North American Morning Briefing: Shares Mixed as Tech Sentiment Sours

Stock futures were mixed on Tuesday as investor mood on tech shares turned sour. Nasdaq futures fell as did futures for the S&P 500. Meanwhile, futures for the Dow Jones Industrial Average rose. "Technology stocks are again under pressure as investors reassess the durability of the AI-led equity rally ahead of a crucial earnings week," Tickmill Group said. Also damping sentiment is another rise in oil prices as traders weighed persistent Middle East supply risks against signs of recovering Gulf crude exports and prospects for additional Russian energy supplies. Oil's tight relationship with bonds has broken down of late, and the 10-year Treasury yield is down. General Motors and GE Aerospace are due to report results before markets open. Earnings from SpaceX, Netflix, and United Airlines are due after the close. Stocks to Watch 3M shares are jumping nearly 4% after the manufacturing conglomerate announced late Monday that it had expanded a deal to sell data center products to Amazon. CoreWeave shares are down more than 3% to drop below $60, and with premarket volume topping the leaderboard, as investors remain wary of the neo-cloud group's debt obligations. Crown Holdings stock is slipping more than 3% despite the maker of aerosol containers and aluminum cans on Monday reporting revenue and earnings that topped analysts' expectations. SK Hynix's stock fell over 4% in Seoul, as part of a broader tech selloff in Asia. Its U.S.-listed shares also fell premarket. Steel Dynamics shares are falling more than 6% after the steel producer reported earnings per share that came in shy of analysts' forecasts. Watch For: New Residential Construction - Housing Starts and Building Permits for September; GE Aerospace 3Q earnings; General Motors 3Q earnings; Netflix 3Q earnings; RTX 3Q earnings Today's Top Headlines/Must Reads: - How to Play the Retreat in Defense Stocks - Bison Ventures Raises $160 Million to Go Deep With Frontier-Tech Startups - Albertans Vote to Stay in Canada in Historic Referendum MARKET WRAPS Forex: The dollar fell as concerns about the sustainability of debt-funded AI investments persisted. Bitcoin fell as oil prices turned higher on concerns about the Middle East conflict. The euro rose as a period of consolidation looked necessary after recent sharp falls but the recovery should prove limited, ING said. Sterling rose after data showed an unexpected decline in the U.K. unemployment rate for the three months to August. Bonds: Both the 10-year and 30-year Treasury yield fell, according to Tradeweb, as markets significantly scale back expectations of an interest-rate hike by the Federal Reserve this month. Energy: Oil prices rose, with Brent crude back above $110 a barrel as persistent attacks on shipping in the Strait of Hormuz and Houthi strikes on Saudi Arabia kept the risk premium high. Metals: Gold prices slipped in early European trading as rising energy prices heighten inflation concerns, while investors await next week's Fed's policy meeting for more cues on the rate outlook. TODAY'S TOP HEADLINES Elice Slides in Korea Debut Amid Caution Toward AI Stocks South Korean data-center startup Elice's shares slid in their trading debut on the Kosdaq market, signaling investor caution toward artificial-intelligence stocks. Shares of the Seoul-based AI cloud-computing company fell as much as 36% from their initial public offering price to 58,300 won in afternoon trading Tuesday, before paring losses to trade at 58,600 won. The Kosdaq was around 3% lower. Netflix, America's Dominant Streaming Service, Has Hit a Wall Netflix is writing a new script. It abruptly replaced content chief Bela Bajaria last week just hours after a layoff of 1,000 employees that she helped engineer. By Monday, film chief Dan Lin lost his job, too. United Airlines Earnings Land Next. Only 1 Thing Can Save the Sector's Stocks. It's a big week for airline stocks but it's hard to see the sector flying above its recent turbulence. United Airlines reports earnings after the close Tuesday, then it's Southwest Airlines, American Airlines and Alaska Air later in the week. The sector has had a rough year as skyrocketing jet fuel prices have eaten into profits-Delta Air Lines is the only major airline stock in the green in 2026. ABB Shares Slide After AI Concerns Eclipse Results ABB shares dropped as a broad-based retreat among stocks tied to artificial intelligence eclipsed third-quarter results from the Swiss engineering group that showed data-center demand boosted orders. Shares in ABB were down 5.5% in European morning trade Tuesday, reducing the stock's year-to-date gain to 19%. European industrial peers Siemens and Schneider Electric slid 4.1% and 2.8%, respectively, while cable makers Prysmian and Nexans were also down. U.K. Wage Growth Picks Up, Jobless Rate Falls Ahead of Bank of England Meeting Wage growth in the U.K. rose a little in the three months through August, with unemployment also declining, boosting the likelihood that the Bank of England will raise its key rate next month. Annual weekly earnings growth, excluding bonuses, rose to 3.7%, from an upwardly revised 3.6% in the three months through July, Britain's Office for National Statistics said. Economists polled last week by The Wall Street Journal had expected 3.6%. Marine Le Pen Seizes on French Chaos to Present Herself as Leader in Waiting PARIS-The riots sweeping France have rocked the country's political establishment, but one person is positioned to emerge from the chaos with a stronger hand: Marine Le Pen. For more than a decade, the far-right leader has cast France as a nation adrift, buffeted by waves of immigration and lawlessness that have torn at the country's social fabric. As bands of hooded rioters in dark clothing have descended on city centers across France, raiding city halls and looting thousands of stores, Le Pen has sought to present herself as the sole candidate in this spring's presidential election willing to restore order. Vance Declines to Endorse Netanyahu in Re-Election Bid Vice President JD Vance declined to back Benjamin Netanyahu in Israel's coming elections, a break from President Trump who has given the Israeli prime minister his backing. Trump said in a post on Truth Social on Sunday that Netanyahu "has been a Great Warrior Prime Minister, and an even greater Partner for Peace in combatting the Islamic Republic of Iran." The Oct. 27 election is the first national election since Hamas attacked Israel on Oct. 7, 2023, and will be a referendum on Netanyahu's response. Trump Says He Would Be Open to Meeting With Putin and Xi WASHINGTON-President Trump said Monday that he would be open to meeting with the leaders of Russia and China to discuss denuclearization. Trump's comments came after The Wall Street Journal reported that Russian President Vladimir Putin has proposed that he, Trump and Chinese leader Xi Jinping meet next month to talk about Ukraine in an attempt to negotiate an end to the four-year conflict that would favor Moscow. Write to nina.kienle@wsj.com TODAY IN CANADA Earnings: Nothing major scheduled. Economic Indicators (ET): Nothing major scheduled. Stocks to Watch: Century Fire Protection Acquires A&A Fire Protection; Acquires A&A Fire Protection D2L Signs First Strategic Vietnam Customer as Van Lang Education Group Adopts D2L Brightspace Silvercorp 2Q Revenue $72.1M; FactSet Est. $72.1M Expected Major Events for Tuesday 05:00/JPN: Sep Convenience Store Sales 06:00/UK: Sep UK monthly unemployment figures 06:00/GER: Sep PPI 08:30/UK: Sep Monthly Insolvency statistics 09:00/ITA: Aug Balance of Payments 09:05/GER: Oct ZEW Indicator of Economic Sentiment 10:00/UK: Sep Aluminium Production report 12:30/US: Sep New Residential Construction - Housing Starts and Building Permits 12:55/US: 10/17 Johnson Redbook Retail Sales Index 14:00/US: Sep State Employment and Unemployment 14:00/US: Sep Pending Home Sales Index 17:59/UK: Adzuna UK Job Market Report 20:30/US: API Weekly Statistical Bulletin 23:50/JPN: Sep Provisional Trade Statistics for the Month All times in GMT. Powered by Onclusive and Dow Jones. Expected Earnings for Tuesday 3M Co (MMM) is expected to report $2.34 for 3Q. Agree Realty Corp (ADC) is expected to report $0.49 for 3Q. Ally Financial Inc (ALLY) is expected to report $1.30 for 3Q. AmeriServ Financial Inc (ASRV) is expected to report for 3Q. Atlantic Union Bankshares Corp (AUB) is expected to report $0.96 for 3Q. Bank First Corp (BFC) is expected to report $2.60 for 3Q. Bank OZK (OZK) is expected to report $1.43 for 3Q. Bridgewater Bancshares Inc (BWB) is expected to report for 3Q. CCA Industries Inc (CAWW) is expected to report for 3Q. Capital City Bank Group Inc (CCBG) is expected to report $0.94 for 3Q. Commerce Bancshares Inc (CBSH) is expected to report $1.07 for 3Q. Commercial National Financial Corp (Pennsylvania) (CNAF) is expected to report for 3Q. Dime Commercial Bancshares Inc (DCOM) is expected to report $0.86 for 3Q. East West Bancorp Inc (EWBC) is expected to report $2.72 for 3Q. Environmental Tectonics Corp (ETCC) is expected to report for 2Q. Equifax Inc (EFX) is expected to report $1.81 for 3Q. GE Aerospace (GE) is expected to report $2.13 for 3Q. General Motors Co (GM,GMM.U-T) is expected to report $3.52 for 3Q. Genuine Parts Co (GPC) is expected to report $1.94 for 3Q. Halliburton Co (HAL) is expected to report $0.58 for 3Q. Hancock Whitney Corp (HWC) is expected to report $1.55 for 3Q. Hasbro Inc (HAS) is expected to report $1.81 for 3Q. Interparfums Inc (IPAR) is expected to report for 3Q. (MORE TO FOLLOW) Dow Jones Newswires

North American Morning Briefing: Shares Mixed as Tech Sentiment Sours

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