Market Wrap
Published
The S&P 500 closed up 0.6%, with the session's real story a sweeping reshuffling inside telecom and healthcare rather than any broad market move. SpaceX's agreement to acquire a nationwide 800 MHz spectrum portfolio, paired with FCC approval of its Starlink satellite expansion, sent T-Mobile US down 13.3%, AT&T down 9.9%, Verizon down 8.7% and AST SpaceMobile down 10.5%, while tower landlords surged on the consolidation logic: Crown Castle jumped 15.6%, American Tower gained 9.3% and SBA Communications rose 7.1%.
Oil and diesel dominated the macro backdrop. Iran's Revolutionary Guard said it struck an LPG tanker in the Strait of Hormuz and warned of further action against vessels violating restrictions, while explosions were reported in Erbil and east Tehran. Trump said the situation "will be over soon one way or the other" and reiterated no US attack on Iran will come before the November elections. Late in the session Trump said Putin agreed to supply over 300,000 tons of diesel immediately, 500,000 tons in November and a further 3 million tons after that, with the US issuing a license authorizing Russian diesel imports through April 2027. WTI settled at $91.85, up modestly on the day. Gold climbed toward $4,173 an ounce and silver rose nearly 3% to $61.10, with gold and silver miners among the day's strongest groups. University of Michigan sentiment fell to 46.3, below the 47.6 expected.
Company News
- Humana rose 11.9% after Medicare Advantage star-rating data showed 37% of 2027 contracts earning four stars or higher and the company affirmed 2026 guidance of at least $9.00 in adjusted EPS.
- Moderna gained 14.0% without a specific catalyst named in company disclosures tied to the move.
- American Express fell after consenting 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 will not affect 2026 or 2027 guidance.
- Devon Energy agreed to sell its Eagle Ford assets to Crescent Energy for $4.2 billion, with proceeds earmarked for buybacks and debt reduction, while Devon shares fell 1.4%.
- Delta Air Lines reported Q3 EPS of $1.72, missing expectations by $0.27, with revenue of $17.59 billion versus $17.78 billion expected; the company guided full-year adjusted EPS of $5.10 to $5.60 and said it absorbed more than $500 million in higher fuel costs versus July guidance.
- Deere fell as shares dropped as much as 2.4% intraday.
- Pilgrim's Pride formed a special committee to review JBS's unsolicited proposal to acquire the remaining shares it does not already own, retaining Ropes & Gray and Moelis as advisors.
- Prudential Financial's Japanese subsidiaries received business suspension and improvement orders from Japan's FSA, barring new business solicitation at Prudential of Japan through January 2027.
- 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 funding round instead.
- Chevron evacuated most Gulf personnel ahead of Hurricane Isaias, continuing production at four platforms while shutting five; the storm is approaching major hurricane strength along the northern Gulf Coast.