Stocks Close Lower as Regional Bank Shares Plummet; Gold Sets Fresh Record; Bond Yields Fall to Lowest Level Since April

Noteworthy S&P 500 Movers on Thursday

6 hr 31 min ago

Decliners

• Fifth Third Bancorp (FITB) and Regions Financial (RF) were among the S&P 500’s biggest decliners, with both stocks sliding about 6% after Zions Bancorporation (ZION) said it was taking a $50 million third-quarter charge-off to cover a pair of bad loans, and Western Alliance (WAL) said it was dealing with a fraudulent borrower. Western Alliance shares fell close to 11% and Zions plunged 13%.
• Kenvue (KVUE) shares also sank about 13%. A lawsuit filed this week in the United Kingdom claimed that the consumer health company’s baby powder caused cancer and other diseases. Kenvue completed its spin-off in August 2023 from Johnson & Johnson (JNJ), which has been ordered to pay $966 million in damages after a jury in the U.S. found the company liable for similar claims.
• Shares of cybersecurity firm F5 (FFIV) plummeted nearly 11%. The provider of application delivery and security services said Wednesday that it had been the target of a major cyberattack, which it attributed to a nation-state actor.

Advancers

• The S&P 500’s top performance Thursday came from shares of J.B. Hunt Transport Services (JBHT), which motored 22% higher after the logistics company topped third-quarter sales and profit estimates. Improvements in efficiency and network balance helped drive growth in the company’s intermodal business, which combines rail and truck services.
• Micron Technology (MU) shares climbed 5.5% after a pair of price-target hikes from analysts at Citi and UBS, saying they expect the memory chipmaker to benefit from supply shortages in the face of booming AI demand.
• Western Digital (WDC) and Seagate Technology (STX) also surged, adding roughly 5% and 3%, respectively, after Wedbush raised its targets for the stocks, suggesting data storage supply could be tight for years, supporting higher prices and margins for the hard drive makers.

–Michael Bromberg

Concerns About Bad Loans Rock Bank Stocks

6 hr 39 min ago

Regional bank stocks slumped on Thursday after Zions Bancorp said it would write off loans to two borrowers it accused of fraud.

Zions’ write-off added to mounting concerns about lax lending standards and undisclosed entanglements among non-bank financial institutions, with which banks have dramatically increased their business in recent years.

The recent bankruptcies of auto parts maker First Brands and subprime auto lender Tricolor have Wall Street worried that more credit-related losses are on the horizon.

 “I probably shouldn’t say this, but when you see one cockroach, there are probably more,” said JPMorgan CEO Jamie Dimon on Tuesday following the release of a better-than-expected earnings report from the banking giant.

“I expect it to be a little bit worse than other people expect it to be,” Dimon added, noting that private credit underwriting standards “may not be as good as you think.”

Read the full article here.

–Colin Laidley

Wall Street Is Even More Bullish on Micron, Seagate, and Western Digital. Here’s Why.

8 hr 36 min ago

Growing demand for artificial intelligence and persistent shortages of memory and data storage solutions could mean bigger gains for providers of the hardware, according to Wall Street AI bulls.

Micron Technology’s (MU) stock surged to an all-time high Thursday, boosted by price-target hikes from analysts at Citi and UBS. Hard-drive makers Western Digital (WDC) and Seagate Technology (STX) saw their stocks climb after price-target boosts from Wedbush.

The trio were among the leading gainers in the S&P 500 Thursday afternoon, a bright spot in a down day for the tech sector and broader markets amid worries about an ongoing federal shutdown and trade tensions between the U.S. and China.

“Intensifying” shortages in the face of booming demand could mean more upside for Micron, which supplies memory solutions for AI chip leaders like Nvidia (NVDA) and Advanced Micro Devices (AMD), said UBS, which raised its target for Micron to a Street high of $245. Citi, which bumped its target to $240 from $200, said Micron could be next in line to score a big contract with ChatGPT maker OpenAI after recent deals with Nvidia, AMD, and Broadcom (AVGO).

Wedbush analysts lifted their target for Western Digital to $135 from $90, and Seagate to $260 from $175, saying they believe the hard drive makers could see higher pricing and margins through 2026 and beyond “given an underlying shortfall in supply that appears unlikely to be alleviated” for years.

Read the full article here.

–Kara Greenberg

Micron Stock Leads Nasdaq as Citi Raises Price Target, Estimates

9 hr 27 min ago

On a down day for stocks, one bright spot has been Micron Technology (MU).

Shares of Micron—which produces dynamic random-access memory (DRAM) chips for smartphones and laptops, among other products—surged 5.5% to lead Nasdaq gainers Thursday after Citi raised its price target and estimates for the stock.

While keeping their “buy” rating on the stock, Citi analysts lifted their price target to $240, “given a DRAM pricing upturn and better AI demand.”

The analysts also raised their sales and profit estimates for Micron for the next three fiscal years, saying they “believe long-term DRAM contracts will be next from the AI supply chain.”

Micron shares have more than doubled this year, far exceeding the 16% advance of the Nasdaq.

Walmart Stock Hit Record Highs on OpenAI Deal. What Message Does That Send About the Business of AI?

10 hr 49 min ago

The OpenAI fairy dust that has boosted tech stocks this year is spreading to new sectors.

OpenAI and Walmart on Tuesday announced that ChatGPT users will soon be able to have the chatbot shop at Walmart for them without leaving the app. “Whether planning meals, restocking household essentials, or finding something new, customers can simply chat and buy, and Walmart will handle the rest,” Walmart said in a statement.

Walmart (WMT) stock rose on the announcement, gaining nearly 5% on Tuesday, its best day since early April. Shares tacked on another 2% on Wednesday to close at a record high and pace Dow Jones Industrial Average gainers for the second straight day. The stock lost ground on Thursday.

For OpenAI—which has been at the center of the deal-making lately that has sparked concerns about a possible AI bubble—the partnership with the world’s largest retailer represents an important step in its efforts to prove commercial viability. While the terms of the deal weren’t disclosed, OpenAI is likely to receive a commission from sales made on its platform, which could reassure some market watchers concerned about the ability of OpenAI to generate revenue and reduce its debt burden.

Read the full article here.

–Colin Laidley

Walmart-OpenAI Pact Shows That Retailers Expect You to Shop Through ChatGPT

11 hr 7 min ago

Walmart has entered the chat.

This week’s news of a partnership between the retail giant and OpenAI, the ChatGPT operator, is a substantial step forward for the encroachment of artificial intelligence into retail. Established retailers like Walmart (WMT) working with ChatGPT should bolster confidence in the tool as a way to make purchases, said Sky Canaves, an analyst covering retail and e-commerce for market research company Emarketer,

“That will go a long way towards ameliorating trust concerns or worries,” Canaves said. “Most consumers trust Walmart.” (It’s also lifted Walmart’s stock.)

Etsy (ETSY), Shopify (SHOP) and Walmart have all announced partnerships with OpenAI in recent weeks, moves Canaves said highlight younger generations’ growing reliance on AI chatbots and shifts in how consumers shop.

The partnerships allow—or will soon allow—people using digital wallets to complete transactions within conversations held with chatbots, the marketplace operators said.

Read the full article here.

–Sarina Trangle

Nestle Is the Latest Big Employer to Plan Thousands of White-Collar Layoffs

11 hr 33 min ago

White-collar employment is taking another hit.

Global food giant Nestle on Thursday said that, as part of a cost-savings push, it would cut about 12,000 white-collar positions. The company in a press release said the cuts would be “across functions and geographies.” It reported 277,000 employees worldwide in its last annual report, about half of them non-factory, with some 15% in North America.

“The world is changing, and Nestlé needs to change faster,” CEO Philipp Navratil said in a statement. “This will include making hard but necessary decisions to reduce headcount over the next two years.”

The company in an email said that “we are not in a position to give specific numbers or plans for the U.S.” Nestle’s shares rose in European trading.

Big employers are increasingly cutting into their white-collar workforces, with some commentators discussing a “white-collar recession.” Many of those cuts have come at large, high-profile tech companies, including some Magnificent 7 giants.

Economists have offered several reasons, among them a sense that AI will offer opportunities to cut costs and streamline operations. Broader economic wariness, including concerns about shifts in tariff policy that have complicated planning, are also seen as culprits.

Read the full article here.

–David Marino-Nachison

TSMC’s Results Add Another Feather in the Hat of AI Bulls—What You Need to Know

12 hr 31 min ago

Taiwan Semiconductor Manufacturing Co. (TSM) posted record earnings and lifted its outlook, in what could be taken as another strong signal of AI demand.

The world’s largest chip manufacturer posted earnings per share of $2.92 on revenue that surged 41% year-over-year to $33.10 billion in the third quarter, topping analysts’ estimates compiled by Visible Alpha.

TSMC CEO C.C. Wei pointed to “robust” AI-related demand for the growth, telling investors on Thursday’s earnings call that “conviction in the AI megatrend is strengthening and we believe that demand for semiconductors will continue to be very fundamental,” according to a transcript provided by AlphaSense.

TSMC said it sees fourth-quarter revenue of between $32.2 billion and $33.4 billion, and boosted its 2025 revenue growth forecast to the mid-30% range, up from its previous projection of about 30%.

Shares of TSMC climbed to a record high Thursday morning following the news before paring their early gains. The stock has added over 50% in 2025 so far.

–Kara Greenberg

J.B. Hunt Stock Soars as Profit Easily Tops Estimates

14 hr 1 min ago

J.B. Hunt Transport Services (JBHT) was easily the top performer in the S&P 500 Thursday morning, with shares surging 18%.

After the bell Wednesday, the Lowell, Ark.-based firm reported third-quarter earnings per share of $1.76, 20% higher than the $1.46 consensus estimate of analysts surveyed by Visible Alpha. Revenue of $3.05 billion also topped expectations.

J.B. Hunt’s operating income rose 8% year-over-year to $242.7 million, with the increase “primarily due to structural cost removal as part of our efforts to lower our cost to serve, improved productivity across the organization and lower purchase transportation costs compared to third quarter 2024,” the company said.

Despite today’s surge, shares of J.B. Hunt remain 4% lower this year, while the S&P 500 has risen nearly 14%.

Here’s What We’ve Learned From Big Bank Earnings Reports This Week

14 hr 39 min ago

Large U.S. banks, reveling in a market-friendly environment, surpassed third-quarter revenue and earnings expectations this week. At the same time, they emphasized that geopolitical uncertainty requires vigilance to ensure the good times last.

With a frothy stock market boosting dealmaking, corporate lending and returns on asset management and trading, banks ranging from JPMorganChase (JPM) to Wells Fargo (WFC) topped consensus projections while expanding profits from the same period a year ago.

In a research report, UBS noted the results from big banks were “not what the bears wanted.” Indeed, most investors praised them, sending shares of the major banks sharply higher in recent sessions.

Amid the ongoing federal government shutdown and global trade tension, though, some bank executives cautioned against complacency.

Jamie Dimon, JPMorgan’s CEO, said third-quarter results reflect a resilient U.S. economy. But a murky outlook persists.

“There continues be a heightened degree of uncertainty stemming from complex geopolitical conditions, tariffs and trade uncertainty, elevated asset prices and the risk of sticky inflation,” Dimon said. “As always, we hope for the best, but these complex forces reinforce why we prepare the firm for a wide range of scenarios.”

Read the full article here.

–Lyle Niedens

Four Biggest US Airlines Look Unlikely to Make Money Flying Passengers This Year

16 hr 13 min ago

It’s not looking good for any of the major U.S. airlines to actually make money flying passengers in 2025.

United Airlines (UAL) reported third-quarter results after the bell yesterday, and through nine months of 2025, it has produced higher cost per available seat mile (CASM) than passenger revenue per available seat mile (PRASM).

With PRASM of 16.00 cents but CASM of 16.34 cents, the Chicago-based carrier joins rival Delta Air Lines (DAL) with results in those metrics to the negative through three quarters.

American Airlines (AAL) and Southwest Airlines (LUV) report Q3 results next week, but both were even further to the negative through two quarters than Delta and United.

Still, all four were profitable overall in 2024, largely because of lucrative co-branded credit cards.

Shares of United ticked lower an hour before the bell. The stock entered Thursday up 7% this year.

Snowflake Stock Jumps on Palantir Partnership

16 hr 51 min ago

Snowflake (SNOW) shares popped 7% before the bell after the AI data cloud company announced a partnership with Palantir Technologies (PLTR).

The collaboration “integrates Snowflake’s AI Data Cloud with Palantir Foundry and Palantir Artificial Intelligence Platform (AIP),” the press release said, and “customers in the commercial and public sectors will be able to build more efficient and trusted data pipelines, faster data analytics, and AI applications.” 

Snowflake stock entered Thursday up roughly 55% this year. Shares of Palantir, which were up 1% before the bell, have soared more than 135% in 2025.

Watch These Salesforce Price Levels as Stock Jumps on Upbeat Sales Outlook

17 hr 20 min ago

Salesforce (CRM) shares gained ground in premarket trading Thursday after the software maker issued a better-than-expected long-term sales outlook.

The company said it expects revenue to surpass $60 billion in 2030, comfortably ahead of the level forecast by analysts. It also projects revenue growth of above 10% annually for the 2026–2030 fiscal years, boosted by its Agentforce software, which automates customer service tasks and business processes.

Shares of Salesforce, a Dow Jones Industrial Average component, were up 4.8% at $248 in recent premarket trading. Coming into today’s session, the stock had lost nearly 30% of its value so far this year amid concerns that competing AI software could slow adoption of the company’s Agentforce platform.

Since retesting the 200-day moving average (MA) in mid-May, Salesforce shares have traded lower within a descending broadening formation, tagging the pattern’s upper and lower trendlines on several occasions since that time.

More recently, the 50-day MA has provided selling pressure on attempted rallies, while the relative strength index has slipped slightly below its neutral threshold. However, the stock looks set to open around the 50-day MA after the software maker’s upbeat revenue outlook, potentially setting the stage for a breakout from the descending broadening formation.

Read the full technical analysis piece here.

–Timothy Smith

Stock Futures Point Higher as Strong Bank Earnings Continue

17 hr 32 min ago

Futures tied to the Dow Jones Industrial Average rose 0.4%.

S&P 500 futures also were up 0.4%.

Nasdaq 100 futures rose 0.5%.