Slight increases in contracts in New York; Oil prices and bond yields are retreating

15:55

Wall Street is on its way to opening the day in the green. The futures contracts on Wall Street indicate slight increases at the opening, with currently the contracts on the S&P 500 and the Dow Jones advancing by about 0.2%, and the contracts on the Nasdaq climbing by about 0.3%.

At the same time as this trend, oil prices lose their height and decrease by up to 2%. Brent crude is trading around $103 per barrel, while US crude (WTI) is trading around $90 per barrel.

US government bond yields, which are still trading at decades-old highs, are also pulling back a bit. The 10-year yield drops by about 2 basis points to 5.229%, while the 30-year yield drops by 1 basis point to 5.55%. The two-year yield is stable at 4.92%.

12:42

With an investment of 8.2 billion dollars in the purchase of World Labs, AMD CEO Lisa Su added to the company an innovative AI laboratory, and perhaps also a natural candidate for a successor in the future.

AMD announced an agreement to acquire World Labs, an AI modeling laboratory from San Francisco that focuses on developing software for 3D environments. The deal is expected to close by the end of 2026.

World Labs was established in 2024 and is managed by Dr. Fei-Fei Li, a leading AI researcher known in the world of technology as the “godmother of AI”. Previously, Li served as the chief scientist of Google Cloud.

Lee will join AMD as Senior Vice President and Chief Scientist. The fact that she will report directly to Sue underscores the central role she is expected to play in shaping AMD’s future in a time of unprecedented AI boom.

At the same time, Lee will add significant management and operational experience to her resume, when she will work closely with one of the most respected female CEOs in the technology industry. As part of her role, she is expected to be more involved with Wall Street and in the execution of large deals, such as the deal Sue signed this year with Meta.

AMD shares rose 0.7% in early trading/

11:41

The contracts on Wall Street are trading in a mixed trend, as investors try to recover from the rate decreases recorded yesterday, against the background of the continued increase in government bond yields in the US.

The contracts on the Dow Jones index decrease by 0.14%, or about 70 points. S&P 500 contracts are down slightly, having pared earlier declines, while Nasdaq contracts are up slightly.

Yesterday the Dow fell by more than 300 points, while the S&P 500 and Nasdaq lost 0.8% and 0.9%, respectively.

Government bond yields continued to climb, amid investors’ fear that stubborn inflation would lead the Federal Reserve to raise interest rates. The 10-year US bond yield rose above 5.2% yesterday, to levels not seen since 2007. The 30-year yield crossed the 5.56% mark, approaching levels last recorded in 2004.

This morning the 10-year bond yield is almost unchanged at 5.234%, while the 30-year yield is down a basis point to 5.549%.

10:20

European markets are trading this morning in a mixed trend with a tendency for prices to fall, in the background of an ultimatum letter sent by the leaders of Germany, the Netherlands, Austria, Finland, Denmark and Sweden to the EU leaders. The leaders are threatening to delay the approval of the Union budget for the next seven years (2028-2034) unless cuts of “hundreds of billions of euros” are made, which will be diverted from agriculture and the periphery in favor of investing in defense and pioneering technology companies. This demand comes at a time when the debt costs of European governments are climbing, as a result of rising oil prices and inflationary concerns since the outbreak of the conflict between the US and Iran.

In trading itself, the German Dax is down 0.1%, and the British Potsi is also down 0.1%. On the other hand, the French CAC registers a slight increase and trades around the base levels and the pan-European Stoxx 600 index also maintains stability around zero.

The negative sentiment was prominent in Asia, where most indexes closed lower. The Japanese Nikkei lost 0.6%, the South Korean Kospi shed 0.3%. However, the Shanghai index registered a slight increase of 0.2%. The Hang Seng index in Hong Kong, which is still trading, is losing about 0.4%.

The negative global momentum also affects the futures in New York, which continue to signal weakness ahead of the opening of the trading day. Nasdaq contracts lead the trend with a 0.4% decline, S&P 500 contracts lose 0.3%, and Dow Jones contracts fall 0.2%.

In the commodity market, the upward trend in energy prices continues, fueling fears of global inflation. Brent oil rose by 1.24% to $106.59 per barrel, and American WTI oil registered an increase of 1.27% and traded for $93.78 per barrel.

8:50

The chip giant AMD Acquires the start-up company World Labs, an artificial intelligence laboratory from San Francisco founded by the pioneer of the field Prof. Pei-Pei Lee, in a stock transaction worth 8.2 billion dollars. As part of the move, which is the second largest acquisition in AMD’s history (after the acquisition of Xilinx in 2022), I will join the company as Chief Scientist and Vice President. World Labs specializes in developing “world models” that enable the simulation of rich, physics-aware 3D environments, a technology considered critical to training robots and AI agents in a safe virtual environment before operating them in the real world. The acquisition is intended to strengthen AMD’s position in the race against Nvidia in the market for artificial intelligence chips, and it will allow it to adapt its future chip architecture to the needs of next-generation models, against the backdrop of a growing trend of large technology companies spending huge sums on acquiring start-up companies and leading talents in the field.

6:55

Pessimism in the markets this morning in light of what appears to be the continuation of the conflict in the Middle East, which continues to raise energy prices and cloud global trade routes. Despite indirect talks being held between the US and Iran mediated by Qatar with the aim of promoting a ceasefire, concerns among investors are increasing due to renewed tensions between Saudi Arabia and the Houthis, the hovering threat to freedom of navigation in the Strait of Hormuz, and reports of the possibility of renewed attacks on Iran after the mid-term elections in the US. The geopolitical uncertainty outweighs the diplomatic attempts at this point, and continues to push oil prices up for the second day in a row while increasing inflationary pressure on global markets.

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Asia

The markets in Asia are now trading in a negative trend for the most part, led by the Japanese Nikkei index which is down about 1%. The Hang Seng in Hong Kong loses 0.5%, the Kospi index in South Korea sheds about 0.7%, and on the other hand, in China, the Shanghai index registers a slight increase of 0.1%.

Among the prominent shares in the trade, the share of the fashion giant, Shine, plunges by more than 12%. The fall comes following the company’s report of a sharp drop of 66.6% in its adjusted net profit for the second quarter of 2026, which amounted to $228 million. The severe damage to profitability occurs even though the company recorded a 7.6% increase in total orders compared to last year, and a slight increase of 0.9% in net revenues which stood at 11.1 billion dollars.

The main cause of the business damage, as Shane explained, is a spike in oil prices and freight rates following the geopolitical tensions in the Middle East. The company decided to absorb these high costs itself instead of passing them on to consumers, which led to a direct hit to its profit line.

Wall Street

Wall Street futures are trading lower and indicate a red opening. Nasdaq contracts fall about 0.3%, S&P 500 contracts lose about 0.2%, and Dow Jones contracts fall byAbout 0.1%.

Yesterday, trading on Wall Street closed in a negative trend with price decreases in all the main indices, in the midst of continuous pressure from the debt and energy markets. The Dow lost 0.7%, the S&P 500 fell 0.8%, and the Nasdaq led the decliners with a 0.9% fall.

At the same time, the uncertainty and volatility in the markets pushed the fear index (VIX) to jump by about 8.3% and close at a level of 16.1 points.

The debt market continued to register extreme pressures, with the US government’s 10-year bond yield climbing to around 5.24% (a 19-year high), and the 30-year yield reaching its highest since June 2004 at around 5.55%.

In the stock sector, the technology giant Meta recorded a sharp decrease following the realization of profits and entry into the field of corporate software and AI, which also had a negative effect on Mongo DB . on the other hand, Nvidia Balta stood out positively thanks to the expansion of its own share purchase program. Also, Wells Fargo Bank upgraded its recommendation on the Sweetgreen chain, while PepsiCo suffered a recommendation downgrade from Deutsche Bank.

In the crypto market, Bitcoin continued its downward trend and recorded the longest losing streak in almost four months (5 consecutive days), trading around $83,453, despite reports of additional purchases by strategy .

In the background, the Federal Reserve clarified through the member of the Board of Governors, Lisa Cook, that artificial intelligence technology is not expected to curb inflation in the near term due to the huge investments required in infrastructure, and hinted at the possibility of further interest rate increases according to the macro data. Technically, analysts pointed to a rare and alarming statistic: the number of S&P 500 stocks that recorded 52-week lows exceeded those that recorded highs for 9 consecutive days – a historical phenomenon not seen since December 1999, near the bursting of the dot-com bubble.

oil

Oil prices rose yesterday after US President Donald Trump rejected Iran’s conditional peace proposal. The proposal was intended to end delays in the Middle East and reopen the strategic Strait of Hormuz, after Iranian Foreign Minister Abbas Araqchi proposed resuming nuclear talks and opening the spillway in exchange for a cessation of attacks and the lifting of the blockade, but Trump confirmed to reporters: “They presented an offer but I rejected it.”

At the same time, a report in the “Wall Street Journal” revealed that Trump told his associates that he expects the renewal of American attacks on Iran after the mid-term elections in November. These developments lead the markets to price a tangible risk of renewed escalation, and energy market activists warn of a clear and immediate danger of a return to direct conflicts after the elections. Cornelia Meyer, CEO of Meyer Resources, addressed this in an interview with CNBC and explained: “I think everyone is hoping that won’t be the case, but you know, we’re living on borrowed barrels. Many countries live on their supplies.”

During the trading day, Brent crude oil contracts peaked 2.3% higher at $106.73 a barrel (after climbing to $108.83 earlier), and US WTI crude oil rose 2% at $94.25 a barrel. Finally, at the close of the trading day, the closing prices determined that US oil climbed by 0.60% to the level of $92.96 per barrel, and Brent oil strengthened by 1.39% and closed at $105.77 per barrel.

This morning, oil prices continue to climb for the second day in a row due to the growing fear of the continuation of the conflict in the Middle East. Brent oil rises by 1.51% to $106.87 per barrel, and WTI oil climbs by 1.41% to $93.91 per barrel. Mahmoud Mashal, a market analyst at VT Markets Dubai, commented on the situation on CNBC and noted that “progress in the mediation talks will be a central focus for the markets, and any significant breakthrough may push oil prices down; however, concerns regarding the energy infrastructure and the flow of oil in the region continue to cloud, especially against the backdrop of renewed tensions between Saudi Arabia and the Houthis.”

Tel Aviv

The dual stocks are expected to return to the opening of trading in Tel Aviv with a slightly negative weighted arbitrage spread of 0.11%, signaling a red opening. The negative momentum will be led by major stocks that are returning with a negative gap and will weigh on the indices, mainly nice (2.7%), Elbit Systems (1.9%), Ormat Technologies (1.5%) andI.C.L (0.6%). On the other hand, this trend will partially moderate thanks to a number of prominent stocks that return with a positive gap and are expected to provide resistance to declines – in the first Palo Alto with an unusual positive gap of 6.3%, to the side Nova (2%) andnature (0.9%). However, the support from these stocks is not expected to completely offset the overall weight of the arbitrage gaps, and the local stock exchange is expected to open the trading day with price drops.

Another thing you should know

Research company Baird is more positive than ever about the memory chip maker Micron Technology and estimates that the surge in demand for AI agents will send the company’s shares to unprecedented highs. Against this background, the investment house left the “Outperform” rating intact and raised the price target per share from $1,280 to $1,520 – a price that represents a potential increase of 40% compared to the close of trading on Friday. Analyst Tristan Gera noted in his review that optimism rests on strong demand for agentic AI, a slowdown in DRAM supply growth expected in 2027, and a higher profitability profile for high-bandwidth memory next year. The update comes ahead of Micron’s fourth-quarter report expected to be published on Wednesday, with analysts expecting particularly strong results that include 939% annual growth in earnings, on a wave of memory chip shortages that sent the stock up 279% during 2026.

*** This does not include advice or investment marketing that takes into account the data and personal needs of any person, or as advice or recommendation for the purchase or sale of any financial product.