Mid-Morning Look: October 13, 2026

Mid-Morning Look

Tuesday, October 13, 2026

U.S. stocks open little changed to down slightly, shaking off an overnight scare in chips to trade roughly in line with where Dow futures pointed, even as Nasdaq futures had signaled a much rougher start. Nasdaq futures were down around -0.6% overnight on chip weakness (SOX), and AI related plays such as data centers and neoclouds (NBIS, CRWV, IREN, HUT, CIFR) but strength in hyperscalers and mega cap AAPL, AMZN, META, MSFT and NVDA are helping offset the losses. The Kospi’s 6.25% overnight plunge on fears China’s CXMT is closing the memory gap is proving less contagious in the cash session, with semis pulling back only modestly rather than collapsing. The real action is in bank earnings: JPMorgan (JPM) is flat after missing on revenue and FICC trading, Wells Fargo (WFC) is down over -2% despite an EPS beat as NII and revenue missed and the CFO flagged slowing trading activity late in September, Citigroup (C) is down 1.5% despite beats on both lines, while Goldman Sachs (GS) is up 1.0% after blowing past Street estimates on equities trading strength. Elsewhere, the 10-year Treasury yield is down 1 basis points to 5.23%, and the 30-year is off 4.3 bps to 5.555%, the dollar index (DXY) is down 0.33% to 102.25, gold is up slightly around $4,200. Health Care (XLV) lags, down 1.2%, dragged by Johnson & Johnson (JNJ) off 4.6% despite raised guidance after its Medtech unit missed, Neurocrine Biosciences (NBIX) down 2.7% on escalating safety scrutiny, and Syndax Pharmaceuticals (SNDX) tumbling 17.9% on a failed IPF trial. Energy (XLE) is bucking the drop in crude, with Brent down $1.15 to $105.50 and WTI off 61 cents to $93.13, as refiners extend their rally to fresh highs and BP (BP) jumps 3.5% after saying net debt already hit its 2027 target on strong trading and refining profits.

• NFIB Small Business Optimism fell 0.8 point to 97.9 in September while weekly Redbook retail sales accelerated to +10.4% Y/Y from +8.6% the prior week.

• Medical technology sector: shares of BSX, ABT, SYK, MDT and others were active after JNJ beat third-quarter earnings expectations and hiked its full-year outlook, though stumbles in its medical technology business. Prescription drug sales fueled strength in the latest quarter as revenue rose 7.7% from the prior year in J&J’s pharmaceutical arm, compared to just a 2.5% increase in its medical technology division. But sales in J&J’s MedTech unit came in below estimates after revenue in cardiovascular, orthopedics, surgery and vision missed projections.
• Satellite and Telco sector: ASTS downgraded from Overweight to Neutral at Piper and cut PT to $54 from $98 due to lower conviction in the pace of Satellite launches in 2026-2027. Piper is struck by SpaceX’s growing ambition in the direct-to-cell (D2C) market, as evidenced by Friday’s decision to purchase Mobile spectrum for ~$8B. AT was downgraded to Market Perform from Outperform at Bernstein citing cites pressure from SpaceX’s foray into both broadband and wireless for the downgrade. The new competition further exacerbates recent pricing moves by incumbents and expected Q4 seasonality.

• FRMI +18%; shares jumped after entered a credit support agreement with AMD which will support a lease for phase one of Fermi’s flagship Matador project.
• MPC +3%; along with gains in VLO, PBF, DK and other refiners which continue to benefit from crack spread margins as energy/diesel prices remain elevated.
• UNH +1%; reported Q3 adj EPS of $4.69, a material beat versus consensus of $4.06, with adjusted EBIT well above and raises FY26 adjusted EPS view to at least $20.50 from $19.50-$20.00 (est. $19.87); said lower medical care ratio was driven by medical cost management.
• VFC +2%; upgraded at both Piper and Truist o Buy equivalent ratings from Hold and both raised their tgt to $20 as believes Vans is poised to inflect as fashion trends shift away from the long dominant athletic aesthetic and brand momentum builds on the popularity of new launches.

• CIFR -15%; after the AI data center operator announces proposed private offering of convertible senior notes worth $850M, due 2032 as notes carry a 0% coupon, meaning CIFR will pay no regular interest on the debt.
• DPZ -3%; reported Q3 EPS $4.60 vs. est. $4.36 and sales $1.177B vs. est. $1.19B; Q3 US and international same store sales growth misses estimates as consumers cut back on spending amid growing inflationary pressures.
• FUN -8%; after CNBC reports that one person was killed, and several others were injured in a deadly roller coaster incident at one of its amusement parks in Georgia, citing local police
• NBIX -3%; is under mounting scrutiny over its drug, Vykat XR — the first FDA-approved treatment for the insatiable hunger associated with the rare disease called Prader-Willi syndrome. There have been reports of seven deaths associated with the drug, STAT’s Adam Feuerstein writes.
• S -4%; shares fall after announces private offering of $1.25B 0% convertible bonds (CBs) due 2031 as the company intends to use net proceeds for general corporate purposes, stock buybacks, working capital, capex, potential acquisitions.
• SNDX -18%; announced that the MAXPIRe Phase 2 trial of axatilimab in idiopathic pulmonary fibrosis did not meet its primary endpoint of the annualized rate of decline in forced vital capacity.