Daily US Equity Opening News - Trump address doesn't calm markets; AMZN in talks to buy GSAT

TODAY’S AGENDA:

• US INDEX FUTURES: ES -1.5%, NQ -2.0%, YM -1.4%, RUT -2.1%
• DAY AHEAD: On today’s speakers’ slate: Fed’s Logan (2026 voter, hawk; text and Q&A are expected) will give remarks at a Dallas Fed event; Fed’s Bowman (voter, dove; the event is closed to the public and press) will give a keynote speech at a Dallas Fed event. In fixed income, the US Treasury will announce sizes for next week’s 3yr, 10yr and 30yr offerings. In energy, EIA weekly natgas stocks data, and the Baker Hughes weekly rig count will be published.
• BROKER MOVES: WING upgraded at Piper Sandler; RTX upgraded at Melius. For the full list, click here.
• MAJOR MORNING MOVES RECAP: Mag-7, Oil names, GSAT, RTX, AKAM, ANRO, Healthcare, Steel/Aluminium names. For the full list, click here.

NEWS:

GEOPOLITICS

• Trump Address - President Trump largely repeated recent messaging, saying US-Israeli objectives were nearing completion, the war could last another 2-3 weeks, and framing it as an investment in Americans’ future, while again threatening Iran. He omitted clear detail on an exit strategy, the fate of the White House’s 15-point peace plan, Strait of Hormuz reopening (he said the “Strait will open up naturally”), and the role of arriving US troops. Earlier on Wednesday, Trump criticised some allies, saying they should “build up some delayed courage” and lead an operation to reopen the Strait, after raising the idea of leaving NATO; that rhetoric was absent from his later speech, despite briefings indicating it would feature prominently. Analysts said that the speech was high on rhetoric, but low on clarity; the address aimed to reassure the public, but instead highlighted his increasingly defensive position amid mounting pressure on shipping routes, gas prices and his political party, and would likely raise volatility.
• Iran - Iranian President Pezeshkian, in an open letter to Americans, said that confrontation is increasingly costly and engagement remains possible, The Hill reports. Pezeshkian questioned whether the Trump administration’s war with Iran serves US interests or “America First”. He said Iran had not initiated war in its modern history, described its actions as self-defence, and said confrontation is increasingly costly and futile. He also criticised the US for withdrawing from a nuclear agreement and for military action during negotiations.
• South China Sea - China is resuming island-building in the South China Sea after nearly a decade, developing Antelope Reef into what analysts say could become its largest military base there, WSJ reports. The construction could add another runway, more missile facilities and surveillance installations, while also expanding civilian infrastructure to support Beijing’s territorial claims.
• Venezuela - The Trump administration on Wednesday lifted sanctions on Venezuela’s interim president Delcy Rodriguez, removing restrictions that had barred Americans from doing business with her. The move eases Washington’s path to deepen cooperation with Caracas, and could support expanded oil output and new US investment, WSJ writes.

TRADE

• US Steel Tariffs - President Trump is expected to overhaul US steel and aluminium tariffs by changing duties on finished products made with the metals, WSJ reports. Under a possible presidential proclamation, which could come as soon as this week, finished products made with imported steel and aluminium would face a 25% tariff. The changes are intended to simplify compliance, though they could raise costs for many imports, the report said.
• US Pharma Tariffs - The Trump administration is preparing tariffs, possibly from Thursday, on drugmakers that have not agreed to guarantee low US prices. Trump has threatened pharma tariffs of 100-200% to push manufacturing back to the US and lower prices. Pfizer (PFE) and Eli Lilly (LLY) are among the companies that secured a three-year reprieve through White House deals.

MACRO

• Stocks - A Bloomberg analysis shows that, five weeks into the Middle East war, US stocks have followed a recurring pattern: early-week gains, midweek drift and sharp falls on Thursdays and Fridays. Bloomberg says similar moves have appeared in European and emerging-market stocks and some US Treasuries. Since the Iran war began, the S&P 500 has fallen 9% in total on Thursdays and Fridays.
• OPEC+ - OPEC+ is likely to consider a further oil output quota hike at its Sunday meeting to prepare for any easing of Hormuz export constraints, Reuters reports citing sources.
• Russia - Russia is likely to experience oil production cuts following drone attacks, Reuters reports citing sources.
• Japan - A weak Japanese 10yr bond auction intensified a global selloff after Trump said the US would hit Iran “extremely hard” over the next 2-3 weeks; the sale drew the weakest demand since May, highlighting concerns over rising inflation from higher oil prices. Elsewhere, former BoJ chief economist Sekine said the Iran war is increasing upside inflation risks and strengthening the case for a BoJ rate rise as soon as April. Analysts at UBS said USDJPY could reach 175 by year-end if oil rose toward USD 150/bbl; FX intervention might only offer markets a higher level to sell JPY without changing the trend, and inflation control may rely more on fiscal measures such as energy subsidies.
• Swiss Inflation - Swiss CPI rose +0.2% M/M in March (exp. 0.5%, prev. 0.6%). The annual rate at 0.3% Y/Y (exp. 0.6%, prev. 0.1%), the fastest pace in a year, as the Middle East war’s energy supply crunch increased heating oil costs. Analysts said that the data show that the Middle East conflict is, for now, lifting prices through the energy and related products channels only, with no overt signs of second-round effects just yet.

TECH

• US Malware - ICE said it bought spyware designed to hack phones and access encrypted messages to help counter fentanyl flows into the US. The agency signed a USD 2mln deal in 2024 to acquire the spyware from Israeli company Paragon, which is designed to covertly access private messages and other data on mobile phones, Bloomberg reports.
• TSMC (TSM) - TSMC plans 12 fabs in Arizona, with its US expansion exceeding expectations and prompting Taiwanese suppliers with existing or planned US operations to act more proactively, Digitimes reports. The supply-chain shift is described as moving from passive to active, with companies involved in cleanrooms, plant engineering and electromechanical integration among those responding.
• Microsoft (MSFT) - To invest USD 5.5bln in Singapore (2025–2029) to expand cloud and AI infrastructure. Includes AI training, education programs, and free Copilot access for students, supporting workforce and digital ecosystem growth.
• Samsung (SSNLF) - Samsung Electronics has reportedly entered the equipment installation and testing phase at its Texas foundry, shifting from construction to operational setup for 2nm production, Digitimes reports.
• Samsung (SSNLF), SK Hynix (HXSCL) - Samsung Electronics and SK Hynix are reportedly increasing efforts to advance hybrid bonding for next-generation HBM as they seek to secure key packaging technologies, Digitimes says.
• Intel (INTC) - Planning to invest another USD 15mln in SambaNova, a chip startup chaired by Intel CEO Lip-Bu Tan, Reuters reports, citing corporate records. This investment would increase Intel's ownership in SambaNova to 9% and follows a USD 35mln investment Intel made in the company in February.
• Anthropic - Anthropic exec said the company’s general-purpose AI agent is expected to reach a wider market than Claude Code; the Cowork service has seen stronger adoption in its first few weeks than Claude Code did in a comparable period a year ago, and is likely to appeal beyond engineering staff.
• IBM (IBM), Arm (ARM) - Companies announced a strategic collaboration to develop dual-architecture hardware for AI and data-heavy workloads. Focus includes running Arm software on IBM systems, improving performance/security, and expanding ecosystem compatibility to support enterprise adoption.
• Penguin Solutions (PENG) Q2 26 (USD): Adj. EPS 0.52 (exp. 0.42), Revenue 343mln (exp. 339mln); sees FY26 EPS at 2,00-2.30 (exp. 2.45) and FY26 revenue growth of +7-17%.
• Akamai Tech (AKAM) - Downgraded at Baird to 'Neutral' from 'Outperform'. The firm sees a more balanced risk/reward with the shares up 33% YTD. While optimism around compute upside and agentic traffic could provide long-term tailwinds for Akamai, the firm does expect a significant near-term agentic uplift. Baird believes seasonal factors could limit the company's Q1 estimate upside.
• GitLab (GTLB) - CEO William Staples bought 6.0K shares of common stock on March 31 in a total transaction size of USD 128.3k.

FINANCIALS

• KKR & Co. (KKR) - KKR’s non-traded business development company KKR FS Income Trust, known as K-FIT, curbed redemptions after receiving more requests, according to a shareholder letter cited by Bloomberg. The fund received tendered repurchase requests totalling 6.3% of outstanding shares during the repurchase period that ended on 30th March, of which it plans to satisfy about 80%. Meanwhile, KR FS Income Trust Select, or K-FITS, repurchased all of the roughly 3.7% that shareholders requested to redeem. Inflows from new subscriptions outpaced investor redemption requests in the quarter.
• Barclays (BCS) - Barclays’ head of private bank in Singapore Evonne Tan is leaving in Q2 as the bank prepares to make a full return to the business in the city-state this year, Bloomberg reports. Tan joined the London-based bank five years ago as part of that push, and Barclays said a successor will be appointed.
• Private Equity - Private equity sales fell more than a third in Q1 as AI developments and the Iran war added pressure to an already weak exit market, Bloomberg reports. Buyout firms sold assets worth about USD 103bln, down roughly 36% Y/Y, though still above historical averages.
• Berkshire Hathaway (BRK) - Berkshire hired banks for a potential benchmark JPY bond sale, its first since November, Bloomberg reports. The offering is expected in the near term, subject to market conditions, and has prompted speculation about Berkshire’s investment plans in Japan.
• Ares Management (ARES) - Raised approximately USD 5.4bln of aggregate capital, including equity commitments and related transaction vehicles, to invest in value-add real estate opportunities across high-conviction markets in the U.S. and Europe.
• Apollo Global Management (APO) - Apollo subsidiary Athene Holding estimated Q1 2026 alternative net investment income of about USD 205mln pre-tax (around 6% annualised return on alternative net investments). Athene’s pooled investment vehicle, which holds most of its alternative portfolio, delivered an estimated 7% annualised return, while origination platforms contributed less in the quarter.
• Brookfield Asset Management (BAM) - Brookfield subsidiary Rutas de Lima defaulted on about USD 500mln of bonds after repaying only 6% of outstanding debt, prompting S&P to cut the debt rating to D. The toll operator’s collapse follows court decisions blocking toll collection and a dispute over its contract, while Brookfield is pursuing USD 2.7bln arbitration against Peru.
• Lloyds Banking Group (LYG) - Lloyds does not currently plan to increase provisions for compensation over mis-sold car loans after assessing the UK watchdog’s final industry-wide redress rules. The bank said no change to its existing provision is required; it has disclosed the largest known provision at almost GBP 2bln.

CONSUMER DISCRETIONARY

• Alibaba (BABA) - Alibaba released Qwen3.6-Plus, its third proprietary AI model in three days; the closed-source model is focused on agentic AI and follows upgrades to Alibaba’s image-generation platform and multimodal model, underscoring the company’s push to monetise its flagship AI services.
• Estee Lauder (EL), Puig (PUGBY) - Estee Lauder and Spain’s Puig are advancing talks to combine in a mostly stock deal that could be announced within weeks, Bloomberg said. The transaction would form one of the world’s largest luxury beauty companies.
• Tesla (TSLA) - Sales of Model 3 and Model Y cars made in Tesla's Shanghai factory, including exports to Europe and other markets, rose 8.7% Y/Y to 85,670 vehicles in March, Reuters reports, citing data from the China Passenger Car Association. Meanwhile, Elon Musk and the SEC told a judge they are moving toward a trial over allegations he misled Twitter investors before his 2022 buyout of the company; the filing came two weeks after both sides said they were discussing a potential resolution and alternative dispute resolution options.
• Stellantis (STLA) - Discussing options to build EVs in Canada with Chinese partner Zhejiang Leapmotor Technology, according to Bloomberg; talks are at an early stage, and any deal would mark the first major Chinese auto investment in Canada since PM Carney and President Xi agreed in January to reduce tariffs on Chinese-made EVs.

ENERGY

• TotalEnergies (TTE) - TotalEnergies and Masdar to form USD 2.2bln 50/50 JV for renewables across 9 Asian countries. JV to hold ~3 GW operating + 6 GW pipeline (by 2030), covering solar, wind, and storage; closing subject to approvals.
• US Naphtha Exports - US naphtha exports surged in March as the Iran war disrupted Middle East supply and pushed Japanese buyers to source from Texas and Louisiana, Bloomberg reports. Kpler estimated exports at about 15mln bbls, a monthly record, while Vortexa put them at 11.5mln barrels, which would be the highest in four years.
• China Energy - Chinese officials told private refiners to keep fuel production at 2025 levels despite potential losses as the month-long Middle East war disrupts global crude trade, Bloomberg reports. At meetings earlier this week, the NDRC said securing domestic fuel supply was a priority, requiring gasoline and diesel output at least equal to last year. Guangdong has told local power producers to rebuild coal stockpiles, reduce gas use and speed up nuclear capacity additions as the Iran war disrupts energy markets; the province, China’s biggest energy-consuming region, has also asked grid operators to prepare actively for peak summer demand, Bloomberg reports.
• Transocean (RIG) - Retired USD 358mln of 8.375% notes due 2028, saving ~USD 39mln interest, with ~USD 750mln total debt reduction targeted in 2026. Also secured ~USD 1bln in new backlog, including a Norway semisub contract (~USD 490mln, starts 2027) and Brazil drillship extensions (~USD 580mln combined), extending visibility into 2028–2030.
• Siemens Energy (ENR GY), Amazon (AMZN) - Amazon’s AWS and Siemens Energy team up to advance digital transformation in the energy sector.
• Venezuela Exports, India - Indian refiners are becoming the biggest buyers of Venezuelan crude, replacing former top importer China as it reduces purchases. The shift follows the US move to control Venezuela’s oil sales, and Venezuelan oil exports reached a six-year high, Bloomberg writes.

HEALTHCARE

• Novo Nordisk (NVO) - Wegovy pill 25mg showed greater mean weight loss vs. Orforglipron (LLY) 36mg in population-adjusted indirect treatment comparison. Population-adjusted indirect treatment comparison uses data from oasis 4 & attain-1 clinical trials. In separate patient preference study, 84% favoured wegovy pill 25mg-like treatment profile vs. Orforglipron-like profile. Orforglipron 36mg treatment had about 14 times higher discontinuation odds due to gastrointestinal adverse events vs wegovy pill 25mg.
• Pfizer (PFE) - Pfizer’s RSV vaccine Abrysvo will be offered to about 3mln more people in England through the NHS; eligibility is being extended to all adults aged 80+ (prev. 75-79). The UK Health Security Agency said new evidence shows vaccination reduces the risk of hospitalisation by about 75%.
• Gilead (GILD), Arcellx (ACLX) - Gilead extended its tender offer for Arcellx; The offer remains USD 115/shr plus one Contingent Value Right, which could pay USD 5.00 in cash on 31st March 2030, if cumulative worldwide sales of anitocabtagene autoleucel exceed USD 6.0bln by the end of 2029.
• Immunovant (IVMT) - Said batoclimab failed primary endpoints in two Phase 3 thyroid eye disease trials. Now reviewing next steps with partner HanAll Biopharma.
• Alto Neuroscience (ANRO) - Said ALTO-101 failed to meet primary endpoints in Phase 2, though showed some directional EEG improvements and good tolerability. Company will not advance ALTO-101 independently, shifting focus to ALTO-207 (Phase 2b starting H1 2026) and exploring partnering options.

COMMUNICATIONS

• Globalstar (GSAT), Amazon (AMZN) - Amazon is in talks to buy Globalstar in a deal valued at about USD 9bln, FT reports. The move would support Amazon’s low-earth-orbit satellite business as it competes with SpaceX’s Starlink. The report says Apple’s (AAPL) 20% stake in Globalstar is a complicating factor.
• Sony (SONY), TCL Electronics Holdings (TCLHF) - TCL Electronics will pay JPY 75.4bln for a 51% stake in a JV that will absorb Sony’s home entertainment unit, Bloomberg reports. Due to launch in April 2027, the venture will sell TVs under the Sony and Bravia brands using TCL display technology.

INDUSTRIALS

• Boeing (BA) - Received a USD 900mln Air Force contract for T-38 avionics sustainment and support, covering life-cycle support for the T-38C Avionics System to keep it current, airworthy and mission-capable.
• BAE Systems (BAESY) - Received a USD 145.83mln US Army contract to produce 155mm M776 cannon tubes for the M777A2 155mm howitzer; the total cumulative face value is USD 462.8mln.

MATERIALS

• RTX (RTX) - Upgraded at Melius Research to 'Buy' from 'Hold'. The firm says that the Middle East conflict brings the need for the US to replace missiles, missile interceptors, damaged radars, and aircraft. Melius expects high-single-digit sales growth for the defense market through 2028. This should enable the defense primes to sustain high-single-digit sales growth into the 2030s.
• Sigma Lithium (SGML) - Upgraded at BofA to 'Buy' from 'Neutral' with a USD 17 PT (prev. 14). Sigma announced a signed USD 50M prepayment, with the firm more confident the company can navigate its near-term liquidity crunch to return to normal operations and scale. This provides near-term liquidity, allowing Sigma to accelerate Phase 2 capital expenditures alongside the Phase 1 ramp.