September S&P 500 E-Mini futures (ESU25) are up +0.25%, and September Nasdaq 100 E-Mini futures (NQU25) are up +0.15% this morning as a blowout outlook from Oracle buoyed sentiment, while investors geared up for crucial U.S. producer inflation data.
Oracle (ORCL) surged over +29% in pre-market trading after the enterprise software giant projected that booked revenue from its core cloud business would surpass half a trillion dollars in the coming months, stunning Wall Street and boosting optimism that the AI infrastructure rollout is accelerating. Chip stocks also climbed in pre-market trading on Oracle’s upbeat outlook, with Nvidia (NVDA), Advanced Micro Devices (AMD), and Broadcom (AVGO) up more than +2%.
In yesterday’s trading session, Wall Street’s major indexes closed higher. UnitedHealth Group (UNH) surged over +8% and was the top percentage gainer on the S&P 500 and Dow after the insurer said it expects about 78% of its Medicare Advantage members to be enrolled in top-rated Medicare plans next year. Also, Atlassian Corp. (TEAM) climbed more than +5% and was the top percentage gainer on the Nasdaq 100 after announcing plans to end its data center product over the next three years and move customers to its cloud platform. In addition, Nebius (NBIS) jumped over +49% after securing a deal worth up to $19.4 billion to provide Microsoft with AI infrastructure through 2031. On the bearish side, Albemarle (ALB) slumped more than -11% following a report that China’s CATL would soon restart its Yichun lithium mine.
A preliminary report from the Bureau of Labor Statistics on Tuesday showed that employers added 911,000 fewer jobs in the year through March than previously indicated in the monthly payroll data. The final figures will be released early next year.
“The labor market appears weaker than originally reported,” said Jeff Roach at LPL Financial. “A deteriorating labor market will allow the Fed to highlight the need to ease rates. Investors should expect the Fed to officially start the rate-cutting campaign at the next meeting.”
JPMorgan CEO Jamie Dimon told CNBC in an interview on Tuesday that the record revision to U.S. payrolls data underscores that the U.S. economy is contending with a slowdown. “The economy is weakening,” Dimon said. “Whether that is on the way to recession or just weakening, I don’t know.”
U.S. rate futures have priced in a 100% chance of a 25 basis point rate cut and a 10.2% chance of a 50 basis point rate cut at the Fed’s monetary policy committee meeting next week.
Meanwhile, a federal judge on Tuesday night blocked U.S. President Donald Trump from removing Lisa Cook from the Federal Reserve Board of Governors while a lawsuit challenging her dismissal proceeds.
In tariff news, the U.S. Supreme Court agreed on Tuesday to review the legality of President Trump’s sweeping global tariffs. The court placed the case on a fast track, setting oral arguments for the first week of November.
Today, all eyes are focused on the U.S. Producer Price Index, which is set to be released in a couple of hours. Economists, on average, forecast that the U.S. August PPI will stand at +0.3% m/m and +3.3% y/y, compared to the previous figures of +0.9% m/m and +3.3% y/y.
The U.S. Core PPI will also be closely monitored today. Economists expect August figures to be +0.3% m/m and +3.5% y/y, compared to July’s numbers of +0.9% m/m and +3.7% y/y.
U.S. Wholesale Inventories data will be released today. Economists anticipate that the final July figure will be unrevised at +0.2% m/m.
U.S. Crude Oil Inventories data will be released today as well. Economists expect this figure to be -1.900M, compared to last week’s value of 2.415M.
In the bond market, the yield on the benchmark 10-year U.S. Treasury note is at 4.082%, up +0.25%.
The Euro Stoxx 50 Index is up +0.10% this morning as investors keep a close eye on geopolitical developments and await fresh producer inflation data from the U.S. Retail stocks led the gains on Wednesday, with Inditex (0QWI.LN) rising over +6% after the Zara owner posted a strong start to its autumn sales. Technology stocks also advanced. Still, the benchmark index’s gains were limited by geopolitical risks after Poland’s military shot down drones that violated its airspace during a large-scale Russian attack in western Ukraine. Meanwhile, Reuters reported that U.S. President Donald Trump urged EU officials to impose tariffs of up to 100% on India and China over their purchases of Russian oil, in an effort to pressure Russian President Vladimir Putin to end the war in Ukraine. On the economic front, data released on Wednesday showed that Italy’s monthly industrial production rose more than expected in July, providing further evidence of recovery in the long-struggling manufacturing sector. Fitch Ratings on Tuesday boosted its 2025 Eurozone growth forecast to 1.1% from 0.8%. In other news, French President Emmanuel Macron appointed his defense minister and close ally, Sebastien Lecornu, as the new Prime Minister on Tuesday. In other corporate news, Novo Nordisk A/S (NOVOB.C.DX) rose more than +3% after the Danish company announced plans to reduce its workforce by about 11.5%.
Italy’s Industrial Production data was released today.
The Italian July Industrial Production rose +0.4% m/m, stronger than expectations of +0.1% m/m.
Asian stock markets today settled in the green. China’s Shanghai Composite Index (SHCOMP) closed up +0.13%, and Japan’s Nikkei 225 Stock Index (NIK) closed up +0.87%.
China’s Shanghai Composite Index closed slightly higher today as weak inflation data from the country fueled hopes for further policy easing. Optical transceiver stocks outperformed on Wednesday after Citi posted a bullish view on leading Chinese transceiver companies. Data from the National Bureau of Statistics released on Wednesday showed that China’s consumer prices in August fell at their fastest pace in six months. A drop in food prices and the impact of a high base from last year were the primary drivers of the CPI decline, according to Dong Lijuan, chief statistician at the NBS. At the same time, China’s factory deflation eased in August for the first time in six months, indicating that Beijing’s measures to curb excessive competition and price cuts in key industrial sectors were beginning to have an effect. Morgan Stanley analysts said in a note, “The August inflation print saw pockets of improvement, driven by anti-involution and consumer goods trade-in. Prices outside policy support remain soft.” Meanwhile, China’s industry ministry said on Wednesday it would begin a three-month campaign to curb false marketing and other online irregularities in the automotive sector. In other news, Fitch Ratings raised its 2025 China growth forecast to 4.7%, up from its June estimate of 4.2%. In corporate news, Baidu rose over +2% in Hong Kong after releasing an upgraded version of its AI reasoning model X1.1, claiming its performance rivals OpenAI’s GPT-5 and Google’s Gemini 2.5 Pro.
The Chinese August CPI was unchanged m/m and fell -0.4% y/y, weaker than expectations of +0.1% m/m and -0.2% y/y.
The Chinese August PPI fell -2.9% y/y, in line with expectations.
Japan’s Nikkei 225 Stock Index closed higher today, hitting a new record high, supported by overnight gains on Wall Street amid rising expectations of deeper interest rate cuts by the Fed. Gains in technology and financial stocks led the overall market higher on Wednesday. The Reuters Tankan poll released on Wednesday showed that Japanese manufacturers’ sentiment hit a three-year high in September, as trade uncertainties eased following Japan’s trade deal with the U.S. Meanwhile, Bloomberg reported on Tuesday that Bank of Japan officials believe it may still be possible to raise the benchmark interest rate again this year despite domestic political instability, as economic conditions have unfolded in line with expectations. The BOJ is widely expected to leave its rate unchanged next week, as officials continue to evaluate the economic impact of U.S. tariffs both domestically and internationally, though a rate hike could still occur in October or December. Earlier this week, Japanese Prime Minister Shigeru Ishiba announced his resignation, setting up a leadership race within the Liberal Democratic Party that will also determine the country’s next prime minister. In corporate news, Kansai Electric Power climbed over +5% after the Financial Times reported that activist investor Elliott Management had become one of the company’s top three shareholders. The Nikkei Volatility Index, which takes into account the implied volatility of Nikkei 225 options, closed down -1.02% to 24.35.
Pre-Market U.S. Stock Movers
Oracle (ORCL) surged over +29% in pre-market trading after the enterprise software giant projected that booked revenue from its core cloud business would surpass half a trillion dollars in the coming months, stunning Wall Street and boosting optimism that the AI infrastructure rollout is accelerating.
U.S.-listed shares of Taiwan Semiconductor Manufacturing Co. (TSM) gained about +2% in pre-market trading after the world’s largest contract chipmaker reported a 34% increase in August revenue, underscoring continued strong global demand for advanced AI chips.
GameStop (GME) rose more than +8% in pre-market trading after the videogame retailer reported stronger-than-expected Q2 results.
AeroVironment (AVAV) climbed over +4% in pre-market trading after the defense contractor posted better-than-expected FQ1 revenue and raised its full-year profit guidance.
Synopsys (SNPS) tumbled more than -22% in pre-market trading after the chip design software company reported downbeat FQ3 results and issued below-consensus FQ4 guidance.
You can see more pre-market stock movers here
Today’s U.S. Earnings Spotlight: Wednesday - September 10th
Chewy (CHWY), Daktronics (DAKT), Tsakos Energy (TEN), Oxford Industries (OXM), Lesaka Tech (LSAK), Currency Exchange Int (CURN), Culp (CULP), Vince (VNCE).
On the date of publication, Oleksandr Pylypenko did not have (either directly or indirectly) positions in any of the securities mentioned in this article. All information and data in this article is solely for informational purposes. For more information please view the Barchart Disclosure Policy here.
