M Alfathan Rahman
M Alfathan Rahman
Micron beat estimates and raised its outlook. Tonight, US factory and jobless claims data test whether that optimism holds.
Wall Street closed mixed on Wednesday. According to TheStreet, the S&P 500 fell 0.25% to 7,651.54 and the Dow fell 0.86%, while the Nasdaq rose 0.24% to 26,861.06.
August PCE inflation came in at 3.4% year over year, below the 3.7% forecast, according to Yahoo Finance. Even so, the 10-year Treasury yield stayed at 5.29%.
After the close, Micron Technology (MU) reported results that beat estimates. Nasdaq futures moved higher afterward.
| Stock | Movement | What to Watch |
|---|---|---|
| MU | Flat (0.00%) Wednesday at $1,065.11, reported after the close | Revenue of $54.23 billion and next-quarter guidance of about $61.5 billion. Watch the reaction at the regular open. |
| NVDA | +0.51% Wednesday at $228.38 | Micron's results are a read on AI memory demand. Watch how AI chip stocks react tonight. |
| TSM | -0.16% Wednesday at $456.19 | A Reuters report says TSMC is weighing an investment in Texas. No final decision has been made. |
| PSKY | +3.40% Wednesday at $10.33 | A court approved the antitrust settlement. The Warner Bros. Discovery deal is expected to close on 6 October. |
Source: closing prices from StockAnalysis. What to Watch: CNBC (MU, NVDA), Seeking Alpha (TSM), IndieWire (PSKY).
Micron (MU) posted adjusted EPS of $33.42, above the $31.61 estimate, according to CNBC. Revenue reached $54.23 billion against a $51.07 billion estimate, and data-center revenue rose more than elevenfold. For the next quarter, Micron guided to about $61.5 billion in revenue, while analysts expected $57 billion.
Weekly initial jobless claims come out at 8:30 a.m. ET from the US Department of Labor. According to Investing.com, claims are expected at 201,000, up from 197,000 last week. Then at 10:00 a.m. ET, ISM releases its September Manufacturing PMI, forecast at 54.8 from 54.6. It is the last major reading before Friday's jobs report.
A US court approved the settlement of the states' antitrust lawsuit over the Paramount Skydance (PSKY) and Warner Bros. Discovery merger. According to IndieWire, the $111 billion deal is expected to close on 6 October.
On Wednesday evening US time, Nasdaq 100 futures rose 0.26% and S&P 500 futures rose 0.24% after Micron's report, according to FXEmpire.
South Korea's September exports hit a record $120.9 billion, with chip exports up 262.8% to $60.3 billion, according to The Korea Times. Oil held in the mid-$90-per-barrel range, according to Yahoo Finance.
Micron's report and South Korea's record chip exports both point to strong AI memory demand. Tonight, the market tests whether US economic data supports that story.
With yields still high, the ISM and jobless claims readings could shift Fed rate expectations ahead of Friday's jobs report.
This article is for education and information only and is not investment advice. Investment decisions are yours to make after your own research.
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