US EQUITY OPEN: Mixed equity open as mega caps underperform

OPEN: Stocks have opened mixed with SPX, and NDX in the red, while RUT is flat and DJI in the green - the latter is buoyed by upside in Home Depot (HD) post-earnings. Note, the RSP (Equal weight S&P 500) is green. Sectors are predominantly firmer with outperformance in Real Estate, perhaps supported by M&A news in the space that Plymouth Industrial REIT (PLYM) received a takeover offer from Sixth Street. Communication, Energy, and Tech are the only sectors in the red with mega caps underperforming, while energy takes a beating as oil prices slide on Russia/Ukraine optimism, seeing European defence stocks slammed, while US defence names are also lagging with the industrial sector flat. T-notes are bid, perhaps supported by lower oil prices with inflation breakeven lower. Data saw the volatile US Housing Starts beat expectations, but the forward-looking Building Permits disappointed expectations. Elsewhere, Canada CPI was slightly softer than expected and saw traders boost BoC rate cut bets. Gold prices are slightly firmer with lower UST yields supporting the precious metal. Attention turns to Fed Governor Bowman at the top of the hour. 

STOCK SPECIFICS:

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  Palo Alto Networks (PANW): EPS and revenue beat with stellar guidance.


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  Nvidia (NVDA) is reportedly working on a new AI chip for China, which outperforms the H20.


• SoftBank will make a c. USD 2bln investment in Intel (INTC).


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  Tegna (TGNA) to be acquired by Nexstar (NXST) for USD 22/shr; note, TGNA closed Mon at USD 20.18/shr


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  Home Depot (HD): EPS, revenue light, and affirms guidance.


• WSJ reports Medtronic (MDT) is to add directors after Elliott becomes a big shareholder while EPS, revenue topped and lifted FY EPS view.


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  Viking Therapeutics (VKTX) most recent oral weight loss drug data from its phase 2 trial looks inferior to Eli Lilly (LLY) on almost all metrics accompanied by such a high discontinuation rate.


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  Plymouth Industrial REIT (PLYM) received USD 24.10/shr proposal from Sixth Street; PLYM closed Monday at USD 14.64/shr.

19 Aug 2025 - 14:53- EquitiesData- Source: Newswires