US EQUITY OPEN: Stocks bid at the open with outperformance in Nasdaq

OPEN: Stocks have opened higher to start the week, with the Nasdaq leading the gains as the majority of sectors trade in positive territory. Communication Services, Industrials and Technology are outperforming, while Energy, Real Estate and Consumer Staples lag. Communication is being led by Google (GOOGL) on reports it is developing a new server chip. 

Energy stocks are tracking the decline in crude prices, which initially came under pressure after reports that mediators had proposed a 10-day cessation of strikes to revive the Iran-US interim deal. However, crude pared some of its losses after the Houthi military spokesperson announced a ban on maritime navigation for Saudi-linked vessels, highlighting that geopolitical risks remain elevated.

Elsewhere, Treasury yields are modestly firmer across the curve, while the Dollar is edging higher. Among the G10, the antipodeans are outperforming alongside the risk-on tone in equities, while the Swiss Franc and Canadian Dollar lag. The Franc is pressured by firmer US yields, while the Loonie is weighed on by weaker crude prices.

Gold is modestly lower, although price action has been volatile throughout the morning as markets continue to react to the evolving geopolitical headlines.

Stock Specifics

• Advanced Micro Devices (AMD): To unveil 2nm EPYC and Instinct chips
• Google (GOOGL) is developing a new server chip, internally dubbed "Frozen v2," designed to integrate the architecture of its Gemini AI model directly into silicon to improve inference efficiency, reports The Information
• Boeing (BA): Maintained 20-year forecast
• Domino's Pizza (DPZ): Revenue beat
• IREN (IREN): Signed USD 2.8bln in new contracts and lifted end-FY26 AI Cloud ARR target to over USD 4bln (prev. USD 3.7bln)
• Urban Outfitters (URBN): Upgraded at Goldman Sachs to 'Buy' from 'Neutral'
• USA Rare Earth (USAR): Announced CEO Barbara Humpton will retire, with Serra Verde CEO Thras Moraitis set to succeed her
• LXP Industrial Trust (LXP): Brookfield to acquire LXP Industrial Trust for USD 5.2bln in an all-cash deal
• AMC Entertainment (AMC): EPS and revenue beat
• Tempus AI (TEM): To acquire Personalis in a deal valuing the company at an enterprise value of approximately USD 1.5bln