Newsquawk Daily US Equity Opening News - Jack Ma buys HKD 600mln of Alibaba shares; Dismal DKS report

• MAJOR MORNING MOVES RECAP: TSLA, BABA, DKS, UAL, AMD, Memory names. For the full list, click here
• US DAILY CONFERENCE CALENDAR: COHR, DELL, EQIX, INTC, NVDA, ORCL, SNOW. For the full list, click here.

DAY AHEAD:

• EVENTS: Canadian ministers are to unveil Canada’s reply to US tariffs on Tuesday at 16:00BST/11:00EDT.
• DATA: In North America, Conference Board consumer confidence (prev. 90.8) and new home sales (prev. 0.628mln; prev. 1.6% M/M) are due. Elsewhere, the Richmond Fed manufacturing index (prev. 5).
• SUPPLY: US sells USD 69bln of 2-year notes.
• ENERGY: Brent October 2026 options expire; weekly private energy inventory estimates due after the US close.
• EARNINGS: Notable corporate earnings reports due today include: Intuit (INTU), Zoom Communications (ZM).

US EQUITY NEWS:

TECH:

• Apple (AAPL) - Preparing to launch a new Mac mini as soon as the coming days, ahead of a September iPhone event likely to be held on 9th September, Bloomberg reports. The updated machine will introduce Apple’s first foldable smartphone and the iPhone 18 Pro line, with new AirPods 5 and Apple Watch Series 12 also expected at the event. The Mac mini launch will likely be the last new product under CEO Tim Cook, who hands over to John Ternus on 1st September.
• TSMC (TSM) - TSMC suppliers Nichias and Gold Stone Development are building a plant in Hsinchu, Taiwan to produce PFA fluoropolymer tubes, which are critical components for transporting chemicals in chip manufacturing, Nikkei reports. Production is expected to begin in early 2027. The facility aims to ease a supply chain bottleneck that caused significant disruption during the 2021-2022 semiconductor crunch, when lead times for such materials stretched to nearly a year.
• Samsung Electronics (SSNLF), SK Hynix (SKHY) - Samsung and SK Hynix are accelerating equipment spending at their NAND flash manufacturing facilities in China through 2027, upgrading existing production lines despite growing uncertainty over future access to Western chipmaking tools, Digitimes reports.
• SK Hynix (SKHY) - Shares fell in overnight trading after union members rejected a tentative wage agreement, Yonhap reports. Just over 50% voted against it. The proposed deal included a 6.3% salary increase and performance bonuses paid 40% in cash and 60% in company shares. Negotiations are expected to resume.
• Nvidia (NVDA) - Nvidia-backed AI cloud computing provider Lambda is reportedly in talks to raise up to USD 3bln at a valuation of USD 12bln+, with the round potentially paving the way for an IPO as soon as next year.
• Broadcom (AVGO) - Bloomberg notes that Broadcom’s credit risk has risen sharply in August, with 5yr CDS climbing 28bps and its 2031 bond yields up approximately 14bps, as the company’s role backstopping AI financing deals draws scrutiny. JPMorgan has warned of growing “phantom leverage” accumulating beneath the AI ecosystem as backstops, leases and purchase commitments stretch toward the trillions.
• DeepSeek - Chinese state-affiliated hackers more than doubled attacks after adopting AI tools including DeepSeek, TeamT5 said. DeepSeek was used for reconnaissance, exploit development and domain mapping, while other groups used OpenAI’s ChatGPT and Anthropic’s Claude Code during attacks. The researchers cited DeepSeek’s low cost, customisability and relatively weak cybersecurity guardrails.
• SAP (SAP) - Extended the contract of chief people officer Gina Vargiu-Breuer until 2030, despite at least four internal reviews of her conduct since she joined in 2024, with all investigations concluding without finding misconduct, Bloomberg reports. The extension came after a botched bonus system she oversaw required a costly overhaul, with SAP setting aside EUR 70mln to compensate high-performing employees.
• Cisco (CSCO) - Expanding the Secure AI Factory with Nvidia (NVDA) through a partnership with Supermicro (SMCI).
• Navitas Semiconductor (NVTS) - Agrees to acquire Claros in deal valued at up to USD 232.8mln.

COMMUNICATIONS:

• Meta Platforms (META) - Plans to launch a consumer AI agent platform called Hatch within the next several weeks, alongside an October target for its newest AI model, named Watermelon, The Information reports. Hatch is the consumer version of Meta’s OpenClaw AI agent, and forms part of CEO Zuckerberg’s strategy to generate revenue from AI investments and reduce reliance on advertising. A premium subscription tier of up to USD 199.99 per month has reportedly been considered, the report said.
• Paramount Skydance (PSKY), Warner Bros. Discovery (WBD) - Bankers have been approaching potential buyers for Warner Bros. assets, including New Line Cinema and its cable networks, as Paramount Skydance’s USD 110bln acquisition bid remains held up by lawsuits from 12 state attorneys general and the Writers Guild. California AG Bonta cancelled settlement talks on Monday, and said he is seeking structural remedies across theatrical distribution, blockbuster distribution and cable-channel licensing. Paramount said it remains open to good-faith discussions inclusive of structural remedies.
• Alphabet (GOOGL) - Google Cloud launches Gemini Enterprise for financial services.

FINANCIALS:

• BlackRock (BLK) - Sounding out buyers for the remaining USD 671mln loan portfolio held by its troubled TCP Capital, with advisers at Keefe, Bruyette & Woods pitching assets to firms including Ares Management (ARES), Bloomberg reports. The process is at an early stage, and a sale decision has not been finalised.
• Situational Awareness - The SEC has sent subpoenas to major Wall Street banks including Bank of America (BAC), Citi (C), Goldman Sachs (GS) and JPMorgan (JPM) seeking details on the trading and leverage arrangements of AI-focused hedge fund Situational Awareness, NYT reports. The fund nearly imploded last month after heavy losses on AI stock positions forced a fire sale of most of its portfolio to Citadel. At its peak the fund managed more than USD 30bln. No wrongdoing has been alleged.

CONSUMER DISCRETIONARY:

• Amazon (AMZN) - Developing fully automated delivery stations under an internal initiative called Project Tetromino, using AI and robotics to process packages at the final stage before delivery, Business Insider reports. An internal document showed a planned USD 103mln pilot in 2028, five sites in 2029 and ten more in 2030, with total investment exceeding USD 530mln by 2029, and processing capacity approximately 2.5 times that of existing stations. Amazon described the project as an early-stage concept and said the specific figures in the document are inaccurate.
• Tesla (TSLA) - Raised the price of its Cybertruck dual motor and premium all-wheel drive variants by USD 5,000 each in the US, Reuters reports.
• Volkswagen (VWAGY) - Volkswagen CEO Blume and VW brand chief Schafer are due to present their restructuring plan to workers at the Wolfsburg factory on Tuesday, the first of a series of townhall meetings across Germany. The plan could eliminate as many as 100,000 jobs. The IG Metall chief Benner has already said the cost-cutting targets and margin goal of 9% as unrealistic, and a some union memebers have warned of potential strikes if Blume does not walk back his plans.
• Hyundai Motor (HYMPY) - Reached a tentative wage agreement with its union, ending months of walkouts including the first full-day strike in a decade on Friday, WSJ reports. The deal includes a monthly basic salary rise of KRW 100,000, an annual bonus of 400% of the increased salary, a one-off cash payment of KRW 12.7mln and 15 treasury shares per worker, subject to union member approval. Both sides also discussed plans to deploy humanoid Atlas robots on some assembly lines, likely first in the US, from 2028.
• Alibaba (BABA) - Jack Ma buys HKD 600mln of Alibaba shares, signalling AI confidence, reports SCMP citing sources.
• Dick's Sporting Goods (DKS) Q2 2026 (USD): Adj. EPS 3.53 (exp. 3.76), Revenue 5.59bln (exp. 5.64bln). Guidance: Cut FY26 adj. EPS to 11-12 (exp. 14.20, prev. 13.50-14.50) and revenue to 21.9-22.2bln (exp. 22.35bln, prev. 22.1-22.4bln); 2026 outlook revised due to challenging athletic footwear and apparel marketplace. Lowers Foot Locker business proforma comparable sales to negative 2.0% to 0.0% and lowers operating income outlook for both DICK'S and Foot Locker Businesses.

CONSUMER STAPLES:

• US Grain Farmers - US grain farmers are facing their worst financial crisis in four decades, as diesel and fertiliser costs surge in the wake of the Iran war, FT reports. Diesel has risen to USD 5.45 per gallon nationally from USD 3.81 before the conflict, while key fertiliser costs have nearly doubled. The American Farm Bureau Federation estimates losses across nine principal crops of USD 31bln this year and USD 32bln in 2027, with drought across the Corn Belt compounding the pressure. US corn for December delivery has jumped 10% this month to USD 5.15 a bushel, its highest since 2023.
• Hormel Foods (HRL) - Appointed Ash Bhumbla as Executive Vice President and CFO, effective 8th September. Paul Kuehneman, who has served as interim CFO since October 2025, will remain a senior leader within the finance organisation to support the transition.

ENERGY:

• Russia Refinery - The Afipsky oil refinery (processes about 180K BPD) in southern Russia caught fire after an overnight drone strike.
• Shell (SHEL) - Shelved its Aphrodite offshore gas project in Trinidad and Tobago after failing to agree commercial terms with the National Gas Company on the sale of the project’s expected output of approximately 100 million cubic feet per day, Reuters reports. Shell has released the jack-up rig contracted to drill production wells, though it said it continues to evaluate the overall integrated project schedule. The decision represents a setback for Trinidad’s efforts to reverse years of declining natural gas output.
• Woodside Energy (WDS) - Placed its Beaumont New Ammonia facility in Texas under strategic review, including a potential sale, citing policy shifts and weak demand for lower-carbon ammonia since acquiring the asset for USD 2.35bln two years ago, WSJ reports. Woodside also abandoned its target of investing up to USD 5bln in new energy projects by 2030, citing delays to clean energy policy frameworks and slow market development. The facility produced conventional grey ammonia for the first time in December 2025.

MATERIALS:

• US Critical Minerals - The Pentagon issued a solicitation seeking investment pitches from domestic producers of indium, manganese, magnesium and titanium, metals used in fighter jets, night-vision goggles and tank armour. The solicitation covers the full supply chain from mining and processing to recycling, and is the DIBC’s third critical minerals solicitation since mid-2025, Bloomberg reports. Available funding will become clearer as the FY27 defence budget is finalised, the report said.
• Zimbabwe Steel - Tsingshan Holding Group is considering tripling output at its Manhizhe steel plant in Zimbabwe to as much as 2mln tons (vs 600K tons currently), Bloomberg reports. Around 60% of current output is exported, mostly to South Africa.

INDUSTRIALS:

• SpaceX (SPCX) - CEO Musk said SpaceX’s first AI satellites, powered by Nvidia (NVDA) chips using a space-optimised Vera Rubin NVL72 system, will initially launch in Q4 2027, and reach significant scale in 2028. SpaceX has filed with the FCC for approval to launch up to 1mln satellites for orbital AI computing.
• Boeing (BA) - Received a USD 131.23bln ceiling F-15 Eagle Crest contract covering production, modernisation, sustainment and depot capabilities for US and foreign customers.
• Airbus (EADSY) - Airbus Spain voted by a large majority to proceed with an indefinite strike from Tuesday 25th August, rejecting the company’s latest wage proposal as insufficient. Airbus warned the action could impact production obligations and customer agreements, and added that reaching an agreement in the coming days was critical.
• Siemens Energy (SMERY) - Working with Goldman Sachs to field offers for a majority stake in its Transformation of Industry division, which includes steam turbines, generators and compressors, Bloomberg reports. The business could be valued at more than EUR 10bln, and it generated approximately EUR 5.7bln in revenue in the last fiscal year. CVC Capital, EQT, Bain, Brookfield and KKR are among the private equity firms exploring potential bids; a board meeting has been scheduled for today to decide how to proceed.
• United Airlines (UAL) - Announced the largest international network expansion in company history with 10 new international cities and three new routes across Europe and Asia.

HEALTHCARE:

• Johnson & Johnson (JNJ) - The FDA approved IMAAVY for warm autoimmune haemolytic anaemia in adults and patients aged 12+ currently or previously treated with corticosteroids. Following Priority Review, it is the first therapy proven safe and effective specifically for wAIHA.
• EssilorLuxottica (ESLOY) - Leonardo Maria Del Vecchio will step down as Ray-Ban chairman and EssilorLuxottica chief strategy officer, effective 31st August, according to MF-Milano Finanza; he criticised CEO Francesco Milleri’s management style as distant and impersonal.

GEOPOLITICS:

• US-Iran - Defence Secretary Hegseth said the US pivot to economic measures does not preclude military action against Iran, stating that kinetic strikes in the Strait of Hormuz or around Iran are not off the table. IRGC spokesperson Brigadier General Mohebbi threatened heavy blows to US vital interests and energy chokepoints if Iranian infrastructure is threatened
• US-China - In his announcement, Treasury Secretary Bessent did not name China specifically, despite it buying approximately 90% of Iranian oil exports, stating only that “no one is above the reach of US sanctions.” The measures stopped short of targeting major Chinese financial institutions, with analysts cautioning their effectiveness is limited given the speed at which substitute entities can be created and the vast number of potential intermediaries. China’s Foreign Ministry said pressure tactics were unhelpful, and Beijing would protect its own interests.
• Iran-Pakistan - Pakistan and Iran made significant progress in talks focused on preventing further escalation, reopening the Strait of Hormuz and reaching an expedited end to the conflict, according to Pakistan’s interior minister, and a statement from the Pakistani military. Pakistani army chief Munir met with Iranian leadership, and both sides exchanged views on a negotiated settlement to the dispute.

TRADE:

• US-China - The US is set to impose a 7.5% tariff on Chinese goods citing industrial overcapacity before the planned Trump-Xi summit on 24th September, Bloomberg reports citing sources. The move would restore total second-term duties on China to approximately 20%, a level Beijing has said is consistent with the trade truce. One option under consideration involves announcing a higher rate, but suspending part of it to achieve the 7.5% effective rate, with both sides also looking to extend their trade pact beyond its 10th November expiry.
• US-Canada - President Trump acknowledged the US is heavily reliant on Canada for aluminium, saying the country “desperately needs” the metal and obtains most of it from Canada. His comments came amid an ongoing US-Canada trade dispute, where a proposed deal to halve the aluminium levy stalled after pushback from the US steel and aluminium sectors. More than half of US aluminium consumption is produced in Canada, but US steel and aluminium industries opposed further concessions.
• US-Mexico - Mexican President Sheinbaum expressed optimism about reaching a trade deal with the US. Economy Minister Ebrard is remaining in Washington to negotiate lower tariffs on Mexican steel, aluminium and automobiles. The collapse of US-Canada talks, which triggered a 50% levy on approximately USD 20bln of Canadian goods and prompted retaliatory tariffs from Ottawa effective 8th September, may strengthen Mexico’s negotiating position as the US may be reluctant to open a second major trade front ahead of November midterm elections, Bloomberg writes.

MACRO:

• US Bond Support - Stanley Druckenmiller, who mentored Treasury Secretary Bessent early in his career, publicly criticised the Treasury’s bond buyback programme as a mistake, arguing that governments defending prices against fundamentals always lose, Bloomberg reports. Druckenmiller said that the 10yr yield near the economy’s nominal growth rate makes financial conditions accommodative rather than restrictive, and that the bond market was not acting as a vigilante, but had merely begun to signal fiscal concerns.
• USD - Barclays’ month-end rebalancing model signals moderate USD selling against all majors. The bank noted August’s summer lull was short-lived, with Brent rising above USD 90/bbl on US-Iran escalation reigniting inflation concerns, while Treasury buyback announcements acknowledged long-end yield pressures without providing lasting relief. US equities gained as markets priced out Fed hike risks, but the USD weakened sharply, pushing Barclays’ dollar sentiment index into bearish territory.
• RBA - Minutes from RBA August meeting showed the board considered raising the cash rate by 25bps, but ultimately held at 4.35%, with several members judging upside inflation risks could crystallise and require further tightening, while others saw potential downside offsets and sufficient time to assess incoming data. Members noted that following three rate rises earlier in the year, policy appeared sufficiently restrictive to return inflation to target within a reasonable timeframe. Staff research suggested a more pre-emptive approach may be appropriate when the economy faces capacity constraints and adverse supply shocks, with the Middle East conflict cited as a source of global cost pressure.
• Japan - Japanese FinMin Katayama said the FY27 budget will focus on key policies to drive economic growth while balancing fiscal sustainability, and pledged to maintain communication with markets. He declined to comment on specific FY27 budget requests, and noted various opinions have been received on the scheme for retail investor JGBs.
• BoJ - BoJ core CPI eased to 2.3% Y/Y in July (prev. 2.6%), but still remaining above the central bank’s 2% target. Traders are pricing approximately 80% probability of a BoJ rate hike on 18th September, with some economists now forecasting the key inflation gauge to accelerate to 3% in Q1 2027, and the policy rate to reach 1.75% by Q3 2027, Bloomberg said.
• UK Budget - UK PM Burnham declined to rule out tax rises in the 28th October Budget, saying he would take a careful approach and would not be unrealistic about the challenging state of public finances, BBC reports. Burnham said cost of living measures announced so far were funded through reprioritised spending rather than new borrowing.
• German Growth - Final German Q2 GDP growth printed 0.3% Q/Q (exp. 0.2%, prev. 0.4%), with the annual rate up at 1.0% Y/Y (exp. 0.9%, prev. 0.7%). Germany’s stats office said the economy’s growth momentum from the start of the year is continuing, with strong export performance the primary driver, as was the case in Q1.