iOS 26 brings AI shine, but Market stays cool 10/06/2025

HOT stories for today

US market wrap:

• The market advanced for a second consecutive session, despite a relatively quiet news weekend dominated by reports of National Guard deployments in Los Angeles and unrelated Twitter exchanges. The S&P 500 inched up by nearly 0.1% during regular trading, notching its second day of modest gains. The Dow Jones finished just below the flatline, while the Nasdaq Composite rose approximately 0.3%. 
• Meanwhile, investors remained focused on ongoing trade negotiations between U.S. and Chinese officials. Talks are expected to continue Tuesday morning, according to a source cited by CNBC. Market participants are closely watching for signs of a potential agreement that avoids the imposition of steep tariffs by either nation.

iOS 26 brings AI shine, but Market stays cool

• At its WWDC keynote, Apple unveiled iOS 26, featuring a sleek “Liquid Glass” redesign and deeper integration of on-device AI — though the event delivered few true surprises. The standout feature is real-time voice and text translation across Messages, FaceTime, and Phone, enabling bilingual conversations with live captions and spoken replies, all processed privately on-device. 
• Support is limited at launch to select languages, including English, Spanish, French, German, and Portuguese.Apple also revealed macOS Tahoe, Vision Pro enhancements for gaming and productivity, Apple TV karaoke, and music lyric translation. Despite the polished rollout, many viewers noted the keynote felt more like a software tune-up than a bold leap forward. Developer previews are live now, with full public releases set for fall.

Stock’s on the move:

• Universal Health Services (UHS) — Shares dropped over 6% after CFO Steve Filton commented at a conference that procedural volumes have been slower to return to pre-pandemic norms than anticipated. He also voiced uncertainty over the implications of former President Donald Trump’s spending bill as it moves through the Senate, potentially impacting the hospital sector, according to a FactSet transcript.
• Warner Bros. Discovery (WBD) — The stock surged 7% after the company announced plans to split into two separate publicly traded entities by next year. One entity will house its streaming platforms and film studios, while the other will manage cable networks like CNN and TNT Sports.
• Robinhood (HOOD), AppLovin (APP) — Shares of Robinhood and AppLovin declined 5% and 4%, respectively, following their exclusion from the latest S&P 500 rebalancing. Both had been viewed as potential additions. Robinhood had climbed over 13% last week in anticipation, while AppLovin rose more than 6%.
• Intuitive Surgical (ISRG) — The stock fell 7% after Deutsche Bank downgraded it from “hold” to “sell,” citing rising competitive pressures that could erode the company’s long-standing market advantage.

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                                          Watchlist: TSLA, NVDA, IONQ, SJM, ASO, UNFI, GME, AAPL


Today’s action

• Markets in the Asia-Pacific region edged higher on Tuesday as investors looked for progress in the ongoing U.S.-China trade negotiations, now entering their second day. Japan’s Nikkei 225 gained 0.92%, Hong Kong’s Hang Seng added 0.41%, and China’s CSI 300 rose 0.19%. 
• U.S. stock futures also pointed to a positive open Monday night. Dow Jones futures climbed 132 points (0.32%), S&P 500 futures advanced 0.45%, and Nasdaq 100 futures increased by 0.6%. Traders are watching for signs of a potential trade agreement that avoids additional tariffs between the two economic powers. On the data front, markets will be eyeing Tuesday's small business sentiment report, followed later in the week by key readings on consumer and producer inflation. Earnings reports expected Tuesday include J.M. Smucker Co. (SJM) and GameStop (GME).

Bitcoin

• U.S. crypto-linked companies rallied Monday alongside a 4% surge in Bitcoin, as more publicly traded firms added the digital asset to their balance sheets. The country’s top four crypto miners and several major crypto firms closed with gains on June 10, continuing to edge higher in after-hours trading. 
• Circle Internet Group (CRCL), a recent Nasdaq entrant and stablecoin issuer, led the pack with a 7% jump during regular hours and a 2.2% after-hours rise to $117.79. Core Scientific (CORZ) gained 4.27%, followed by a post-close uptick of 0.87%. Competitors CleanSpark (CLSK) and MARA Holdings (MARA) both added over 3% during the session and another 1% after-hours. Bitcoin (BTC) climbed to $110,150, inching closer to its May 22 high of $112,000 as investor nerves eased amid ongoing U.S.-China trade talks in the U.K.
  Watchlist: Bitcoin: 100 000-112 000, Ethereum:1500-2800, Solana: 80-183

Forex

• The Japanese Yen (JPY) resumed its short-term downtrend on Tuesday, pressured by fading safe-haven demand amid optimism around U.S.-China trade talks. The USD/JPY pair edged higher, supported by fresh U.S. Dollar (USD) buying. However, expectations that the Bank of Japan will continue its gradual rate hikes helped limit deeper JPY losses.
• Meanwhile, the Euro (EUR) lost ground as the EUR/USD pair met fresh selling pressure near 1.1435 during early Asian trade. A renewed bid for the U.S. Dollar dragged the pair back below the 1.1400 mark. Still, U.S. fiscal uncertainty and Fed rate cut expectations could cap USD upside, while the European Central Bank's relatively hawkish stance may offer some support to the Euro.
  Watchlist: EUR/USD: 1.0700-1.1600, USD/JPY: 140-151

Basic Materials

• West Texas Intermediate (WTI) crude climbed to around $64.65 in early Asian trading Tuesday, approaching seven-week highs. Prices are supported by optimism over U.S.-China trade negotiations and geopolitical tensions, along with a weaker U.S. dollar. Additional support comes from OPEC and its allies agreeing to expand short-term oil output.
• Meanwhile, gold (XAU/USD) saw modest gains, trading near $3,325. The precious metal continues to benefit from dollar softness and safe-haven demand. Investors are closely watching Tuesday’s meeting between U.S. and Chinese officials in London for potential market-moving developments. Notably, China’s central bank added to its gold reserves in May for the seventh consecutive month.
  Watchlist: GOLD 2600-3500, US Oil: 55.60-70.00
  
   

Key Economic Events Today:

EST time
06:00 am: USD NFIB Small Business Index
04:00 pm: USD President Trump Speaks


Earnings

BMO (Before the US Market opens)
CNM         Core & Main Inc.
SJM          The J.M. Smucker
ASO          Academy Sports and Outdoors
UNFI         United Natural Foods
AMC (After the US Market closes): GME, GTLB, PLAY
 

The TEFS Analyst team wishes you a successful day!