. stocks moved sharply higher Thursday as investors welcomed softer-than-expected producer inflation data, while labor-market figures offered a mixed but still relatively stable picture.

The Nasdaq led gains, rising 0.97% to 26,845.93, while the S&P 500 advanced 0.84% to 7,813.91. The Dow Jones gained 0.50% to 54,041.72.

The main catalyst was July's Producer Price Index. Headline PPI was unchanged month over month, below the 0.2% increase expected and following a 0.1% decline previously. Core PPI increased 0.2%, also below the 0.3% forecast and slowing from 0.4%.

The softer producer-price figures reinforced expectations that inflationary pressures in the production pipeline remain contained, potentially giving the Federal Reserve greater flexibility to lower interest rates.

Labor data were somewhat less supportive. Initial jobless claims rose to 209,000, above the 202,000 expected and 200,000 previously. However, continuing claims declined to 1.777 million, better than the 1.800 million forecast.

The combination of cooling producer inflation without clear evidence of severe labor-market deterioration created a favorable backdrop for equities. Technology stocks responded particularly strongly, helping the Nasdaq outperform as lower inflation expectations improved the outlook for interest-rate-sensitive growth valuations.

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The Investor 08-13-26

08-26-26The Investor

08-24-26The Investor

08-20-26WS Investor

NASDAQ:ZM

# Zoom Stock Drops 5.5% Premarket as Soft Growth and Cash Flow Overshadow Enterprise Momentum

Zoom Communications (NASDAQ: ZM) shares fell about 5.5% in premarket trading Wednesday after the company reported fiscal second-quarter 2027 results that showed improving enterprise momentum but continued relatively slow overall growth and weaker cash generation.

Total revenue increased 4.9% year over year to $1.28 billion. Enterprise revenue was considerably stronger, rising 7.8% to $787.5 million — its fastest growth rate in three years — while Online revenue increased just 0.6% to $489.7 million.

## Why Is Zoom Stock Falling?

Despite the headline revenue growth, several underlying figures may be weighing on investor sentiment.

GAAP operating income declined to $314.3 million from $321.7 million a year earlier. Operating cash flow also fell to $494.8 million from $515.9 million, while free cash flow decreased to $472.4 million from $508.0 million.

Growth also remains modest for a technology company positioning itself as an AI-driven enterprise platform. Zoom expects third-quarter revenue of $1.275 billion to $1.280 billion, effectively little changed sequentially from Q2's $1.277 billion.

For the full fiscal year, Zoom expects revenue of $5.085 billion to $5.095 billion and non-GAAP EPS of $6.08 to $6.12. The outlook appears to have offered investors little evidence of a near-term acceleration sufficient to justify stronger expectations.

There were nevertheless important positives. Enterprise net dollar expansion improved to 99% from 98%, customers generating more than $100,000 annually increased 8.2%, and Zoom said its AI-first Customer Experience portfolio is delivering high-double-digit ARR growth. Zoom Virtual Agent customers surged 256% year over year.

Zoom also maintained an exceptionally strong balance sheet with $7.2 billion in cash and marketable securities and approximately $1.3 billion remaining under its share-repurchase authorization.

The 5.5% premarket decline therefore appears less about a weak quarter and more about the quality and pace of future growth. Strong enterprise and AI adoption were offset by near-flat Online growth, declining cash flow and a Q3 revenue outlook suggesting that Zoom's broader growth reacceleration remains gradual.

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Global Finance News 08-26-26

Zoom Communications Surges 9.2% as AI Monetization Accelerates and Margins Expand Sharply

Zoom Communications jumped 9.2% on Friday after the video and enterprise communications platform delivered a first quarter that beat the high end of its own guidance, showed accelerating AI adoption and demonstrated that its transformation from a pandemic-era video tool into a broader AI-first platform for modern work is gaining genuine commercial traction.

Total revenue for Q1 fiscal 2027 grew 5.5% to $1,239.0 million, exceeding the high end of guidance. Enterprise revenue, the higher-quality segment, grew 7.2% to $755.7 million. The profitability improvement was the more striking story — GAAP operating margin expanded 450 basis points to 25.1%, and non-GAAP operating margin grew 130 basis points to 41.1%. GAAP net income nearly doubled to $425.7 million, or $1.42 per share, from $254.6 million, or $0.81 per share, a year ago. Non-GAAP EPS grew to $1.55 from $1.43. Free cash flow reached $500.5 million, up from $463.4 million, and total cash and marketable securities stood at $7.7 billion.

The AI metrics were the headline catalyst. AI Companion paid users grew 184% year over year, and My Notes reached 1.5 million licensed users within just four months of launch — a remarkably rapid adoption curve for a new product. Zoom Customer Experience continued to show accelerating high double-digit growth. The number of customers contributing more than $100,000 in trailing twelve-month revenue grew 8.2% to 4,534, and the net dollar expansion rate for enterprise customers ticked up to 99% from 98% — a sign that existing customers are spending modestly more even in a cautious enterprise spending environment.

For the full fiscal year 2027, Zoom guided for revenue of $5.080 billion to $5.090 billion, non-GAAP operating income of $2.065 billion to $2.075 billion and non-GAAP diluted EPS of $5.96 to $6.00, with free cash flow of $1.700 billion to $1.740 billion. The board also authorized an additional $1.0 billion in share repurchases on top of the $625 million already remaining.

The 9.2% surge reflects a market that had written off Zoom as a mature, ex-growth business and found instead a company that is monetizing AI faster than expected, expanding margins aggressively and generating substantial free cash flow — a combination that demands a meaningful reassessment of the company's long-term trajectory.

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Global Finance News 05-23-26

Bell and Zoom Launch Exclusive AI-Powered Collaboration Platform for Canadian Businesses

Bell Canada and Zoom have announced the launch of *Workplace from Bell and Zoom*, a new collaboration platform designed specifically for Canadian enterprises. Available exclusively through Bell, the platform integrates Zoom's AI Companion and includes communication tools such as calling, video conferencing, messaging, and file sharing.

Key benefits include:

* AI-first functionality embedded across all features.
* Seamless support for hybrid and remote work models.
* Enterprise-grade security.
* Simplified deployment for businesses of all technical skill levels.

Executives from both companies highlighted the partnership’s focus on addressing the growing need for flexible, secure, and fully integrated collaboration tools. The solution is set to launch nationally in 2025 and is backed by Bell’s robust Canadian network infrastructure.

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WS Investor 05-26-25

Shane Crehan, Chief Accounting Officer, will resign effective May 2, 2025, to join another company.

His departure is not due to any disagreement with Zoom. CFO Michelle Chang will assume the role of principal accounting officer in the interim. A successor search is underway.

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WS News 04-17-25

08-26-26The Investor

05-08-26The Investor

04-06-26European Investor

11-30-25WS News

11-24-25The Investor

Dow Jones Industrial

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The Investor 08-26-26

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WS Investor 08-25-26

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European Investor 08-20-26

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Global Finance News 08-19-26

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The Investor 08-18-26

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European Investor 08-17-26

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Global Finance News 08-14-26

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The Investor 08-13-26

Nasdaq Leads US Stocks Higher After Inflation Data Matches Expectations

U.S. stocks traded mostly higher Wednesday after July inflation data came in exactly in line with expectations, with technology shares outperforming as the report avoided an upside inflation surprise that could have renewed concerns over Federal Reserve policy.

The Nasdaq was the strongest major index, rising 0.48% to 26,573.43. The S&P 500 gained 0.19% to 7,742.85, while the Dow Jones Industrial Average lagged, slipping 0.03% to 53,776.39.

CPI Data Supports Technology Stocks

Headline U.S. CPI increased 0.1% month-over-month in July, matching expectations, while annual inflation eased to 3.4% from 3.5%.

Core CPI also matched forecasts, rising 0.2% monthly while the annual rate slowed to 2.5% from 2.6%.

The absence of an upside inflation surprise was particularly supportive for technology and other growth stocks. Cooling annual inflation reduces the risk that the Federal Reserve will need to return to a more aggressive monetary-policy stance, an environment generally favorable for higher-duration growth valuations.

However, because all four major CPI readings matched consensus estimates, the report did not provide a major dovish surprise. That helps explain the relatively moderate gain in the broader S&P 500 and the nearly flat Dow.

Nasdaq Outperforms Broader Market

The divergence among the major indexes points to stronger investor appetite for technology and growth stocks rather than a broad-based post-CPI rally.

The Nasdaq's 0.48% advance substantially outpaced the S&P 500's 0.19% gain, while the Dow remained slightly negative. AI and semiconductor shares continue to provide additional support to the technology-heavy index, alongside the favorable inflation reaction.

For Wall Street, the July CPI report largely preserves the existing macroeconomic narrative: inflation is gradually cooling, but remains above the Federal Reserve's 2% target. With the report producing no significant surprise, investors are likely to shift their attention toward upcoming economic releases and their implications for interest rates.

For now, the combination of easing annual inflation and no upside CPI shock is providing a modestly positive backdrop for U.S. equities, with technology stocks and the Nasdaq emerging as the clearest beneficiaries.

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WS Investor 08-12-26

US Stocks Rise After July Payrolls Shock as Weak Jobs Data Eases Fed Rate-Hike Fears

U.S. stocks moved higher Friday after a surprisingly weak July employment report reduced concerns that the Federal Reserve may need to raise interest rates again.

The Nasdaq is leading the advance, rising 0.74% to 26,543.88. The S&P 500 is up 0.28% at 7,731.76, while the Dow Jones Industrial Average is gaining 0.12% to 53,948.27.

The positive market reaction followed data showing the U.S. economy unexpectedly lost 23,000 jobs in July, compared with expectations for an increase of roughly 80,000–85,000. The prior month was also revised to a loss of 20,000 jobs, adding to evidence of a weakening labor market.

Wage Growth Also Comes in Weak

The payroll disappointment was accompanied by softer wage growth. Average hourly earnings increased just 0.1% month-over-month in July, below the 0.3% consensus estimate and the previous month's 0.3% increase.

Annual wage growth also slowed, reinforcing signs that labor-market-driven inflationary pressures are easing.

One counterpoint came from the unemployment rate, which unexpectedly declined to 4.1% from 4.2%. However, weaker labor-force participation complicated the otherwise positive signal from the lower unemployment rate.

Nasdaq Leads as Rate Expectations Support Tech Stocks

Technology stocks are outperforming as investors focus on what the weak employment report could mean for monetary policy.

The Nasdaq's 0.74% advance is considerably stronger than the S&P 500's 0.28% gain and the Dow's 0.12% rise. Growth and technology stocks tend to be particularly sensitive to interest-rate expectations, making them among the primary beneficiaries of reduced expectations for additional monetary tightening.

Stronger economic conditions had recently increased concerns that persistent inflation could force the Fed to maintain a restrictive policy stance or potentially return to rate increases. Friday's unexpectedly weak payroll and wage figures weaken that argument.

Weak Jobs Data Creates a Delicate Balance

The market reaction nevertheless highlights a delicate balance for investors.

Moderate labor-market cooling can be positive for equities because it reduces wage pressure and the risk of higher interest rates. But an outright decline in payrolls is a stronger warning signal. If job losses persist, attention could quickly shift from Fed policy toward concerns about consumer spending, economic growth and corporate earnings.

For now, Wall Street appears to be treating the July employment shock primarily as a dovish monetary-policy signal. The Nasdaq's strong outperformance suggests reduced rate-hike risk is outweighing concerns about the weakening U.S. labor market in Friday's early trading.

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Global Finance News 08-07-26

08-26-26The Investor

08-17-26WS News

08-04-26European Investor

07-20-26WS News

07-13-26WS News

NYSE:WSM

Williams-Sonoma Stock Falls 2% Despite Strong Q2 Results and Raised 2026 Outlook

Williams-Sonoma (NYSE: WSM) shares fell about 2% on Wednesday even after the home furnishings retailer reported strong second-quarter fiscal 2026 results and raised its full-year outlook.

The decline appears to reflect investor concerns over underlying margin pressure and the quality of the earnings beat, as a significant portion of the company's GAAP profit improvement came from one-time tariff refunds.

Sales Growth Remains Strong

Williams-Sonoma reported comparable brand revenue growth of 6.2%, while total revenue increased 6.7% year over year. Management said every brand delivered growth during the quarter and that the company continued to gain market share despite a challenging housing environment.

Non-GAAP diluted EPS rose 5% to $2.10, while non-GAAP operating income reached $338 million. The company maintained $1.0 billion in cash and generated $696 million in operating cash flow.

However, underlying profitability showed some pressure. Non-GAAP gross margin declined 160 basis points year over year to 45.5%, primarily because merchandise margin fell 230 basis points due to tariff costs. Non-GAAP operating margin declined 60 basis points to 17.3%.

Tariff Refunds Boost GAAP Earnings

The headline GAAP numbers were considerably stronger, with operating margin reaching 22.9% and diluted EPS jumping 42% to $2.84.

But these figures benefited substantially from tariff-related items. Williams-Sonoma recognized $167.8 million in reductions to cost of goods sold from refunds of previously paid IEEPA tariffs, partially offset by vendor reimbursements and a $10 million employee recognition expense.

The company therefore excluded these items from its non-GAAP results, making the adjusted figures a better indication of underlying operating performance.

Williams-Sonoma Raises 2026 Guidance

Williams-Sonoma nevertheless increased its full-year expectations. The company now forecasts fiscal 2026 net revenue growth of 4.7% to 7.2%, comparable revenue growth of 4.0% to 6.5%, and a non-GAAP operating margin of 17.8% to 18.2%.

The outlook assumes existing tariffs remain in place and oil prices stay elevated for the rest of the year.

The roughly 2% decline in WSM shares therefore appears less about weak demand and more about investors looking beneath the headline earnings numbers. Strong sales growth and higher guidance were positives, but declining underlying merchandise margins and continued tariff pressure may be limiting enthusiasm after the report.

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The Investor 08-26-26

Williams-Sonoma Stock Rises in Premarket After Piper Sandler Initiates Coverage With Overweight Rating

Williams-Sonoma (NYSE: WSM) shares gained 2.2% in premarket trading on Monday after Piper Sandler initiated coverage of the home furnishings retailer with an Overweight rating.

The analyst initiation reflects confidence in Williams-Sonoma's ability to sustain earnings growth despite a challenging consumer spending environment. The company has continued to benefit from its portfolio of premium brands, including Pottery Barn, West Elm, and Williams Sonoma, as well as its strong e-commerce platform and disciplined inventory management.

Piper Sandler's bullish stance comes as investors increasingly favor retailers with resilient margins, healthy cash generation, and loyal customer bases. Williams-Sonoma has consistently outperformed many peers through effective pricing strategies, operational efficiency, and a capital-light business model that has supported profitability even as discretionary spending has moderated.

The positive analyst action also follows improving sentiment toward the retail sector, supported by expectations that lower U.S. interest rates could help boost housing activity and consumer demand for home-related products over time.

Looking ahead, investors will focus on Williams-Sonoma's upcoming earnings report for updates on comparable sales, consumer demand trends, and margin performance. Any signs of a recovery in the housing market or discretionary spending could provide additional support for the stock in the coming quarters.

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European Investor 07-27-26

Williams-Sonoma Rises 2% as Consistent Execution and Margin Resilience Reassure Investors

Williams-Sonoma edged up 2% after the premium home furnishings retailer delivered a first quarter that demonstrated the kind of steady, reliable performance that has become its trademark — every brand positive, margins holding firm and full-year guidance reiterated with confidence.

Total comparable brand revenue grew 4.8% in Q1, with every brand in the portfolio delivering positive comps. Operating income came in at $292 million with an operating margin of 16.2%, down just 60 basis points from a year ago. Diluted EPS grew 4.3% to $1.93. The company generated $156 million in operating cash flow and returned $373 million to shareholders through $288 million in buybacks and $85 million in dividends, all while maintaining a liquidity position of $652 million in cash.

The margin story deserves careful reading in the context of the current tariff environment. Gross margin of 44.0% declined 30 basis points year over year, reflecting lower merchandise margins of 100 basis points weighed down by tariff costs, partially offset by 50 basis points of supply chain efficiencies and 20 basis points of occupancy leverage. Merchandise inventories rose 9.0% to $1.46 billion, explicitly including approximately $60 million in incremental tariff costs — a figure that illustrates the real cost pressure the business is absorbing while still delivering positive comparable sales growth.

CEO Laura Alber's commentary was notably confident, pointing to compounding results year after year despite housing market cyclicality and macroeconomic headwinds. Full-year guidance was reiterated at comparable revenue growth of 2.0% to 6.0% and operating margin of 17.5% to 18.1% — a range that explicitly assumes elevated oil prices, no tariff refunds and all current tariff rates remaining in place for the full year.

The 2% gain reflects a market that found reassurance in a company that is not hiding from the tariff reality but rather building it into its assumptions and still delivering solid results. In a week where Walmart fell 7% and Target dropped 6.5% partly on margin concerns, Williams-Sonoma's ability to hold margin while absorbing tariff costs and grow comps across every brand was a genuinely differentiated message.

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European Investor 05-21-26

Three Brand Name Companies Outside Of Tech That Are On The Move

Last week’s push to new highs in the market continued...

(articles.stockcharts.com)

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Global Finance News 10-04-25

Williams-Sonoma Reports Strong Q1 2025 Results, Reaffirms Full-Year Outlook Despite Tariff Headwinds

Williams-Sonoma, Inc. (NYSE: WSM) announced solid first quarter fiscal 2025 results, with strong profitability and better-than-expected revenue growth, while reaffirming its full-year guidance.

Q1 2025 Highlights:
• Comparable brand revenue growth: +3.4%
• Net revenues: $1.73 billion, up 4.2% year-over-year
• Operating margin: 16.8%
• Diluted EPS: $1.85 (up 8.8% excluding a prior year freight adjustment)
• SG&A expenses: $475 million, or 27.5% of revenues (down 130bps from last year)
• Gross margin: 44.3% (adjusted -60bps YOY after excluding a prior year adjustment)
• Net income: $231 million
• Merchandise inventories: Up 10.3% to $1.3 billion, strategically pulled forward due to tariff concerns
• Cash position: $1.05 billion, despite $165 million returned to shareholders through buybacks and dividends

Brand Performance (Comparable Revenue Growth):
• Williams Sonoma: +7.3%
• Pottery Barn Kids and Teen: +3.8%
• Pottery Barn: +2.0%
• West Elm: +0.2%
• Total: +3.4%
Outlook:
• Full-year FY25 guidance reaffirmed:
o Net revenue range: -1.5% to +1.5%
o Comparable sales: flat to +3.0%
o Operating margin: 17.4% to 17.8%
• Guidance incorporates significant tariff impacts (30% on China, 25% on Mexico/Canada/steel/aluminum, 10% global reciprocal tariffs)
• Long-term goals remain unchanged: mid-to-high single-digit annual revenue growth and operating margins in the mid-to-high teens

Additional Notes:
• Q1 results include a retrospective adjustment from FY24 related to over-recognized freight expenses totaling $49 million, which impacted prior year comparables.
• A 2-for-1 stock split took effect on July 9, 2024; all share data reflects the split.
• The company ended Q1 with 508 stores, a net reduction of four locations during the quarter.

CEO Laura Alber cited strong performance across all brands and reaffirmed confidence in the company’s ability to adapt amid ongoing macroeconomic uncertainty.

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WS Investor 05-23-25

Williams-Sonoma, Inc. reported strong fourth-quarter and fiscal year 2024 results, surpassing expectations in key financial metrics. The company achieved a 3.1% increase in comparable brand revenue for Q4, along with a record operating margin of 21.5% and diluted EPS of $3.28. For the full fiscal year, comparable brand revenue declined by 1.6%, but the company still delivered a record annual operating margin of 17.9% and full-year diluted EPS of $8.50.

CEO Laura Alber highlighted the company's focus on operational efficiency, strategic product launches, and robust demand in retail and online furniture sales. She expressed confidence in the company's strategies for 2025, emphasizing a return to growth, enhanced customer service, and strong earnings performance.

Q4 gross margin increased to 47.3%, benefiting from occupancy leverage (+80 bps), higher merchandise margins (+40 bps), and supply chain efficiencies (+10 bps). Operating income reached $530 million, up 140 basis points year-over-year, while SG&A expenses increased by 7.6%, primarily due to higher performance-based compensation and advertising. The additional week in Q4 2024 contributed approximately 5.1% to revenue growth and 60 basis points to operating margin.

For the full fiscal year, the company achieved an operating income of $1.43 billion and an operating margin of 18.6%, or 17.9% excluding a $49 million out-of-period freight adjustment recorded in Q1. The company maintained strong liquidity with $1.2 billion in cash and generated $1.4 billion in operating cash flow. It returned $1.1 billion to shareholders through $807 million in stock repurchases and $280 million in dividends. The board approved a 16% increase in the quarterly dividend, raising it to $0.66 per share.

Looking ahead to fiscal 2025, Williams-Sonoma expects net revenue growth between -1.5% and +1.5% due to the impact of an extra week in 2024. On a comparable 52-week basis, the company projects comps between flat and +3.0% and an operating margin between 17.4% and 17.8%. Over the long term, it continues to target mid-to-high single-digit annual net revenue growth with an operating margin in the mid-to-high teens.

During Q1 2024, the company corrected a historical over-accrual of freight expenses, resulting in a one-time adjustment of $49 million that benefited gross margin. In Q2, it also completed a 2-for-1 stock split.

Segment-wise, Q4 revenue growth was led by Williams Sonoma (+5.7%), West Elm (+4.2%), and Pottery Barn Kids and Teen (+3.5%), while Pottery Barn saw a slight decline (-0.5%). For the full year, Pottery Barn (-6.2%) and West Elm (-2.0%) reported declines, while Williams Sonoma (+2.4%) and Pottery Barn Kids and Teen (+3.0%) posted gains.

The company continues to focus on innovation, operational efficiencies, and strategic investments to drive long-term profitability while maintaining a disciplined approach to cost management and shareholder returns.

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Global Finance News 03-19-25

08-26-26The Investor

06-03-26WS Investor

03-13-25The Investor

Brent Crude

Brent Crude Falls Nearly 3% as Iran-Oman Talks Ease Hormuz Supply Fears

Brent crude oil fell about 2.8% on Wednesday, trading near $84.86 per barrel, as renewed diplomatic efforts surrounding the Strait of Hormuz reduced the geopolitical risk premium embedded in oil prices.

The main catalyst is renewed negotiations between Iran and Oman over restoring shipping through the Strait of Hormuz. The discussions reportedly include proposals for a temporary navigational corridor and mine-clearing efforts, raising hopes that more oil and LNG shipments could move safely through the waterway. (Reuters)

Diplomatic progress elsewhere is reinforcing the move. Talks involving Iran and Pakistan have shown signs of progress, while the U.S. has refrained from immediately escalating military pressure. Markets have consequently reduced expectations of another major disruption to Middle Eastern oil supplies. (Reuters)

Another bearish factor is rising U.S. supply. American Petroleum Institute data indicated that U.S. crude inventories increased by 4.2 million barrels last week, compared with expectations for an increase of only around 1.8 million barrels.

The combination of easing Hormuz concerns, improving diplomatic expectations and rising U.S. inventories is pushing traders to remove part of the geopolitical premium that had supported crude prices, leaving Brent down nearly 3% in Wednesday trading.

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Global Finance News 08-26-26

Brent Crude Falls Nearly 1.6% as Traders Take Profit Ahead of New U.S. Iran Sanctions

Brent crude oil fell sharply on Monday, trading around $92.91 per barrel, down 1.57%, as investors took profits following last week’s strong gains and awaited details of a new U.S. sanctions package against Iran.

Brent had gained more than 5% last week as stalled U.S.-Iran negotiations and continued disruptions around the Strait of Hormuz increased concerns about global oil supplies. Monday’s decline therefore appears partly driven by profit-taking after that rally rather than a major improvement in the underlying geopolitical situation.

Iran sanctions create uncertainty

The immediate focus is on U.S. Treasury Secretary Scott Bessent, who is expected to announce additional sanctions against Iran later Monday. Washington has indicated that the measures could significantly increase economic pressure on Tehran and potentially target entities involved in purchasing or facilitating Iranian oil exports.

That creates conflicting forces for crude prices. Tougher sanctions could ultimately restrict Iranian exports and tighten global supply, which would normally support oil. However, investors are reducing positions ahead of the announcement because the scope and effectiveness of the measures remain uncertain.

Iranian exports to China have already fallen substantially. Estimated shipments to China dropped to roughly 534,000 barrels per day in August from 823,000 barrels per day in July, according to Reuters.

Hormuz remains the key risk

The broader supply risk has not disappeared. Oil shipments through the Strait of Hormuz remain constrained following the breakdown of U.S.-Iran peace negotiations, while the route historically handled roughly one-fifth of global oil supply.

For now, Brent’s decline toward $93 looks primarily like a pullback following last week’s rally combined with positioning ahead of Washington’s sanctions announcement.

The next major catalyst will be the details of the U.S. measures. If sanctions materially reduce Iranian oil exports or provoke further disruption around the Strait of Hormuz, the current decline could reverse quickly.

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The Investor 08-24-26

Brent Crude Jumps More Than 2% as U.S. Declares ‘Economic Warfare’ Against Iran

Brent crude oil climbed more than 2% on Thursday, extending its recent gains as the United States sharply escalated economic pressure on Iran, adding another layer of risk to an already fragile Middle East supply outlook.

Brent was trading around $93.70 per barrel in early trading, up approximately 2.3% on the day after starting from a previous reference level near $91.62.

The latest move puts Brent near its highest levels in several weeks, with geopolitical developments once again dominating the oil market.

U.S. Announces ‘Economic Warfare’ Against Iran

The main catalyst behind Thursday’s oil rally is President Donald Trump’s announcement of what he described as “Economic Warfare and Isolation on an unprecedented scale” against Iran.

Trump said the United States would launch what he called the “most crushing economic operation” ever imposed on a country and warned that countries providing Iran with financial, commercial or other economic support could themselves face significant economic consequences. (Reuters)

The announcement represents a significant escalation in Washington’s pressure campaign against Tehran and increases uncertainty surrounding Iranian oil exports and regional energy flows.

For crude markets, the critical issue is not simply the sanctions themselves but the possibility that tougher U.S. measures could restrict Iranian exports further, discourage countries from trading with Tehran and prolong the broader conflict.

Brent has now advanced for several consecutive sessions as concerns over Middle East supplies intensify.

UAE-Iran Tensions Add to Supply Concerns

The U.S. announcement is not the only geopolitical factor supporting oil.

The United Arab Emirates has suspended financial and economic ties with Iran, further reducing prospects for a near-term diplomatic breakthrough and adding another source of uncertainty to regional trade and energy flows.

With diplomatic channels under pressure and Washington shifting toward a more aggressive economic campaign, traders increasingly face the possibility that the disruption surrounding Iran and the Strait of Hormuz could persist longer than previously expected.

What to Watch for Brent Crude

The immediate direction of Brent will remain closely tied to developments between Washington and Tehran.

Markets will be watching for details on how the new U.S. economic measures will be implemented, particularly whether Washington introduces tougher restrictions on Iranian oil buyers, financial institutions or shipping networks.

Any measures that materially reduce Iranian exports or further disrupt traffic through the Strait of Hormuz could push the geopolitical premium in Brent higher. Conversely, renewed negotiations or signs of de-escalation could quickly remove part of that premium.

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The Investor 08-20-26

Brent Crude Holds Above $91 as Hormuz Uncertainty Supports Oil Prices

Brent crude remained above $91 per barrel on Wednesday as persistent uncertainty surrounding the Strait of Hormuz and the U.S.-Iran conflict continued to support global oil prices.

Brent futures were trading around $91.31, up 0.32%, extending their five-day gain to approximately 2.6%. Prices have climbed to their highest levels since late July as traders continue to price a geopolitical risk premium into crude.

Strait of Hormuz Remains the Key Risk

The central driver remains uncertainty over shipping through the Strait of Hormuz. Before the conflict, roughly one-fifth of global oil and LNG supplies passed through the Strait. Political signals have remained contradictory. U.S. President Donald Trump said Tuesday that no talks were taking place with Iran and maintained that the Strait was open. Iran, however, said the waterway would remain closed until the U.S. meets conditions including lifting oil sanctions and its blockade of Iranian ports.

Any progress toward restoring normal shipping could remove some of Brent's geopolitical premium, while further disruption or escalation in the U.S.-Iran conflict could push prices higher again.

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WS Investor 08-19-26

Brent Crude Rises Above $91 as U.S.-Iran Tensions Renew Supply Fears

Brent crude oil extended its advance on Tuesday, climbing above $91 per barrel as fading hopes for a U.S.-Iran peace agreement and continued disruption in the Strait of Hormuz increased concerns about global energy supplies.

Brent crude futures were trading around $91.32 per barrel in early trading, up approximately 0.5%. The benchmark briefly approached $91.75 during the session after settling 2.65% higher at $90.87 on Monday.

U.S.-Iran Diplomacy Stalls

The latest move follows a deterioration in relations between Washington and Tehran. Iran said it would shift to a “fully offensive” military posture after negotiations toward a permanent end to the conflict stalled, while the U.S. ruled out extending the temporary ceasefire agreement.

The breakdown in diplomacy has increased concerns that disruptions around the Strait of Hormuz could persist. Shipping activity remains extremely limited.

Supply Risk Keeps Brent Above $90

The geopolitical risk premium has returned rapidly to the oil market. Brent has now risen for a third consecutive session, while restricted tanker traffic and uncertainty over the duration of the Middle East conflict continue to raise concerns about the availability and transportation cost of regional crude supplies.

For oil markets, the Strait of Hormuz remains the critical factor. A diplomatic breakthrough that restores tanker traffic could remove part of the current risk premium, while further military escalation or prolonged shipping disruption could keep Brent elevated and increase the possibility of another move toward $100 per barrel.

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Global Finance News 08-18-26

Brent Crude Rises 1.5% as U.S. Threatens New Economic Pressure on Iran

Brent crude oil futures are up about 1.5% on Friday, trading near $88.35 per barrel, as renewed U.S.-Iran tensions increased concerns over Middle East oil supplies and the security of flows through the Strait of Hormuz.

The latest move follows comments from U.S. officials indicating that Washington is preparing significantly tougher economic measures against Iran. Treasury Secretary Scott Bessent said the administration plans to announce measures next week aimed at imposing an unprecedented level of economic isolation on Tehran. (Reuters)

Iran Sanctions and Hormuz Risks Lift Oil

The prospect of additional sanctions is adding a geopolitical risk premium to crude prices because tighter economic restrictions could further constrain Iranian oil trade and complicate efforts to stabilize regional energy flows. At the same time, the U.S. has indicated that its naval blockade of Iranian ports could be maintained indefinitely.

Friday's rise also represents a reversal from the previous session, when oil prices came under pressure from concerns about weaker demand and rising U.S. crude inventories. Brent is nevertheless on course for a weekly gain of around 4%, highlighting how geopolitical supply risks continue to outweigh some of the bearish demand signals.

The immediate direction for Brent is likely to remain highly sensitive to details of the upcoming U.S. measures, developments surrounding the blockade and any progress—or further deterioration—in negotiations with Iran. A further escalation that threatens physical oil flows could keep upward pressure on prices, while signs of renewed negotiations could quickly reduce the geopolitical premium.

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WS Investor 08-14-26

Brent Crude Falls 1.4% as Weaker Demand Outlook and U.S. Inventory Build Pressure Oil Prices

Brent crude oil fell sharply Thursday, with futures dropping about 1.4% to $87.76 per barrel as concerns over weakening global oil demand outweighed continuing geopolitical risks in the Middle East.

Large U.S. Inventory Build Adds Pressure

Another bearish factor came from the United States, where crude inventories unexpectedly surged by 17.4 million barrels, the largest weekly increase since January 2023. The substantial build, driven partly by lower exports, reinforced concerns that the physical market may be becoming better supplied.

Brent consequently moved down from around $89 earlier in the session and briefly approached $87.50 before recovering slightly.

Iran Risks Continue to Limit the Downside

Geopolitical conditions remain an important counterweight. The continuing U.S.-Iran standoff and uncertainty surrounding the Strait of Hormuz maintain a significant risk premium in crude prices, particularly given the importance of the waterway to global energy flows.

For now, however, demand concerns and rising U.S. inventories are dominating trading. Brent’s ability to hold above the $87-$88 area may depend on whether Middle East supply risks intensify again or incoming inventory and demand data provide evidence of tighter market conditions.

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Global Finance News 08-13-26

Brent Crude Rises Toward $90 as Strait of Hormuz Risks Keep Supply Concerns Elevated

Brent crude oil prices moved higher on Wednesday, extending recent gains as renewed tensions in the Middle East reduced hopes for a near-term normalization of oil flows through the Strait of Hormuz.

Brent futures were up around 0.55% at $89.40 per barrel in early trading, after briefly moving above $90. The international benchmark has strengthened in recent sessions as geopolitical developments once again put supply risks at the center of the oil market.

Strait of Hormuz Remains the Main Driver

The latest advance comes after new maritime attacks involving Iran-aligned Houthis and the United States further weakened expectations for an easing of the regional conflict. Iran has also maintained that the Strait of Hormuz will remain restricted unless its conditions are met, keeping uncertainty around one of the world's most important energy transit routes elevated.

The situation has become particularly important for crude pricing because roughly one-fifth of global oil and LNG supplies normally passed through the Strait before the conflict. Expectations that restrictions could ease had previously removed some of the geopolitical premium from crude prices, but fading prospects for a rapid reopening are now rebuilding that premium.

Supply Outlook Supports Higher Prices

The U.S. Energy Information Administration has also significantly revised its near-term oil outlook because of the disruption. The EIA now expects Brent spot prices to average around $85 per barrel during the third quarter, $11 above its previous forecast, citing reduced shipments through the Strait of Hormuz and the resulting decline in global inventories.

However, the agency expects some of the current pressure to ease later in the year. If traffic through Hormuz gradually increases and shut-in Middle Eastern production returns, the EIA forecasts Brent averaging around $78 per barrel in the fourth quarter.

What to Watch

For Brent, developments surrounding the Strait of Hormuz remain the dominant near-term catalyst. Any indication of progress toward reopening the waterway or a broader U.S.-Iran agreement could quickly reduce the geopolitical risk premium. Conversely, further attacks on vessels or energy infrastructure could push supply concerns higher and renew pressure on the $90 level.

U.S. inflation data will also be closely watched Wednesday. Higher oil prices themselves have become an important inflation risk, meaning the interaction between geopolitical tensions, energy costs and monetary-policy expectations could contribute to continued volatility across commodity markets.

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European Investor 08-12-26

Brent Crude Rises Above $84 as Hormuz Uncertainty and New Regional Attacks Support Oil Prices

Brent crude oil moved higher Monday as uncertainty over the reopening of the Strait of Hormuz combined with renewed attacks on energy infrastructure in the Middle East, keeping geopolitical supply risks firmly in focus.

Brent futures were trading around $84.52 per barrel, up 1.16%, bringing the benchmark close to the $85 level after a volatile several days.

The latest move comes as negotiations over the Strait of Hormuz remain uncertain. According to Reuters, Iran says it is nearing an agreement with Oman on new shipping lanes through the strait, but Tehran has tied a full reopening to additional U.S. concessions.

Saudi Refinery Attack Adds to Supply Concerns

Fresh attacks over the weekend have added another layer of risk to the oil market.

According to Reuters, Yemen's Iran-aligned Houthis said they attacked Saudi Aramco's Jazan refinery on Sunday, just days after Saudi Arabia signed a new defense pact with Turkey and Pakistan. Saudi Arabia's Energy Ministry confirmed that a fire occurred at the refinery and was extinguished without injuries, although it did not attribute the incident to the Houthis.

The escalation was not limited to Saudi territory. Reuters also reported that the Houthis attacked the Yemeni Red Sea port city of Mocha, killing seven people and wounding 30. Yemeni air defenses reportedly intercepted 11 drones during the assault.

These developments are particularly relevant to crude markets because the Houthis have declared a naval blockade against Saudi Arabia in the Red Sea. With Hormuz already disrupted, the Red Sea and Bab el-Mandeb have become even more important for regional energy exports.

According to Al Jazeera, the broader regional security environment also remains fragile as Iran and the U.S. continue negotiations while Tehran maintains conditions for a lasting agreement.

Brent Approaches $85

The combination of uncertain Hormuz negotiations and renewed attacks on Saudi energy infrastructure helps explain why crude prices remain elevated despite diplomatic efforts.

Brent's rise to $84.52 suggests traders are maintaining a substantial geopolitical risk premium. A credible agreement that restores normal shipping through Hormuz could pressure prices lower, but further attacks on Saudi facilities or disruptions around the Red Sea and Bab el-Mandeb could have the opposite effect.

For now, the combination of fragile negotiations and renewed regional attacks is keeping supply uncertainty elevated and supporting Brent crude near $85 per barrel.

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The Investor 08-10-26

Brent Crude Rises as Iran’s Hormuz Demands Renew Supply Concerns

Brent crude prices moved higher on Friday as uncertainty over the reopening of the Strait of Hormuz returned to the center of the oil market. The contract shown was trading around $79.83 per barrel, up roughly 1.3%.

According to Reuters⁠, Iran, working with Oman, has proposed restrictions that would prevent vessels it considers “hostile,” including U.S. and Israeli ships, from using the Strait. The proposal also reportedly includes penalties of up to 20% of cargo value for violations.

Hormuz Uncertainty Restores Risk Premium

The demands have raised doubts that negotiations will quickly restore normal commercial traffic through the crucial waterway. U.S. officials have also indicated that Washington would not accept an arrangement effectively leaving Iran in control of the Strait, according to Al Jazeera⁠.

The Strait of Hormuz normally handles roughly one-fifth of global oil supply, making any restrictions on shipping an immediate concern for energy markets.

For now, Brent is likely to remain highly sensitive to the negotiations. A workable agreement allowing normal tanker traffic could reduce the geopolitical premium, while further restrictions or a breakdown in talks could push supply concerns—and oil prices—higher.

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WS News 08-07-26

08-26-26Global Finance News

08-25-26WS Investor

08-24-26The Investor

08-20-26WS Investor

08-19-26WS Investor

US Bonds

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Global Finance News 08-19-26

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The Investor 08-18-26

Inflation is increasingly in focus for the US bond market and the Fed, says Mike Mitchell, head of US Treasury and Inflation Trading at Goldman Sachs.

(goldmansachs.com)

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European Investor 08-15-26

U.S. 6-Month Treasury Bill Yield Falls to 3.830%

The U.S. Treasury's latest six-month bill auction produced a yield of 3.830%, down slightly from 3.855% at the previous auction.

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WS Investor 08-10-26

U.S. Treasury Auction Yields Rise Ahead of Fed Decision as Investors Demand Higher Returns

U.S. Treasury yields moved higher on Monday after the Treasury’s latest debt auctions cleared at higher yields than the previous sales, reflecting investor caution ahead of this week’s Federal Reserve meeting and a busy slate of economic data.

The U.S. Treasury’s $69 billion 2-year note auction stopped at a high yield of 4.315%, up from 4.189% at the previous auction. Later in the day, the $70 billion 5-year note auction also cleared at a higher yield of 4.408%, compared with 4.200% previously.

The higher stop-out yields suggest investors demanded greater compensation to hold U.S. government debt, a sign that bond markets remain cautious about the outlook for interest rates and inflation. Treasury auctions are closely watched because they provide insight into investor demand for government securities and can influence borrowing costs across financial markets.

The auctions came just hours after softer-than-expected U.S. durable goods orders data, which pointed to moderating business investment but did little to change expectations that the Federal Reserve will leave interest rates unchanged at this week’s policy meeting.

Higher Treasury yields can weigh on equity valuations, particularly in growth sectors such as technology, by increasing discount rates used to value future earnings.

With the Federal Reserve’s policy announcement, key inflation data, and earnings from several mega-cap technology companies all due later this week, investors are likely to remain focused on the bond market for further signals about the direction of monetary policy and the broader U.S. economy.

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WS News 07-28-26

The U.S. Treasury's latest 10-year note auction attracted solid investor demand, with the high yield settling at 4.538%, modestly above the previous auction's 4.468% level.

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WS Investor 06-10-26

The US 2-Year Treasury note auction cleared at 4.071%, significantly above the previous 3.812%.

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WS Investor 05-26-26

The U.S. 10-year TIPS auction drew a yield of 2.169%, up from the previous 1.896%, indicating investors demanded higher real returns to hold inflation-protected government debt.

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European Investor 05-21-26

U.S. 30-year bond auction yield rose to 5.050%, up from the previous 4.876%.

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The Investor 05-13-26

The U.S. 10-year Treasury note auction came in weaker than the previous auction, due to today's inflation data.

High yield: 4.468%

Previous: 4.282%

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WS Investor 05-12-26

08-26-26Global Finance News

08-25-26WS Investor

08-24-26European Investor

NYSE:KSS

Bath & Body Works Rises 3.6% as Q2 Beats Guidance and Turnaround Shows Early Progress

Bath & Body Works (NYSE: BBWI) shares rose about 3.6% after the retailer reported fiscal second-quarter 2026 sales and earnings above its guidance and raised its full-year earnings outlook. The positive reaction comes despite continued sales pressure, suggesting investors are focusing on early signs that the company's turnaround strategy is beginning to gain traction.

Q2 Results Beat Expectations

Second-quarter net sales were $1.51 billion, down 2.3% year over year. While revenue remained under pressure, management said the result exceeded its guidance.

Adjusted EPS reached $0.62, compared with $0.37 a year earlier, while adjusted operating income increased to $225 million from $172 million.

However, the headline earnings improvement was heavily influenced by approximately $80 million of tariff refunds. Excluding that benefit, adjusted EPS would have been $0.31.

That distinction is important: the quarter was better than management expected, but the reported year-over-year earnings growth substantially overstates the improvement in the underlying business.

Turnaround Signals Support the Stock

The more encouraging development may be operational rather than purely financial.

Bath & Body Works reported its first quarter of direct net sales growth since 2021, which management attributed partly to improvements in its digital shopping experience. The company also cited sequential improvement in Body Care, stronger average unit retail on new product innovation and continued momentum through marketplace partnerships.

CEO Daniel Heaf said these developments provide early evidence that the company's "Consumer First Formula" strategy is working, although he acknowledged that underlying business trends remain pressured.

For investors, evidence that digital sales and key product categories are stabilizing could be particularly important after an extended period of weak growth.

Full-Year EPS Guidance Raised, But Sales Still Expected to Fall

Bath & Body Works raised fiscal 2026 GAAP EPS guidance to $3.13-$3.33 and adjusted EPS guidance to $2.60-$2.80. The company also expects approximately $650 million of free cash flow.

Sales guidance was narrowed to a decline of 2.5%-4%, indicating that management still expects revenue contraction for the year.

The near-term outlook also remains challenging. For Q3, sales are expected to decline 2.5%-5%, while adjusted EPS of $0.07-$0.12 would be substantially below $0.35 in the year-ago quarter.

The 3.6% rise in BBWI therefore appears to reflect a cautiously positive reaction rather than a clear return to growth. Q2 exceeded guidance, digital sales improved and management raised its earnings outlook, providing evidence that the transformation is making progress. Still, declining sales, weak Q3 earnings guidance and the large contribution from tariff refunds show that the underlying recovery remains at an early stage.

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The Investor 08-26-26

Kohl’s Corporation announced a leadership change effective immediately, appointing Michael Bender as Interim CEO following the termination of former CEO Ashley Buchanan for cause.

The decision came after an investigation found Buchanan had directed vendor transactions involving undisclosed conflicts of interest. His termination is not related to company performance or financial reporting.

Bender, a board member since 2019 and recently appointed Board Chair, brings experience from past executive roles at Eyemart Express, Walmart, L Brands, and PepsiCo. He will step down from his role as Board Chair while serving as Interim CEO. The Board will conduct a formal search for a permanent CEO.

Kohl’s also provided preliminary Q1 2025 financial expectations:
- Comparable sales: down 4.3% to 4.0%
- Operating income: $40 to $45 million
- Diluted EPS: a loss of $0.24 to $0.20

The company will report full Q1 2025 results on May 29, 2025.

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Global Finance News 05-01-25

08-26-26The Investor

07-23-25WS Investor

05-06-25WS News

05-01-25Global Finance News

S&P 500

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The Investor 08-26-26

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WS Investor 08-25-26

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European Investor 08-20-26

Health Care and Consumer Stocks Lead U.S. Market as Technology Lags

U.S. equities remained broadly higher Wednesday afternoon, but sector performance showed a sharp divergence, with health care surging while technology and industrial stocks remained under pressure.

The S&P 500 was up about 0.32% as of 2:38 p.m. ET, supported by strong gains in health care, consumer discretionary, consumer staples and materials.

Moderna Cancer Vaccine Breakthrough Fuels Health Care Rally

Health care was by far the strongest S&P 500 sector, jumping 3.59%, with a major catalyst coming from Moderna and Merck’s positive late-stage cancer-treatment results.

Moderna shares more than doubled after the companies reported that the personalized mRNA cancer therapy intismeran, when combined with Merck’s Keytruda, reduced the risk of melanoma recurrence and spread compared with Keytruda alone. Merck shares also jumped about 10%, while the news sparked a broader biotechnology rally. The Nasdaq Biotechnology Index climbed more than 4%, with BioNTech and other mRNA-related stocks also advancing sharply.

The results are particularly significant because they provide late-stage evidence that Moderna’s mRNA technology could have substantial applications beyond infectious-disease vaccines, improving sentiment toward the broader biotechnology industry.

Consumer discretionary was the second-strongest S&P 500 sector, rising 1.93%, followed by consumer staples at 1.46% and materials at 1.29%. Communication services gained 0.65%, while real estate advanced 0.52%.

Treasury Support Helps Broader Market

The broader improvement in sentiment also follows the Treasury Department’s move to expand liquidity-support buybacks for longer-dated government securities. The action helped ease some of the recent pressure on Treasury yields, providing support to rate-sensitive areas of the equity market.

Real estate’s 0.52% advance is consistent with the easing in long-term yield pressure, as lower borrowing costs tend to improve the relative outlook for the sector.

Technology Remains Under Pressure

Despite the broader market advance, technology continued to lag. The S&P 500 Information Technology sector fell 0.65%, helping explain why the Nasdaq was struggling to participate in the broader rally.

Industrials were the weakest sector, declining 0.71%. Financials fell 0.28% and energy slipped 0.16%, while utilities edged 0.11% higher.

Wednesday’s sector performance therefore points to a significant rotation beneath the headline indexes. Rather than technology leading the market, the S&P 500’s advance is being driven primarily by health care — amplified by the Moderna-Merck cancer breakthrough — alongside strength in consumer and materials stocks.

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WS News 08-19-26

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Global Finance News 08-19-26

S&P 500 Falls as Technology and Industrials Lead Sector Selloff

U.S. stocks remained under pressure Tuesday afternoon, with the S&P 500 down 0.58% as weakness in technology and industrial shares outweighed strong gains across defensive and energy sectors.

Information Technology was the weakest S&P 500 sector, falling 1.93%, making it a major drag on the broader index given its heavy weighting. Industrials followed with a 1.30% decline, while Communication Services fell 0.59% and Materials lost 0.58%.

Investors Rotate Toward Defensive Sectors

The selloff was far from uniform. Health Care led the market with a 1.75% gain, followed by Energy at +1.61% and Consumer Staples at +1.29%. Financials also advanced 0.63%.

The divergence points to a defensive rotation as investors reduce exposure to growth-sensitive areas while favoring sectors typically considered more resilient during periods of uncertainty.

Energy’s strength also comes amid elevated oil prices as the continuing U.S.-Iran conflict keeps geopolitical risk and concerns about energy supplies in focus.

With technology falling nearly 2% while Health Care, Energy and Consumer Staples post sizable gains, Tuesday’s sector performance suggests risk appetite remains fragile even as parts of the market continue to outperform.

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WS News 08-18-26

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The Investor 08-18-26

S&P 500 Slips as Energy Leads While Consumer and Communication Stocks Weigh

U.S. stocks traded lower Monday afternoon, with weakness across consumer-related and communication services shares outweighing gains in energy and selected technology stocks.

The S&P 500 fell 0.31% to 7,761.71 as of around 1:21 p.m. ET, with seven of the index’s 11 major sectors trading in negative territory.

Energy was the strongest sector, rising 0.75%, as renewed U.S.-Iran tensions and uncertainty surrounding the Strait of Hormuz supported crude oil prices and energy shares. Industrials followed with a 0.42% gain, while health care added 0.09%.

Information technology was narrowly positive, up 0.06%, but the headline number masked substantial strength among semiconductor and memory stocks. Sandisk, Micron and Marvell were among the notable gainers as enthusiasm around AI infrastructure and memory demand continued to support chipmakers.

Consumer and Communication Stocks Lead Declines

Communication services was the session’s weakest S&P 500 sector, falling 1.54%. Consumer staples dropped 1.37%, while consumer discretionary declined 1.27%. Real estate, utilities, materials and financials also traded lower.

The weakness comes as investors remain cautious about the U.S. consumer following Friday’s disappointing retail-sales data, while markets await earnings from major retailers including Walmart, Target and Home Depot for additional evidence on household spending conditions.

Interest rates are also back in focus. The 10-year Treasury yield moved toward 4.70% after the New York Fed’s Empire State Manufacturing Index climbed to 20.6 in August, well above expectations of 10.6. The stronger economic reading adds another layer of uncertainty to the Federal Reserve outlook.

Monday’s sector performance shows a distinctly defensive and selective market rather than a broad selloff. Energy and AI-related semiconductor strength are providing support, but weakness across consumer-oriented sectors and communication services is keeping the S&P 500 in negative territory.

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WS Investor 08-17-26

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European Investor 08-17-26

The Best Five Sectors This Week #78

Julius de Kempenaer presents his weekly update on US sector rotation using Relative Rotation Graphs.

(articles.stockcharts.com)

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European Investor 08-15-26

08-26-26The Investor

08-24-26European Investor

08-21-26Global Finance News

08-20-26WS Investor

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The Best Five Sectors This Week #78

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