The Closer
Published
Wall Street closed lower on a now-familiar split, tech sold off while energy and defensives caught a bid, as the Hormuz standoff kept pressure on yields near their highest since 2002. The S&P 500 fell 0.5% and the Nasdaq dropped 1.23% to 27,201.31 while the Dow edged up 0.09% to 51,227.15. By evening, the picture had turned more fluid: Trump reiterated the US will not attack Iran before the November 3 election and said talks are productive, and WTI crude, which had settled up 3.64% at $91.49 after the deadliest Houthi strikes yet on Riyadh, slid back below $90.50 overnight. That calm sits uneasily with reports of heavy blasts in the southern Strait of Hormuz from mines striking tankers, and with news that the Pentagon has drafted a three-day strike plan against Iran's missile arsenal, energy sites and Revolutionary Guard headquarters, even as Trump has rejected five such proposals so far.
After hours, the real action was in healthcare and telecom. Humana jumped 13.1% after Medicare Advantage star-rating data showed 37% of 2027 contracts earning four stars or higher, while CVS Health fell 3.2%. Telecom carriers were hit hard following SpaceX's agreement to acquire a nationwide 800 MHz low-band spectrum portfolio and FCC approval of its Starlink satellite expansion: T-Mobile US fell 6.8%, AT&T fell 6.7%, and Verizon fell 5.9%, while tower landlords Crown Castle, SBA Communications and American Tower rose 6.9%, 5.8% and 4.9% respectively on the spectrum consolidation angle. AST SpaceMobile fell 3.8% even as Space Exploration Technologies gained 2.5%.
American Express consented to Federal Reserve and OCC orders over anti-money-laundering compliance, with its national bank unit paying a $350 million penalty; the company says the orders carry no asset cap and won't affect 2026 or 2027 guidance. Devon Energy agreed to sell its Eagle Ford assets to Crescent Energy for $4.2 billion, with proceeds aimed at buybacks and debt reduction. Nvidia-backed Firmus Grid pulled its planned Australian IPO, which had targeted up to $5.5 billion, citing weak demand, and is weighing a private round instead. Gold continued climbing, up about 1% to $4,173 an ounce, as inflation and rate-path uncertainty persist alongside the geopolitical overhang.