OPENING CALL
Stock futures were lower Tuesday, hitting pause on a rally fueled by progress toward ending the record-long government shutdown.
The Senate late Monday passed a spending package to end the stoppage . The bill moves to the House for a final vote as soon as Wednesday and then to Trump's desk.
Investors are now bracing for a rush of economic data. Deutsche Bank said early next week was realistic for the September jobs report.
Tickmill Group said risk sentiment "hit a snag" in Asia as fresh concerns emerged over U.S.-China trade tensions .
The Wall Street Journal reported that China plans to ease the flow of rare earths to America with a system that will exclude companies with ties to the U.S. military.
Stocks to Watch
Beyond Meat's loss widened and sales fell last quarter as demand from U.S. customers and restaurants fell. Shares dropped 6% ahead of the open.
CoreWeave said revenue more than doubled last quarter, boosted by the AI boom, while its net loss narrowed. However, shares fell premarket after it flagged a delay by a data-center developer.
Nvidia was down slightly premarket after SoftBank Group said it sold its entire stake in the company for $5.83 billion last month. SoftBank rose 2% in Tokyo.
Occidental Petroleum posted mixed quarterly results. Adjusted earnings per share topped expectations, but revenue disappointed.
Paramount Skydance reported growth from its streaming division in its first quarterly report since its merger with Skydance Media. Shares rallied in offhours trading.
Rigetti Computing logged a smaller-than-expected adjusted per-share loss. However, quarterly revenue disappointed. The stock fell 3% premarket.
Rocket Lab posted a smaller-than-expected per-share net loss, while quarterly revenue topped forecasts. The stock rose roughly 10% before the bell.
Sony raised its annual earnings forecast and projected a smaller tariff hit, as quarterly net profit rose. Shares jumped 5.5% in Tokyo.
Economic Insight
Prospects of the U.S. government reopening removed a number of risks for markets and this should boost risky assets, Jefferies said. But it noted that uncertainty surrounding the Federal Reserve remains.
Although the end to the U.S. shutdown is in sight, it might still take some time for the indicators to be published as usual, SEB Research said.
"The question is when we can both get the statistics, and/or when they are fully reliable."
China's economy is likely to face some pressure in the near term, according to Goldman Sachs. Recent data have indicated a notable softening in domestic demand .
Watch For:
Veterans Day in U.S.-Treasury market closed, stock market open as usual; Remembrance Day in Canada
Today's Top Headlines/Must Reads:
- The AI Cold War That Will Redefine Everything
- Obesity Drugs Are About to Go Mass-Market
- The U.S.'s Most Ambitious Shipyard Project Just Got Tougher
MARKET WRAPS Forex:
The dollar was trading steady against a basket of currencies.
"We continue to see scope for tactical downside in the euro versus the dollar, as we still expect the Fed to hold rates steady at the December meeting," Danske Bank said.
Commerzbank said a potential end to the shutdown could prove dollar negative if delayed data endorse further interest-rate cuts.
The euro was higher and could stabilize after recent losses as the exchange rate looked undervalued, ING said.
Sterling fell after the bigger-than-expected rise in the unemployment rate .
The Swiss franc rose against the euro on hopes for a tariff agreement between the U.S. and Switzerland .
Bonds:
The increasing prospect that the U.S. government shutdown will end was adding to headwinds facing Treasurys , Metzler said.
Investors are taking on more risk, to the detriment of safer assets. But Metzler said the market must also grapple with the consequences of the U.S. Supreme Court ruling last week, which questioned the legality of the tariffs announced by Trump.
Longer-dated Treasury yields shouldn't fall much further as long as market pricing suggests the Fed will only lower policy rates to around 3%, ING said .
The 10-year Treasury yield at around 4.1% doesn't seem particularly high, it added.
Energy:
Oil prices edged lower, weighed down by persistent oversupply concerns as traders await key industry reports this week.
"Crude oil remains trapped in its established range, with a softening backwardation signaling comfortable supply conditions," Saxo Bank said.
Metals:
Gold prices rose , hitting their highest level in nearly three weeks on expectations of further Fed rate cuts and as U.S. lawmakers moved closer to ending the government shutdown.
"Optimism over further U.S. interest-rate cuts grew following a bipartisan deal to end the country's longest-ever government shutdown," MUFG said.
Julius Baer said gold's outlook remained positive in the near term.
Although the "fear of missing out" still appeared to be present, Julius Baer reiterated its constructive views on gold amid a favorable fundamental backdrop.
Base Metals
Prices rose as shutdown deal hopes likely triggered a risk-on tone across markets, with industrial metals benefiting from the increased risk appetite, ANZ Research said .
TODAY'S TOP HEADLINES
SoftBank Sells Its Nvidia Stake for $5.8 Billion
SoftBank Group said it sold its stake in Nvidia for $5.83 billion as it reported its quarterly net profit more than doubled thanks to billions of dollars of gains from its OpenAI investment.
The Japanese technology-investment company on Tuesday reported net profit of 2.502 trillion yen, equivalent to $16.23 billion, for the three months ended September, up sharply from Yen1.180 trillion a year earlier. That beat the Yen480 billion estimate in a poll of analysts by data provider Visible Alpha.
CoreWeave Reports Doubling of Revenue From AI Boom
CoreWeave, one of the top providers of cloud-computing services for artificial-intelligence companies, saw revenue more than double in the third quarter, reflecting an expanding stable of partnerships with some of the biggest names in AI.
But shares fell more than 5% in after-hours trading after the company said a delay by a third-party data-center developer would result in both capital expenditures and revenue associated with the customer being pushed back into subsequent quarters.
Anthropic Is on Track to Turn a Profit Much Faster Than OpenAI
The finances of Silicon Valley's two largest artificial-intelligence startups show their diverging approaches to the AI boom, with Anthropic on a pace to turn a profit far more quickly than rival OpenAI, according to documents obtained by The Wall Street Journal.
Anthropic, which has a growing number of business users because of the capabilities of its Claude chatbot in coding and other arenas, expects to break even for the first time in 2028, the documents show.
AMD Could Surprise with a New AI Forecast at Today's Analyst Day
Advanced Micro Devices will present its long-term plans to Wall Street analysts Tuesday afternoon. The company's management may raise its forecast for the artificial-intelligence market.
On Tuesday, the chip maker will host its Financial Analyst Day in New York City starting at 1 p.m. Eastern time. AMD said its executive team would highlight its strategy and long-term financial plan.
Senate Passes Measure to End Government Shutdown
WASHINGTON-The Republican-led Senate late Monday passed a spending package to end the record-long government shutdown, with Democrats providing enough votes to move the measure across the finish line.
The legislation was approved on a vote of 60-40. Eight Democrats joined with almost all Republicans in supporting the bill.
Bond market may set tone for stocks with $125 billion in Treasury auctions
As hopes grow for a possible end to the longest U.S. government shutdown on record, the Treasury Department has three auctions totaling $125 billion this week, and some of them could set the tone for the stock market over the next few days.
On Monday, all three major U.S. stock indexes DJIA SPX COMP got a boost from the Senate's weekend decision to take the first step toward ending the shutdown, which began on Oct. 1. The Dow Jones Industrial Average closed higher by more than 380 points at around 47,369.
Gold Prices Rise Again. Why $5,000 Could Be the Next Stop.
The recent correction in gold may not be the start of a deeper bear market for the shiny yellow metal. In fact, some on Wall Street see even brighter days ahead.
Gold prices have already rebounded to back above $4,100 an ounce after falling below $4,000 in late October. Gold is still down about 5% from the record high of just under $4,350 an ounce that it hit a few weeks ago. But strategists at UBS said in a report Monday that they think gold could hit a new all-time high of $5,000 at some point in 2026 or 2027.
China Hatches Plan to Keep U.S. Military From Getting Its Rare-Earth Magnets
China plans to ease the flow of rare earths and other restricted materials to the U.S. by designing a system that will exclude companies with ties to the U.S. military while fast-tracking export approvals for other firms, according to people familiar with the plan.
The "validated end-user" system, or VEU, would enable Chinese leader Xi Jinping to follow through on a pledge to President Trump to facilitate the export of such materials while ensuring that they don't end up with U.S. military suppliers, a core concern for China, according to the people familiar with the plan.
Europe Is in a Gray Zone Between War and Peace
Europe is now caught somewhere between war and peace.
In recent weeks, drones appearing mysteriously above airports and halting flights have made headlines. Those are just the tip of the iceberg.
(MORE TO FOLLOW) Dow Jones Newswires
11-11-25 0616ET
