Daily Wrap
Published after every US market close · Markets, news, rates and FX on one pageBroadcom's AI-driven earnings lift chip stocks as small caps lead
Market & SentimentSmall caps led, with the Russell 2000 up 1.18%, while the Dow rose 0.54% and the S&P 500 added 0.44%. Breadth was positive at 294 advancers versus 191 decliners, though only 47.7% of stocks are above their 50-day average, and 18 new highs against 8 lows. The neutral temperature score of 57 suggests a steady, selective market rather than a broad surge.
Sectors & StocksDell Technologies jumped 15.81%, likely on AI server demand, while Constellation Energy gained 3.47% and Regeneron added 3.42%. In contrast, cybersecurity names sold off: Palo Alto Networks fell 9.28%, Datadog lost 6.53%, Palantir dropped 5.81%, CrowdStrike declined 5.42%, and Fortinet slipped 4.52%. The split shows investors favoring AI hardware and defensive growth over high-multiple software.
Rates, FX & CryptoTreasury yields were little changed, with the 5-year down 1 basis point to 4.54% and the 10-year flat at 4.79%. The 2s10s spread held at 40 basis points. The dollar was steady: USD/CNY edged down 0.01%, EUR/USD slipped 0.1%, and USD/SGD eased 0.02%. No major FX or crypto moves to report.
Earnings & AnnouncementsBroadcom reported Q3 revenue up 86% year-over-year on strong AI demand and declared a quarterly dividend. HPE posted record Q3 revenue of $12.21 billion and raised full-year guidance. NetApp reported record Q1 revenue of $2.025 billion, while Brown-Forman saw revenue fall 1% but EPS rise 6% and reaffirmed guidance. AIG's executive chairman Zaffino stepped down, Rice became chairman; Hershey named Dave Hulays CFO; Kroger appointed Mark Ibbotson EVP of store operations; News Corp disclosed progress on its $1 billion buyback.
- Initial jobless claims and Fed speakers
- Any follow-through in AI hardware names
- Cybersecurity sector stabilization
- Treasury auction demand and yield curve