Daily US Equity Opening News - ORCL falls on AI capex; NVDA data centre faces potential delay; MSFT Xbox plans cuts; OpenAI mulls price cuts to counter Anthropic; BABA/JD/PDD summoned over promotions; BOSSY receives EUR 2.7bln bid; Chanos negative on SPCX

DAY AHEAD:

• EVENTS: Apple WWDC continues (8-12 June). US President Trump will sign a proclamation at 15:00EDT/20:00BST. The FIFA World Cup gets underway today, and traders should be cognizant of a potential thinning of liquidity conditions during major matches during the soccer tournament.
• DATA: US May PPI is expected to rise +0.7% M/M (prev. 1.4%), with the annual rate seen at 6.4% Y/Y (prev. 6.0%) and ex-food/energy/trade at +0.3% M/M (prev. 0.6%) and 4.4% Y/Y (prev. 4.4%). Weekly initial jobless claims for the week of 6th June are expected at 219K (prev. 225K), and continuing claims for 30th May at 1,780K (prev. 1,777K).
• CENTRAL BANKS: ECB is expected to lift rates 25bps (deposit facility rate to 2.25% from 2.00%; refinancing rate to 2.40% from 2.15%; marginal lending rate at 2.65% from 2.40%); ECB President Lagarde will give a post-decision press conference, and will later appear on the Euro Matters podcast. Our ECB preview is below. The Norges Bank will publish its Regional Network Report. The CBRT is expected to keep rates at 37%.
• SUPPLY: US auctions USD 22bln of 30yr bonds. UK auctions GBP 5bln of 2029 Treasury debt. Italy auctions EUR 3.5-4.0bln of 2029.
• ENERGY: EIA natural gas storage change due. OPEC will publish its monthly oil market report.
• EARNINGS: Notable companies reporting today include: Adobe (ADBE), Lennar (LEN).
• ECB POLICY ANNOUNCEMENT (13:15BST/08:15EDT): Expected to hike by 25bps, taking the Deposit Rate to 2.25%. Justified by the assessment that the ECB is past the March baseline and is closer to the adverse scenario. Alongside this, inflation forecasts will likely be upgraded and growth downgraded across 2026. The cut-off date will have influence on the 2026 inflation view, with a later date likely to see less hawkish projections. For growth, any signs of or commentary around a technical recession being possible. Guidance from the statement will be non-committal with the ECB to perhaps stress a vigilant approach to policymaking, which could be interpreted as a hawkish-nod. Lagarde may be somewhat more explicit vs the statement, in an attempt to stop inflation expectations from becoming unanchored.
• Click here for Newsquawk’s full ECB preview 

NEWS:

GEOPOLITICS:

• US-Iran - US forces struck multiple targets in Iran for a second consecutive day, in what CENTCOM called self-defence strikes, hitting surveillance systems, air defence sites and communications networks. Iran responded by announcing a halt to all vessels through the Strait of Hormuz. President Trump said he had spoken with Iranian officials who asked him to halt the bombing, but warned of further strikes if a deal was not signed.
• Taiwan-China - Taiwan fired US-supplied Himars launchers toward the Taiwan Strait for the first time, launching 32 test rockets during invasion-defence drills. The exercise signalled resolve to Beijing and Washington as a USD 14bln US arms package remains on hold. China’s Taiwan Affairs Office called the drills “putting on an act and bluffing”.

TRADE:

• US Tariff Refunds - The US Treasury refunded nearly USD 22bln in tariff revenue in May, roughly equal to duties collected during the month, effectively cancelling out customs revenue. Net customs receipts turned slightly negative by around USD 42mln, the first such occurrence in Bloomberg data going back to 2015.
• UK-US - UK Chancellor Reeves plans to ease the tax burden on wealthy US investors relocating to the UK by addressing double or treble taxation faced by British residents who are members of US limited liability companies. A Treasury consultation published on Wednesday proposes changing UK law to reduce the effective tax rate paid by those individuals, with changes expected shortly after the consultation closes in July.

TECH:

• Oracle (ORCL) - Oracle shares fell over 10% in extended trading as plans to raise additional financing for its AI buildout overshadowed better-than-expected quarterly results and a higher profit forecast. Q4 adj. EPS 2.11 (exp. 1.96), Q4 revenue USD 19.2bln (exp. 19.09bln). Total cloud revenue rose 47% Y/Y to USD 9.9bln, with cloud infrastructure revenue +93% to USD 5.8bln and cloud applications revenue +10% to USD 4.1bln; RPO grew 363% Y/Y and increased USD 85bln sequentially to USD 638bln, with most Q3 and Q4 increases driven by large-scale AI contracts. Oracle said USD 75bln of prepaid and customer-supplied hardware in large AI contracts reduces the capital it must raise for AI datacentres, while it expects to raise approximately USD 40bln in FY27 through debt and equity financing, including its previously announced USD 20bln ATM equity issuance. Sees Q1 adj. EPS between 1.72-1.76 (exp. 1.69), Q1 revenue growth between 27-29% Y/Y (exp. 19.01bln), and sees Q1 total cloud revenue growth between 58-64% Y/Y; raised FY27 guidance, sees adj. EPS at 8.05 (exp. 8.05), maintained FY27 total revenue view of USD 90bln.
• Nvidia (NVDA) - Nvidia’s 800VDC AI data centre push may face delays beyond 2028, while suppliers say Nvidia has issued no formal specifications, according to SemiAnalysis and industry suppliers cited by Digitimes. Nvidia rejected related CPO delay claims, saying H2 shipments remain scheduled, capacity will expand through 2027 and Rubin optical plans are unchanged.
• TSMC (TSM) - Republican lawmakers have urged the US ITC to enforce strict patent exclusion orders in a Section 337 investigation involving TSMC’s advanced-node chips, Digitimes reports. The case stems from a complaint by Longitude Licensing and Marlin Semiconductor, alleging infringement of five US patents, with respondents including Apple (AAPL), Broadcom (AVGO), and Qualcomm (QCOM). TSMC said it complies with laws in all jurisdictions, and noted in its Q1 filing that the outcome cannot yet be determined. A final ITC decision is anticipated around October.
• OpenAI - OpenAI is considering steep token price cuts to win customers from Anthropic, anticipating similar reductions by its rival, according to the WSJ. The move could pressure margins as both firms lose billions on computing costs, while enterprise spending, coding tools, customer switching risks and planned IPOs intensify competition.
• Applied Digital (APLD), CoreWeave (CRWV) - Applied Digital raised USD 1.59bln in the junk bond market at a 7% yield to fund additional computing capacity for CoreWeave in North Dakota, down sharply from the 10% demanded in November. The deal, which attracted five times its size in demand, reflects easing investor anxiety over CoreWeave as a tenant, Bloomberg said. The cost of protecting CoreWeave’s debt against default for five years fell to as low as 4.52ppts earlier this month vs a high of 8.81ppts in December.
• CoreWeave (CRWV) - CoreWeave (CRWV) plans to sell USD 3.5bln in senior notes due 2032, structured across USD and EUR denominations on a 6yr non-call 3yr basis. Initial price thoughts are approximately 9% for the USD-denominated tranche, and approximately 8% for the EUR-denominated tranche.
• Cerebras Systems (CBRS) - Cerebras Systems chief strategy officer displayed the company’s Wafer Scale Engine at SuperAI Singapore 2026, comparing it with Nvidia’s (NVDA) B200 platform. Cerebras used the presentation to argue that GPU architectures were not designed for AI workloads, and cannot keep pace with their direction, Digitimes reports.
• Microsoft (MSFT) - Microsoft’s Xbox business plans significant layoffs next month, after its fiscal year closes on 30th June, with the exact scale unknown. Xbox also intends to sharply cut marketing and other budgets. Executives Asha Sharma and Matt Booty told employees the company is resetting its business, citing a hardware component crisis, declining profitability and rising costs. According to the message, Xbox’s accountability margin is about 3%, revenue excluding Activision Blizzard King has fallen over five years despite more than USD 20bln of investment, console component costs have risen sharply, and platform, content and infrastructure strategies are under review.
• ASML (ASML) - ASML will cut fewer jobs than initially planned after talks with Dutch unions; redundancies are expected from May 2027, with employees to be informed before the end of this month whether their roles are affected; ASML said some staff may have roles changed instead of being made redundant.

COMMUNICATIONS:

• News Corporation (NWS) - The WSJ asked a Miami federal judge to dismiss President Trump’s revised USD 10bln defamation lawsuit over an article on his ties to Jeffrey Epstein. The newspaper, News Corp. and Rupert Murdoch sought dismissal with prejudice and legal fees, arguing Trump still failed to explain how the article was defamatory.
• Meta Platforms (META), Roblox Corp. (RBLX), xAI - Canada introduced legislation to ban under-16s from social media unless companies including Meta and X meet safety standards. The bill would create a digital regulator, cover AI chatbot safeguards, exclude Roblox, and impose penalties of up to 3% of global revenues or CAD 10mln, whichever is greater.

CONSUMER:

• Alibaba (BABA), JD.com (JD), PDD (PDD) - Alibaba and JD shares fell overnight after Beijing’s market regulator summoned them, PDD, ByteDance and Xiaohongshu over alleged misleading “618” sales promotions, according to CCTV. The watchdog criticised undisclosed subsidies and price-cut competition eroding profits.
• Greif (GEF) - Greif will raise prices by USD 60/short ton for all uncoated recycled paperboard products from 6th July, and by at least 6.5% for tube, core and protective packaging products from 13th July, citing higher input, adhesive and transportation costs and stronger demand.
• Hugo Boss (BOSSY), Frasers Group (SDIPF) - Frasers Group launched a EUR 38/shr offer for the 74% of Hugo Boss it does not own, valuing the German fashion house at EUR 2.7bln. The low-premium bid follows Frasers’ roughly 26% stake-building. Hugo Boss said the offer was not coordinated, and will be examined.
• Dauch Corp (DCH) - United Auto Workers members at Dauch Corp. reached a tentative labour agreement after a 10-day strike at a Michigan plant which makes axles for General Motors (GM) trucks. The deal, covering about 970 hourly workers, still requires ratification.
• Ford (F) - NHTSA says Ford is recalling 548k US vehicles due to sharp edges in centre console.
• VF Corp. (VFC) - Director Richard Carucci purchased 30K shares on 9th June for a total USD 515k.
• Magnum Ice Cream (MICC) - Magnum Ice Cream Company is damaging Ben & Jerry’s by stopping criticism of US President Trump, and a campaign to free the brand from Magnum ownership has support from more than 130K people, according to co-founder Ben Cohen. Magnum said Ben & Jerry’s remains a bold voice for social justice.

FINANCIALS:

• Data Centre Bonds - Citigroup analysts say bond investors are growing more selective on data centre financing deals linked to AI infrastructure. Of five investment-grade data centre bond sales worth more than USD 50bln since October, a QTS deal tied to Microsoft (MSFT) has underperformed, with spreads widening more than 30bps since pricing in April, while Microsoft’s spreads held roughly unchanged, a divergence Citi attributes to the debt being non-amortised.
• Junk Bonds - Stagflation fears stemming from the Middle East conflict are souring sentiment toward the weakest global corporate borrowers, Bloomberg reports. Investors now demand around 6.4ppts of extra yield on CCC-rated bonds over higher junk notes, the largest premium in 14 months, while a fivefold gap between CCC and BB spreads marks the widest multiple in over a decade.
• US Banks - Federal prosecutors are investigating whether major US banks illegally dropped customers for political reasons, Bloomberg reports. The probe has involved sending subpoenas to JPMorgan (JPM) and Bank of America (BAC).
• CME Group (CME), Morningstar (MORN) - CME Group and Morningstar signed a multi-year exclusive licensing agreement for CME Group to launch derivatives based on Morningstar equity index benchmarks, including US Total Market, Large Cap, Large Cap Value, Large Cap Growth, Mid Cap and Small Cap indexes, which underpin over USD 3tln in linked assets.
• Visa (V), OpenAI - OpenAI and Visa are integrating Visa payment services into OpenAI’s platform so AI agents can make online purchases after user permission. Visa and OpenAI will also develop enterprise applications for AI-driven payments.
• Carlyle Group (CG) - Carlyle has begun fundraising for Carlyle Partners IX, targeting about USD 15bln and aiming to match the previous fund’s USD 14.8bln, according to Bloomberg. It seeks a first close by year-end, offers early investors a 15bps fee discount, and is also raising a USD 2.5-3bln defence fund.
• AllianceBernstein (AB) - AllianceBernstein’s preliminary assets under management rose 2% to USD 899bln in May from USD 882bln at end-April, driven by market appreciation partly offset by net outflows. Retail saw concentrated outflows, Institutions had modest inflows and Private Wealth flows were roughly flat.

INDUSTRIALS:

• SpaceX (SPCX) - SpaceX’s planned USD 75bln IPO, valuing it near USD 2tln despite just USD 19bln of revenue as well as negative free cash flow, is driven by enthusiasm for Elon Musk and AI rather than fundamentals, James Chanos said. The veteran short seller compared its valuation unfavourably with Tesla (TSLA), and questioned theoretical future businesses. Separately, the IPO has attracted demand for more than four times the available shares, ahead of banks stopping institutional orders, Bloomberg said.
• Caterpillar (CAT) - Caterpillar raised its quarterly dividend +8% to USD 1.63/shr.
• Boeing (BA) - Investigators will miss the one-year deadline to explain why an Air India jetliner crashed after take-off because examination of the Boeing plane’s engines in the US remains pending, according to Bloomberg citing sources. India’s Aircraft Accident Investigation Bureau is expected to issue a delay-focused status report this week, the report adds.
• Virgin Galactic (SPCE) - Virgin Galactic redeemed USD 30.524mln principal of its 9.80% First Lien Notes due 2028 by issuing 6.735mln common shares. About USD 172mln principal remains outstanding, with no principal payment due until 31st March 2028.

ENERGY:

• Alberta Pipeline - Alberta energy minister Jean disclosed talks with an unnamed Fortune 500 company over financing and building a proposed oil pipeline capable of carrying 1mln BPD to Canada’s west coast, Bloomberg reports. Alberta plans to propose a general route by 1st July, preferring a northwestern path. PM Carney has pledged to pursue designating the pipeline a “project of national interest” by 1st October, targeting a construction start as soon as September 2027.
• Chevron (CVX) - Chevron, YPF, and Pluspetrol are set to sign supply contracts this week with TGS for a USD 3bln natgas liquids project in Argentina’s Vaca Muerta shale basin, according to Bloomberg citing sources. The three drillers will fill roughly 80% of the project’s capacity, effectively assuring TGS’s final investment decision. Separately, Chevron has applied for a USD 13.8bln oil drilling venture under Argentina President Milei’s investment programme.

MATERIALS:

• Northern Star Resources (NESRF) - Elliott Investment Management has hit back at Northern Star Resources’ board after chairman Michael Chaney wrote to shareholders rejecting calls for a sale or asset spin-off. Elliott responded that the board “does not understand the magnitude of change required” as it presses for a strategic review and sale process, citing operational missteps, poor performance, and the recent departure of CEO Stuart Tonkin with no succession plan.

UTILITIES:

• EDF, Centrica (CPYYY) - EDF and Centrica are nearing draft terms with the UK government to extend Sizewell B’s life by two decades, Bloomberg says. The deal would provide a 20yr Contract for Difference from 2035-2055 at about GBP 70/megawatt-hour, requiring around GBP 800mln of private investment.

HEALTHCARE:

• European Drug Pricing - Belgium, the Netherlands, Luxembourg, Austria and Ireland said EU countries should align drug pricing policies and avoid uncoordinated national responses; the statement comes as the US and pharmaceutical companies increase pressure on EU countries over medicine prices.
• Novartis (NVS) - The FORTITUDE study met its primary and key secondary endpoints, showing reductions in KHDC1L and creatine kinase levels, with a safety profile consistent with previous results.
• Roche (RHHBY) - FDA granted Priority Review for Tecentriq in a certain type of stage III colon cancer. Acceptance was based on the phase III Alliance ATOMIC study, where Tecentriq plus chemotherapy reduced recurrence or death risk by 50% versus chemotherapy alone.
• Humana (HUM) - Humana agreed to divest all or substantially all of its minority interest in Gentiva to an investor consortium, valuing the stake at about USD 900mln. The deal is expected to close in Q3 2026, with proceeds used for general corporate purposes. No material 2026 earnings impact is expected.