After Hours Report

Stocks steadily lost ground throughout Thursday's session, leaving the S&P 500 (-0.9%), Nasdaq Composite (-1.0%), and DJIA (-1.3%) at their session lows as rising oil prices, higher interest rates, and weakness across retail and mega-cap stocks weighed on the market.

The session represented a reversal of some of Wednesday's rate-relief trade. Yesterday's announcement that the Treasury Department will increase the size of its liquidity-support buybacks had helped push yields lower and supported a broad advance in equities, but some of that relief faded today as rates moved higher again.

Oil provided another source of pressure after President Trump threatened renewed economic measures against Iran. Treasury Secretary Scott Bessent later added that he will hold a press conference Monday to discuss additional actions against the country, which he described as potentially the "greatest coordinated economic isolation in the history of the world." WTI crude continued its recent climb, settling $2.47 higher (+2.9%) at $88.15 per barrel.

The combination of higher rates and oil prices weighed particularly heavily on the consumer discretionary sector (-1.8%). Cruise lines, homebuilders, and apparel stocks were among the laggards, with the iShares U.S. Home Construction ETF falling 2.5% as some of Wednesday's rate relief reversed. Advance Auto (AAP 42.39, -13.79, -24.55%) plunged following its earnings report and weighed on other auto-parts stocks.

Retail weakness extended to the consumer staples sector (-1.9%), which finished with one of the day's widest losses as Walmart (WMT 103.84, -10.46, -9.15%) sank following its earnings report, which featured a disappointing Q3 outlook.

Higher oil prices also contributed to weakness in the industrials sector (-1.2%), with airlines retreating as the jump in crude raised concerns about fuel costs. Defense stocks were another source of weakness as the U.S. emphasized economic measures against Iran, sending the iShares U.S. Aerospace & Defense ETF down 3.6%. Still, Deere (DE 620.94, +40.31, +6.94%) and Nordson (NDSN 334.70, +24.78, +8.00%) provided notable pockets of post-earnings strength within the sector.

Selling was also pronounced in the health care sector (-1.9%). Moderna (MRNA 133.32, -41.06, -23.55%) gave back another portion of yesterday's massive rally following the positive cancer-vaccine results, while Intuitive Surgical (ISRG 374.48, -23.24, -5.84%) was another notable laggard.

Technology stocks held up considerably better. The information technology sector (-0.4%) posted one of the narrowest losses, while the PHLX Semiconductor Index gained 0.5% after two sessions of sharp declines. Memory stocks and several other chip names rebounded amid the pronounced swings that have characterized the group this week.

That semiconductor resilience did not extend to mega-cap growth stocks more broadly, however. The Vanguard Mega Cap Growth ETF fell 0.9%, adding pressure to the major averages as the session progressed.

By the close, the energy (+0.4%) and real estate (+0.2%) sectors were the only S&P 500 sectors to escape with gains.

Crypto-related stocks were also a bright spot, with Coinbase Global (COIN 172.35, +12.15, +7.58%) ranking among the S&P 500's best performers as President Trump's push for Congress to pass the CLARITY Act helped fuel a rally across crypto-linked stocks.

Weakness also extended beyond the large-cap benchmarks. The Russell 2000 (-1.3%) and S&P MidCap 400 (-0.9%) finished near their session lows as higher rates and oil prices weighed on the broader market.

Thursday's steady deterioration reflected a combination of macro and company-specific pressures. The reversal of some of Wednesday's rate relief and a nearly 3% jump in oil prices created a difficult backdrop, while weakness following several retail earnings reports added to the selling. Semiconductor stocks provided a rare pocket of strength, but that was not enough to offset weakness across mega-cap stocks and an increasingly broad retreat that left the major averages at their worst levels of the day.

U.S. Treasuries retreated on Thursday with the long bond giving back the bulk of its gain that was recorded after the U.S. Treasury announced an increase to its maximum buybacks of longer tenors. The 2-year note yield settled up one basis point to 4.19%, and the 10-year note yield settled up four basis points to 4.70%. 

• Russell 2000: +20.6% YTD
• S&P Mid Cap 400: +15.3% YTD
• Nasdaq Composite: +12.2% YTD
• S&P 500: +11.6% YTD
• DJIA: +9.8% YTD

Reviewing today's data:

• August Philadelphia Fed Index 47.4 (Briefing.com consensus 25.0); Prior 41.4
• Weekly Initial Claims 206K (Briefing.com consensus 206K); Prior was revised to 212K from 209K, Weekly Continuing Claims 1.799 mln; Prior was revised to 1.781 mln from 1.777 mln
  • The key takeaway from the report is that even with the increase in four-week moving averages for initial and continuing claims, overall levels are not setting off alarm bells concerning increased layoff activity.
• July Leading Economic Index 0.2% (Briefing.com consensus -0.1%); Prior was revised to -0.1% from -0.2%

 Overseas:

• Europe: DAX -0.3%, FTSE flat, CAC -0.6%
• Asia: Nikkei +1.4%, Hang Seng +0.8%, Shanghai +0.2%

Commodities:

• Crude Oil +2.47 @ 88.15
• Nat Gas -0.08 @ 2.73
• Gold +23.80 @ 4569.60
• Silver +2.29 @ 68.12
• Copper -0.03 @ 6.47

After-Hours Spotlight:

• Broadcom (AVGO) looking for over $60 bln in new AI debt deal, according to Bloomberg...AVGO +0.2%
• Core Scientific (CORZ): Director bought 7,000 shares at $19.19 worth ~$134K...CORZ +0.9%
• Flowers Foods (FLO) misses by $0.01, misses on revs; provides FY26 guidance...FLO -4.9%
• James Hardie (JHX) to sell Fermacell business to Holcim for €840M cash; authorizes $250 mln buyback...+1.0%
• OSI Systems (OSIS) misses by $0.53, misses on revs; provides FY27 guidance...OSIS -13.2%
• Ross Stores (ROST) beats by $0.71, beats on revs; comp sales +10%; guides Q3 EPS above consensus; guides Q4 (Jan) EPS above consensus; raises FY27 EPS above consensus...ROST +7.2%
• Spotify (SPOT) boosts share repurchase authorization by $1.5 bln...SPOT +1.1%

For a full rundown of today's market and after hours developments, see Live In Play

• Earnings/Guidance (Full Earnings Calendar):
  • Advance Auto (AAP) beats by $1.79, misses on revs; provides Q2 (Jun) and FY26 guidance
  • Aegon N.V. (AEG) reports H1 insurance revenue of EUR 4.247 vs. EUR 4.558 bln last year; provides guidance
  • Alibaba (BABA) misses by RMB1.62, reports revs in-line
  • Atour Lifestyle Holdings Limited (ATAT) reports second quarter 2026 unaudited financial results
  • Autohome (ATHM) beats by RMB0.52, reports revs in-line
  • Bill.com (BILL) beats by $0.13, beats on revs; provides Q1 (Mar) and FY27 guidance
  • Coty (COTY) misses by $0.01, beats on revs; provides Q1 (Mar) and FY27 guidance
  • Deere (DE) beats by $0.41, beats on revs
  • Navios Maritime Partners (NMM) beats by $0.30, beats on revs; Board authorizes $200.0 mln buyback program
  • NetEase (NTES) misses by RMB3.54, beats on revs
  • Nordson (NDSN) beats by $0.16, beats on revs; guides FY26 EPS above consensus, revs above consensus
  • Telix Pharmaceuticals (TLX) reports H1 adjusted EBITDA of $52 mln; reaffirms FY26 revenue guidance; establishes ATM equity facility
  • Walmart (WMT) beats by $0.07, reports revs in-line U.S. comps grew 2.6%; guides Q3 EPS below consensus; reaffirms FY27 EPS guidance
  • Webull Corporation (BULL) beats by $0.08, beats on revs
  • Wolfspeed (WOLF) beats by $0.19, misses on revs; provides Q1 (Mar) and FY27 guidance
• General News
  • U.S. trade deal with Canada puts pressure on Mexico to match terms. Bloomberg
  • President Trump announces "economic warfare and isolation" operation against Iran; says "any country that allows its financial institutions, businesses, airports, or government entities to provide any type of lifeline to Iran will itself face tremendous economic consequences"; says "This will be an economic D-Day"
  • Trump administration set to lower Canadian auto tariffs to 15% as part of broader trade deal, according to Bloomberg
  • U.S. debt exceeds $40 trillion, according to Reuters
  • President Trump urged Congress to pass the Clarity Act. CNBC
  • President Trump defends data centers as economic growth drivers. USA Today
  • President Trump says U.S. regulators are working to bring Hyperliquid into the US. Bloomberg
  • Australia passes a law that will fine tech companies if they do not pay for local news. Reuters 
  • Deputy Defense Secretary Steve Feinberg sent memo with new directives to improve pricing transparency, according to BreakingDefense
  • EPA, in consultation with DOE, expands gasoline supply to lower prices at the pump
  • Anthropic plans to match or beat SpaceX (SPCX) IPO size, according to Bloomberg
  • EMSC reporting 6.7 magnitude quake in Central Peru (175 km SSE of Ayacucho, Peru)
  • Abbott Labs (ABT): HealthTab enters multi-year collaboration agreement with Abbott for point-of-care testing across the UK
  • AC Immune (ACIU) posts preliminary Phase 1 data for ACI-19764; Phase 1b cardiovascular-risk cohort now dosing
  • Aegon N.V. (AEG) announces Chief Financial Officer transition
  • Alphabet's (GOOG) Google celebrates 1 bln Gemma downloads
  • Amazon's (AMZN) Prime Video plans to invest $2 bln in Latin America between 2027 and 2030
  • Ameresco (AMRC) CFO Mark Chiplock to depart Sept. 25; company reiterates FY26 outlook
  • Apple (AAPL) to introduce camera-equipped AirPods with artificial intelligence next year. Bloomberg
  • Aramark (ARMK) expands NCAA partnerships with Florida State, Texas State ahead of 2026 season
  • Arcutis Biotherapeutics's (ARQT) Canadian unit announced Health Canada approval of PrZORYVE (roflumilast) cream 0.05% for the topical treatment of mild to moderate atopic dermatitis in pediatric patients
  • ASUR (ASR) announces resolutions approved at the ordinary and extraordinary general shareholders' meeting held on August 20th, 2026
  • AT&T (T) is using open source models to limit costs from Anthropic, according to The Information
  • Aurinia (AUPH) settles Teva patent case, pushing potential generic voclosporin entry to Dec. 7, 2036
  • Baidu (BIDU) Apollo Go goes live on Uber (UBER) in Dubai
  • BioNTech (BNTX) highlights late-stage lung cancer pipeline momentum and first global data for Pumitamig/Elfetabart Drozuntecan Novel-Novel combination at WCLC 2026
  • BitGo Korea (BTGO) secures South Korea VASP registration
  • Blue Owl Capital (OWL) discloses creation of a direct financial obligation or an obligation under an off-balance sheet arrangement of a registrant
  • Butler National Corp. (BUKS) subsidiaries entered into a Renewal of the Lottery Sports Wagering Management Contract with the Kansas Lottery
  • Carlyle (CG) provided funding to Castelion. WSJ
  • Charter (CHTR) completes Cox transaction and Liberty Broadband acquisition
  • Constellation Brands (STZ) to invest $100 mln over five years to support U.S. farmers
  • Coty (COTY) names British American Tobacco's Soraya Benchikh CFO, effective Sept. 1, 2026
  • Deutsche Bank (DB) to take space at YY London, Canary Wharf, from early 2028
  • Deutsche Bank (DB) revives energy trading activities with targeted recruitment, according to Bloomberg
  • Equinor () signs three-year crude oil supply agreement with ORLEN for Johan Sverdrup production
  • Ethan Allen (ETD) declares special cash dividend of $3/share; reaffirms strong financial position and commitment to sustainable shareholder value
  • Fermi America (FRMI) CEO releases statement - says Texas governor’s pause does not negatively impact Project Matador
  • Ferrovial (FER)-led group selected for Tennessee's $9.2 bln I-24 Choice Lanes project
  • First Breach Inc. (FBDT) common stock commences trading on the Nasdaq Capital Market
  • Fresenius Medical (FMS): Fresenius SE & Co. KGaA (FSNUY) is further reducing its financial investment in Fresenius Medical Care
  • Generac (GNRC) is planning a $250 mln factory expansion amid the data center boom. Reuters
  • Gen's (GEN) LifeLock adds scam reimbursement, real-time scam verification features
  • Google (GOOG, GOOGL) will offer creators millions if they do not work with Netflix (NFLX). Bloomberg
  • Harrow (HROW) reports IHEEZO data in patient-reported discomfort following intravitreal injections
  • Jack in the Box (JACK) names Taco Bell executive Taylor Montgomery president in planned CEO succession
  • Korro Bio (KRRO) discloses submission to Australian ethics committee to initiate first-in-human Phase 1/2 trial of KRRO-121
  • Women at L3Harris (LHX) shared concerns about former CEO Chris Kubasik before he was ousted. WSJ
  • Leggett & Platt (LEG) shareholders approve merger with Somnigroup (SGI)
  • LSI Industries (LYTS) CFO James Galeese to retire in August 2027; successor search underway
  • Lucid (LCID) names Munsterhuis first retail partner in the Netherlands
  • Merit Medical (MMSI) names Sheri Lewis EVP of Global Operations; COO Neil Peterson to transition to senior advisor
  • MGM Resorts' (MGM) BetMGM announces live dealer casino games streamed from Las Vegas are now available in Alberta
  • Microsoft (MSFT): U.S. video game spending dropped 10% in July, to $4.5 billion, despite the debut of several hit new releases, according to Circana
  • Mitsubishi Electric (MIELY) announces an agreement to acquire PCI Energy Solutions
  • NACCO Industries, Inc. (NC) disclosed receipt of an imminent danger order
  • Nelnet (NNI) Campus Commerce launches PayPal, Venmo tuition payment option with PayPal (PYPL)
  • NetScout Systems (NTCT) enhances Arbor Edge Defense to protect against DDoS attacks that evade or bypass CDN defenses
  • NVIDIA (NVDA) planning to new AI chip for China, according to The Information
  • OpenAI paused AI training for two weeks amid security issues, according to WSJ
  • OSI Systems' (OSIS) Rapiscan named official security screening and technology provider for LA28 Games
  • Palo Alto Networks (PANW), NTT DATA form multi-year global AI cybersecurity alliance
  • Paramount (PSKY) considering moving from California to Austin, TX, amid an antitrust battle. NY Post
  • Parsons (PSN) selected for $350 mln Navy S2ISR multiple-award contract
  • Pitney Bowes (PBI) launches cash tender offers for up to $50 mln of 2043 and 2037 notes
  • Publicis (PUBGY) secures Gilead (GILD) media account. Ad Age
  • Qnity Electronics (Q) installs KLA Surfscan SP7XP wafer inspection system to support advanced semiconductor materials development
  • QumulusAI (QMLS) signs 7-year Atlanta colocation deal for up to 3.75 MW, with path to 10.75 MW
  • REPAY (RPAY) joins Visa Platform Connect as clearing and settlement backend
  • Rigetti (RGTI) creates systems delivery unit, names David Rivas COO and Andrew Bestwick CTO
  • Robo.ai (AIIO) provides business update and announces interim report release schedule
  • Science Applications (SAIC) amends Master Accounts Receivable Purchase Agreement with purchaser MUFG Bank
  • Sharon AI (SHAZ) says customer accepted initial AI cloud deployment under $950 mln contract
  • SoundHound AI (SOUN): LivePerson (LPSN) convened and immediately adjourned Special Meeting of Stockholders to Sept 2; says only a few percentage points away from reaching threshold
  • Stellantis' (STLA) Jeep launches 2027 Wrangler Smoky Mountain special edition
  • SuperX (SUPX) says Japan supply center has shipped $31 mln of Pro6000 servers, secures new orders
  • Sysco (SYY): DE Shaw owns $1 bln stake in SYY, according to Reuters
  • TD SYNNEX (SNX) unit Hyve selects Nevada for two advanced manufacturing campuses
  • TIM S.A. (TIMB) approved new buyback program
  • Transocean (RIG) lands $300 mln drillship award from ONGC
  • Ultragenyx (RARE) wins FDA accelerated approval for GENGLYCOS in GSDIa
  • United (UAL) completes phase one of Denver pilot training center expansion
  • UroGen (URGN) signs IntraGel collaboration, takes options on up to three oncology products and TumoCure
  • Walt Disney (DIS): DOJ is against immediate hearing for ABC license lawsuit, according to Reuters

• Upgrades:
  • American Tower (AMT) upgraded to Overweight from Equal Weight at Barclays, tgt $198
    
  • Analog Devices (ADI) upgraded to Outperform from Market Perform at Bernstein, tgt $465
    
  • Crown Castle (CCI) upgraded to Overweight from Equal Weight at Barclays, tgt $84
    
  • EPR Properties (EPR) upgraded to Overweight from Sector Weight at KeyBanc, tgt $70
    
  • Etsy (ETSY) upgraded to Buy from Neutral at BofA Securities, tgt $95
    
  • Merck (MRK) upgraded to Overweight from Equal Weight at Morgan Stanley, tgt $179
    
  • Pony AI (PONY) upgraded to Outperform from Neutral at BNP Paribas
    
  • Progressive (PGR) upgraded to Outperform from Market Perform at Keefe, Bruyette & Woods, tgt $250
    
  • Target Hospitality (TH) upgraded to Buy from Hold at Deutsche Bank, tgt $22
• Downgrades:
  • Allstate (ALL) downgraded to Underperform from Market Perform at Keefe, Bruyette & Woods, tgt $250
    
  • Cactus (WHD) downgraded to Neutral from Buy at Citi, tgt $75
    
  • Coty (COTY) downgraded to Sector Perform from Outperform at RBC Capital, tgt $3
    
  • Gerdau (GGB) downgraded to Neutral from Buy at BofA Securities, tgt $5.10
    
  • Liberty Latin America (LILA) downgraded to Underweight at Morgan Stanley, tgt $7
    
  • Merck (MRK) downgraded to Sector Perform from Outperform at RBC Capital, tgt $150
  • TJX (TJX) downgraded to Accumulate from Buy at Gordon Haskett, tgt $155
    
  • TJX (TJX) downgraded to Neutral from Buy at Citi, tgt $154
• Others:
  • Alpha Cognition (ACOG) initiated with a Buy at B. Riley, tgt $21
    
  • Alphabet (GOOG, GOOGL) assumed with a Buy at Rosenblatt
    
  • Amazon (AMZN) assumed with a Buy at Rosenblatt
    
  • Bitdeer Technologies (BTDR) initiated with an Overweight at Barclays, tgt $15
    
  • CalciMedica (CALC) initiated with a Buy at Guggenheim, tgt $9
    
  • Chewy (CHWY) initiated with a Neutral at Rosenblatt, tgt $25
    
  • Covenant Logistics (CVLG) initiated with an Outperform at Baird, tgt $50
    
  • Draganfly (DPRO) initiated with a Buy at Titan Partners, tgt $9
    
  • eBay (EBAY) initiated with a Buy at Rosenblatt, tgt $120
    
  • Eloxx Pharmaceuticals (ELOX) initiated with a Buy at Lucid Capital Markets, tgt $38
    
  • Etsy (ETSY) initiated with a Buy at Rosenblatt, tgt $95
    
  • Freenome (FRNM) initiated with a Buy at Guggenheim, tgt $21
    
  • Keurig Dr Pepper (KDP) resumed with an Overweight at Morgan Stanley, tgt $38
    
  • Lifeway Foods (LWAY) initiated with a Buy at BTIG, tgt $32
    
  • Madison Square Garden Entertainment (MSGE) initiated with a Neutral at Piper Sandler, tgt $86
    
  • Milestone Pharmaceuticals (MIST) initiated with an Overweight at Cantor Fitzgerald, tgt $3
    
  • Monolithic Power Systems (MPWR) initiated with a Buy at Arete, tgt $2,013
    
  • Progyny (PGNY) initiated with an Overweight at Wells Fargo, tgt $37
    
  • Shopify (SHOP) initiated with a Buy at Rosenblatt, tgt $175
    
  • SiTime (SITM) initiated with a Buy at Benchmark, tgt $850
    
  • Sphere Entertainment (SPHR) initiated with an Overweight at Piper Sandler, tgt $185
    
  • Surrozen (SRZN) initiated with an Outperform at William Blair, tgt $51
    
  • Trekor Metals (TGB) initiated with a Buy at Jefferies
    
  • UMB Financial (UMBF) initiated with an Overweight at JPMorgan, tgt $180
    
  • Valvoline (VVV) initiated with a Buy at Benchmark, tgt $48
    
  • Wayfair (W) initiated with a Buy at Rosenblatt, tgt $125
    
  • Xometry (XMTR) initiated with a Buy at Rosenblatt, tgt $110

• Econ Data (Friday):
  • 9:45 ET: Flash S&P Global U.S. Manufacturing PMI (prior 53.9) and flash S&P Global U.S. Services PMI (prior 54.6)

• Earnings:
  • Monday (August 17)
    • Pre-Market: None
    • After-Hours: FN
  • Tuesday (August 18)
    • Pre-Market: AS BIDU HD KLAR
    • After-Hours: JKHY KEYS LZB MRCY TOL ZTO
  • Wednesday (August 19)
    • Pre-Market: ADI EL KC LOW TGT TJX VIK
    • After-Hours: BILL COTY NDSN BULL WOLF
  • Thursday (August 20)
    • Pre-Market: AAP BABA ATHM NTES SCSC WMT DE
    • After-Hours: FLO OSIS ROST
  • Friday (August 21)
    • Pre-market: BJ BKE
    • Afternoon: None