Daily US Equity Opening News - NVDA CEO says H200 China demand 'quite high'; Trump to meet oil execs on Friday

TODAY'S AGENDA:

US INDEX FUTURES: ES unch, NQ -0.2%, YM +0.2%, RUT +0.1%
DAY AHEAD: JOLTS job openings are expected to fall to 7.61mln in November (prev. 7.67mln in October); in that October report, the quits rate fell to 1.8% from 2.0%, while the vacancy rate was unchanged at 4.6%. Elsewhere, the ISM Services PMI is seen inching down a little in December (see preview below). On the speakers' slate, Fed's Bowman (voter, dovish) will speak at a California Bankers Association seminar. On the energy front, API weekly energy inventory data reportedly showed headline crude stocks posting a surprise draw of -2.8mln bbls (exp. +0.5mln), Cushing building by +0.7mln bbls, distillate seeing a larger than expected build of +4.9mln bbls (exp. +2.1mln), and gasoline stocks also seeing a larger than expected build of +4.4mln bbls (exp. +3.2mln). The more widely followed DoE weekly inventory report will be released later today. After the US close, Jefferies (JEF) will publish its earnings report afterhours today, which will help traders to gauge the trends ahead of the start of earnings season next week, where major US banks will report; Constellation Brands (STZ) will also report after the close.
BROKER MOVES: ALB upgraded at Baird; ASTS downgraded at Scotiabank. For the full list, click here.
MAJOR MORNING MOVES RECAP: MBLY, MSTR, MCD, AIR, VTYX, STAA, META, LOW, JPM, CSGP. For the full list, click here.
US DAILY CONFERENCE CALENDAR: CAT, EOG. For the full list, click here.
PREVIEW - ISM SERVICES PMI (15:00GMT/10:00EST): The ISM services PMI headline is seen easing to 52.2 in December from 52.6. As a basis of comparison, S&P Global's flash PMI data for December showed services activity expanding at a notably slower pace. The business activity index fell to a six-month low, with growth in new business slipping to its weakest in 20 months, pointing to cooling demand across the sector. Employment growth nearly stalled as firms became more cautious. The outlook remains positive but has deteriorated slightly, sitting below the long-run average, S&P said. Rising input costs and sharply higher prices charged—partly blamed on tariffs and labour costs—are eroding confidence, although hopes of policy support and lower interest rates provide some offset.

NEWS:

GEOPOLITICS

US-Venezuela - The Trump administration told Venezuela’s interim leader Delcy Rodriguez that the country must partner exclusively with the US on oil production and prioritise US buyers for heavy crude, ABC reports. Washington also demanded Venezuela cut ties with China, Russia, Iran and Cuba and sever economic relationships. Oil sales from Venezuela will continue indefinitely and sanctions will be reduced as part of an agreement between the US administration and Venezuela, CNBC reported, citing a White House source; 50mln barrels to be sold to the US in the first tranche; Sanctioned oil that would have gone to China and others is going to be rerouted to the US, proceeds will thereafter benefit the US and Venezuela; No sale price has been touted regarding the sale.
US-Greenland - President Donald Trump would not rule out using military force to acquire Greenland, the White House said, heightening tensions with NATO ally Denmark, Bloomberg reports. Press Secretary Leavitt said Trump is considering multiple ways to achieve the goal, as the dispute regained attention after Nicolas Maduro’s ouster. Secretary of State Rubio told lawmakers that the Trump administration’s aim is to buy Greenland from Denmark and that recent rhetoric does not signal imminent military action, WSJ reports. The comments were made during a closed briefing, despite public statements declining to rule out force.
China-Taiwan - China blacklisted Taiwan Interior Minister Liu Shyh-fang and Education Minister Cheng Ying-yao for backing independence, marking its first targeting of Taipei officials since Lai Ching-te became President.

TECH

Memory Prices - Soaring memory prices lifted supply chains, with Nanya Technology and Adata Technology posting record single-month revenues for consecutive months, DigiTimes reports. December 2025 revenue reached new highs for both companies, reflecting strong DRAM and DDR4 demand and a broader memory market upswing.
NVIDIA (NVDA) - NVIDIA CEO Jensen Huang said that Chinese demand for the company’s H200 AI processors is quite high, after the US granted approval to sell the chips in China. He said supply chains are active and licensing details with the US government are being finalised.
Qualcomm (QCOM) - In discussions with Samsung Electronics (SSNLF) over a contract for manufacturing 2nm chips, Reuters reports, citing comments made by Cristiano Amon quoted by the Korea Economic Daily; design work was already completed for commercialization.
Lenovo (LNVGY), Nvidia (NVDA) - Lenovo has teamed up with Nvidia to help AI cloud providers deploy data centres more quickly, announcing the tie-up at CES 2026. Lenovo also unveiled its Qira personal AI system, showcased AI glasses and devices, and highlighted liquid-cooled AI infrastructure offerings.
Mobileye (MBLY) - Announced it will acquire humanoid robotics startup Mentee Robotics for about USD 900mln. The acquisition will link autonomous driving and robotics technology. Closing is expected in Q1 2026, and initial deployments expected in 2026, ahead of commercialisation, which is targeted for 2028.
Oracle (ORCL) - Oracle Corp is likely to retain its investment-grade bond rating despite borrowing tens of billions of dollars to expand AI activities, according to analysts at UBS. A one-notch downgrade remains possible, but UBS said fears of a cut to junk are overblown and much of the credit risk is already priced in.
Strategy Inc (MSTR), Bitmine Immersion (BMNR) - MSCI said that it will not exclude digital asset treasury companies from MSCI Global Investable Market Indexes at the February 2026 review, but will launch a broader consultation. Existing treatment of identified companies will remain unchanged, with limits on share adjustments, additions and migrations. MSTR shares gained in extended trading following the announcement.
Infosys (INFY), Amazon (AMZN) - Announced that it is partnering with Amazon Web Services to develop expanded enterprise generative AI services, combining Infosys’s Topaz AI offerings with AWS’s AI assistant. The IT consultancy said the collaboration will also extend to other industries, including sports and entertainment. Meanwhile, Infosys and Cognition are collaborating to accelerate the AI value journey for global enterprises.
xAI - Elon Musk’s xAI said it raised USD 20bln in an upsized funding round, more than doubling its valuation from last spring at USD 230bln, FT reports. Investors included Valor, Fidelity, QIA and MGX.
Penguin Solutions (PENG) Q1 2026 (USD): Adj. EPS 0.49 (exp. 0.44), Revenue 343mln (exp. 342mln); backed FY26 EPS view 1.75-2.25 (exp. 2.08) and FY26 revenue view of down 4% to up 16%.
AST SpaceMobile (ASTS) - Downgraded at Scotiabank to 'Underperform' from 'Sector Perform'. The firm writes that AST SpaceMobile's share price has "once again overshoot to what we see as irrational levels," believing that the middle-ground scenario points to a valuation range between USD 45-55/shr. While the company's technology is "impressive," the firm says it "cannot remember a single time when the company got timing right." Evidence of slow user adoption in the US and Japan, modest ARPUs, and high capex means investors may have to wait until 2028 or 2029 for tangible cash flow generation.

CONSUMER DISCRETIONARY

Amazon (AMZN) - Was accused of listing products from independent retailers without consent, FT reports, citing business owners. These retailers have received orders for products that were out of stock or mispriced and mislabeled by Amazon.
Sugary Foods - The Trump administration is expected to advise Americans to limit added sugar intake under new Dietary Guidelines, recommending no more than 10 grams per meal. The guidance is also set to urge people, particularly children, to avoid added sugars and highly processed foods common in the US food industry.
McDonald's (MCD), Chipotle (CMG), Domino's Pizza (DPZ), Yum Brands (YUM) - Oppenheimer upgraded McDonald's to 'Outperform' from 'Perform', with a USD 355 price target, citing a potential break-out after shares traded around USD 300. The brokerage is more bullish on restaurants into 2026 after underperformance in 2025. It also named Chipotle (CMG), Domino's Pizza (DPZ) and McDonald's as its top picks, expecting revitalized earnings growth in 2026 and 2027. Oppenheimer downgraded Yum Brands to 'Perform' from 'Outperform' with no price target after a 13% rise in 2025; the firm sees risk and reward as more balanced, endorses a Pizza Hut separation, and cites EPS dilution supporting its neutral stance.
GameStop (GME) - Announced it has granted a performance-based stock option award to Chair and CEO Cohen. The award is designed to incentivize Cohen to achieve "extraordinary" growth. However, under the award, Cohen receives no guaranteed pay, no salary, no cash bonuses, and no stock that vests simply over time. In order for the award to fully vest, the Company’s market capitalization would have to grow to USD 100bln and it would need to achieve USD 10bln Cumulative Performance EBITDA.
China Automakers - Automakers in China continued aggressive price cuts in early 2026, defying Beijing’s attempts to curb discounts, Bloomberg reports.
Online Casinos - China unveiled new regulations banning platforms including Alibaba (BABA), Meituan (MPNGY) and JD.com (JD) from coercing merchants or influencers, with rules taking effect February to curb e-commerce competition.

FINANCIALS

Wolfe Research - The firm downgraded JPMorgan (JPM), Bank of America (BAC), US Bancorp (USB) and M&T Bank (MTB), all to 'Peer Perform' from 'Outperform' as part of the firm's Top 10 Themes for 2026 note on the Banks, Brokers, and Alternative Managers. Wolfe argues that most buy-siders expect the Money Centers group to continue to outperform in 2026, but the firm's take is "less sanguine" after the Money Center group rallied 40% in 2025. For JPMorgan, the firm sees modest upside to numbers, but a valuation that is "full." For BofA, the downgrade is "tougher on valuation," but it sees risk to forward estimates as net interest income tailwinds are fully baked and expenses should "surprise negatively." For the other two banks, the downgrades reflect limited catalysts for multiple re-rating above long-term average multiples.
KKR & Co. (KKR) - Will acquire sports and secondaries investor Arctos Partners in a deal valuing Arctos at about USD 1bln, according to Bloomberg. The transaction would keep the existing management and requires approval from the major US professional sports leagues. Meanwhile, KKR is to invest USD 1.5bln in its European data centre business, FT reports.
UBS Group (UBS) - UBS' Eric Lafon has left the Swiss bank after more than 25 years, marking a senior departure from its Asia global markets division, Bloomberg reports. The departure comes ahead of a wave of job cuts.
Huntington Bancshares (HBAN), Cadence Bank (CADE) - Cadence shareholders approved its merger into Huntington, and Huntington shareholders approved the related share issuance. The merger is expected to close on 1st February, subject to conditions.

ENERGY

Energy Inventories - API weekly energy inventory data reportedly showed headline crude stocks posting a surprise draw of -2.8mln bbls (exp. +0.5mln), Cushing building by +0.7mln bbls, distillate seeing a larger than expected build of +4.9mln bbls (exp. +2.1mln), and gasoline stocks also seeing a larger than expected build of +4.4mln bbls (exp. +3.2mln). The more widely followed DoE weekly inventory report will be released later today.
Chevron (CVX), ConocoPhillips (COP), ExxonMobil (XOM) - President Trump plans to meet Chevron, ConocoPhillips, Exxon and other US oil producers at the White House on Friday to discuss major investments in Venezuela’s oil sector, according to the WSJ. Trump said US companies would invest billions following the incursion that led to Nicolas Maduro’s capture. Trump said interim authorities in Venezuela will transfer 30–50mln bbls of high-quality, sanctioned oil to the US; the oil will be sold at market price, with proceeds controlled by the President to benefit both countries. Trump has asked Energy Secretary Wright to execute the plan immediately. Elsewhere, Venezuela’s oil output risks a sharp drop within weeks as storage tanks near full capacity and many vessels avoid Caribbean waters due to a US naval blockade, threatening production as exports face growing logistical constraints, according to Kpler.
Chevron (CVX) - Chevron and Quantum Energy Partners are lining up a bid for Lukoil’s international assets, valued by Lukoil at USD 22bln, FT reports. The Quantum-led proposal would split ownership between the firms and requires US approval, with talks permitted until 17th January under a Treasury dispensation.
Murphy Oil (MUR) - A Murphy Oil subsidiary has successfully drilled the Hai Su Vang-2X appraisal well offshore Vietnam, spudded in early October 2025, the company announced. The well confirmed 429 feet of net oil pay, extended the hydrocarbon column to about 1,600 feet, and flowed 6,000 BPD of 37-degree API oil. After the announcement, Roth Capital reiterated a Neutral rating and a USD 25 price target on Murphy Oil, and the firm expects a positive share reaction versus peers on Wednesday; Roth still remains Neutral on the stock, however, citing lower free cash flow yield, operational challenges and reduced capital return capacity.
Valero Energy Corp (VLO) - Said it will increase gasoline imports to the San Francisco Bay Area as it proceeds with plans to close a local refinery while continuing to meet California supply obligations, Bloomberg reports. California Governor Gavin Newsom said Valero would keep importing gasoline into Northern California after its Benicia refinery ceases operations in April rather than making a full exit from the market.

MATERIALS

Albemarle (ALB) - Upgraded at Baird to 'Outperform' from 'Neutral' with a USD 210 PT (prev. 113). The firm is "incrementally positive" on Albemarle, given the recent increase in lithium prices. Demand strength from stationary storage "will continue to propel" Albemarle shares higher, the firm argues, which believes the stock's valuation "appears to have more room to run."
CF Industries (CF) - CFO Cameron will step down from his role effective February 15, the company said. The firm has appointed Richard Hoker as the interim CFO and has commenced a search for a permanent CFO.
Silver - China's SHFE is to adjust some silver futures trading margin ratio; To adjust transaction fees for silver future contract AG2604, Tin future contract SN2602 from January 9th. Silver futures contracts maximum daily opening position limit to be set at 7,000 lots from 9th January. Will adjust trading margins for some silver futures contracts with delivery from Jan to April to 17-18%. Will adjust price limit range for some silver futures contracts with delivery from Jan to April to 16%. Meanwhile, HSBC raised its silver price forecast to USD 68.25/oz in 2026, and USD 57.00/oz in 2027; Expects silver market deficit to narrow to 140mln oz in 2026, and then to 59mln oz in 2027.
Thyssenkrupp AG (TKAMY) - Could sell its steel division TKSE to Jindal Steel International in phases, with an initial 60% stake followed by the remainder, Reuters reports citing sources. Jindal has conducted due diligence since October. A phased deal could help address about EUR 2.5bln in pension liabilities, the report adds.

INDUSTRIALS

Maersk (AMKBY) - Said Asia-Pacific ocean freight markets enter 2026 with cautious optimism, as intra-Asia volumes gain momentum and supply chain planning focuses on agility, regional connectivity and early Chinese NY preparations.
Caterpillar (CAT) - Said CEO Joseph Creed will become Chairman on 1st April, after D. James Umpleby retires as Executive Chairman and director following 45 years of service, including eight as CEO. Creed has been CEO since May 2025 and joined CAT in 1997.
Lockheed Martin (LMT) - Agreed with the US DoD to more than triple annual production of Patriot PAC-3 MSE interceptors to about 2,000 over seven years, citing rising Pentagon demand, after boosting output by over 60% in two years and delivering a record 620 missiles last year, WSJ reports.
Maximus (MMS) - Raised quarterly dividend by 10% to USD 0.33/shr.
Siemens AG (SIEGY) - At CES, Siemens chief Busch said the company sees potential acquisitions in AI, life sciences and operations software, Bloomberg reports. He cited Siemens’ USD 5.1bln purchase of Dotmatics as supporting AI-driven drug development.
AAR Corp. (AIR) Q2 2026 (USD): Adj. EPS 1.18 (exp. 1.03), Revenue 795mln (exp. 763.53mln). Total sales +16% Y/Y, organic growth +12%. Growth was led by the Parts Supply segment, where sales increased +29% Y/Y, supported by new parts Distribution organic growth of +32%. Repair & Engineering also delivered growth, reflecting improved hangar efficiency and higher component repair volumes, while sales to government customers increased +23% Y/Y. The CEO said the company continues to advance its strategic objectives following recent acquisitions. Sees Q3 organic revenue growth of +8–11%, and total revenue growth of +20–22% (exp. 800.9mln), with adj. operating margin seen between 9.8–10.1%. For FY26, expects organic revenue growth near 11%, and total revenue growth near 17% (exp. 3.2bln).
Leonardo DRS (DRS) - Appointed Sally Wallace as Executive Vice President and Chief Operating Officer, effective immediately. Wallace has been with the company since 2002.

HEALTHCARE

Healthcare Premiums - US President Trump said that he would meet 14 health insurers this week, as ACA subsidies expired and KFF estimated average ACA premiums rising to USD 1,904 in 2026 (from USD 888 in 2025).
Ventyx Biosciences (VTYX), Eli Lilly (LLY) - Eli Lilly is in advanced talks to acquire Ventyx Biosciences for more than USD 1bln, WSJ reports. Ventyx develops pills to treat inflammatory diseases, and would add inflammatory and other experimental drugs to Lilly’s pipeline. A deal announcement could come imminently, the report said.
GE HealthCare (GEHC) - Received a notice on 5th January of an unsolicited mini-tender by Potemkin Limited for up to 100,000 shares at USD 54.20/shr, about 34.77% below the USD 83.09 closing price on 8th December, and urged shareholders to reject the offer.
Alcon (ALC), Staar Surgical (STAA) - Alcon terminated its definitive merger agreement with Staar Surgical. CEO Endicott said Alcon remained disciplined on price and risk, its refractive strategy is unchanged, and focus remains on WaveLight Plus and global launches of more than 10 products across surgical and vision care.
Regeneron Pharmaceuticals (REGN) - Double upgraded at BofA to 'Buy' from 'Underperform' with a USD 860 PT (prev. 627). The firm's more bullish view is driven by multiple factors, including the fact that its prior ‘Underperform’ thesis around Eylea SD has played out as consensus estimates have come down. BofA is more bullish on Eylea HD's potential in light of multiple label updates, and its estimates are now "meaningfully higher" than consensus. The firm sees potential for further upside from Dupixent and potential upside from the pipeline in 2026.

COMMUNICATIONS

China-based Platform Companies - China announced management measures for online platforms, with the market regulator stating that platforms must not sell below cost or engage in practices that disrupt market competition.
Meta Platforms (META) - Chinese officials are reviewing Meta’s USD 2bln purchase of AI start-up Manus for potential technology export control violations, FT reports. The Commerce Ministry is assessing whether Manus’s relocation to Singapore and subsequent sale required an export licence. The review is at an early stage and may not lead to formal action, FT adds.
Comcast (CMCSA) - Comcast’s NBCUniversal has sold out advertising inventory for the Winter Olympics, signalling strong demand. NBC said it set a record for ad sales, signing more than 100 new advertisers.
Discord IPO - Discord has confidentially filed for an IPO, according to Bloomberg, and is working with Goldman Sachs (GS) and JPMorgan (JPM). It reported more than 200mln monthly users in December.

UTILITIES

Orsted A/S (DNNGY) - Filed a federal court complaint in Washington seeking a preliminary injunction against the Trump administration and the US Interior Department after a 22nd December order imposed a 90-day halt on construction of its Sunrise Wind offshore project near New York and four other wind farms off Long Island, Bloomberg reports.

REAL ESTATE

CoStar Group (CSGP) - Announced FY26 guidance, seeing adj. EPS at 1.22-1.33 (exp. 1.38) and revenue of 3.78-3.82bln (exp. 3.82bln).

TRADE

US-India - US President Trump said India's leader Modi was unhappy over tariffs as India reduced purchases of Russian oil, amid trade tensions between the two countries, Bloomberg reports.
Japan-China - China’s Commerce Ministry announced an anti-dumping investigation into Japanese dichlorosilane imports, starting on 7th January, and scheduled to conclude a year later, with a possible six-month extension. Dichlorosilane is a key chip-making material, used as a precursor gas in chemical vapour deposition for high-purity silicon layers.

MACRO

US Treasuries - Traders in US Treasury options are increasing bets that 10yr yields will break out of a narrow range and fall below 4% in coming weeks, reaching levels last seen in November, Bloomberg reports. The bullish positioning has built since late December as investors await key economic data delayed by the government shutdown. Bloomberg also noted that a record block trade was placed in US federal funds futures on Tuesday ahead of key US labour data; the January contracts trade totalled 200k, the largest ever confirmed by CME Group, and stood out in an otherwise calm market at the start of the year.