Mid-Morning Look: September 08, 2026

Mid-Morning Look

Tuesday, September 08, 2026

U.S. stocks looking lower to kick off the week that is highlighted by key CPI and PPI inflation data at the tail end of the week, with broad weakness in healthcare, financials and consumer discretionary sectors while energy leads behind another rip in oil and utilities. Oil prices extended gains on reports Yemen’s Tehran-backed Houthis attacked four cities in the south of U.S. ally Saudi Arabia, wounding more than 70 people and setting oil installations ablaze in what appeared to be a major expansion of the six-month-old Middle East war. They used ‌drones and missiles to strike a Saudi airbase in the southern city of Khamis Mushait, and targets belonging to Saudi Arabia’s state oil company in nearby Abha, Najran on the Yemeni border and Jazan. Healthcare sector (XLV) is down over 2% on the day, led by weakness in Novartis (NVS) after not one but two failed drug trials in different drugs that pressured names AMGN, DYN, SRPT on fears what it could mean to their competitive drugs. On the flip side, strength early in power and utility names, with BE jumping after being added to the S&P 500 index late Friday (along with ILMN/P) while quantum names (IONQ, RGTI, QBTS, INFQ) roaring higher mid several headlines (see below). Gold prices lower, Bitcoin prices lower (still can’t stay above $80K) and the dollar lower.

• Crypto sector: Visa (V) tells CNBC it is expanding data offering for blockchain lenders as demand for stablecoin-linked cards surges. Visa currently operates more than 160 stablecoin-linked card programs for issuers and program managers, a nearly 200% increase year over year. CRCL agreed to acquire Singapore-based cross-border payments platform Tazapay to expand its global payments infrastructure. Tazapay brings more than $25 billion in annualized payment volume, 60+ banking and fintech partners, and local payout rails across 100+ markets. HOOD signed a multiyear deal to bring Crypto.com-backed event contracts onto its platform and will take minority stakes in both https://Crypto.com and its prediction-markets business, OG.
• Trucking/LTL sector: ODFL and CHRW were both upgraded to Buy at Citigroup following their recent pullbacks, as both names represent the leaders in their respective sub-sectors, offering an opportunity to buy quality at a reasonable price and opened a positive catalyst watch on CHRW. With sentiment moderating in recent months, driving shares down more than – 25% from summer highs, Citi sees a more reasonable risk reward, as valuations have moved closer to their historical averages and towards levels that it believes offer solid upside. Macro slowdown remains a potential concern, but both companies offer defensive characteristics (particularly strong balance sheets) with earnings upside on continued tightening of truckload capacity and Freight Cycle inflection.
• Oil E&P sector: CVE and MGY were upgraded to Overweight from Neutral at JP Morgan and downgraded GPOR to Underweight saying at updated strip pricing, E&P oily coverage is trading at 2026-27 FCF yields of 14.1%/13.5% vs 9.3%/10.3% for its Natural gas coverage. Meanwhile, JPM sees 5% and 3% upside to consensus 2026-27 EBITDA estimates for its oily coverage vs -1%/-5% downside for its gas coverage. CVE upgrade reflects an attractive relative valuation and asset footprint that can take full advantage of crude oil and refining margin strength, and MGY upgrade to reflect anticipated accretion from the recent $4.1B WildFire acquisition, which doubles MGY’s Giddings position. GPOR downgrade is largely driven by its near-term pessimism on Natural gas fundamentals as well as downside to consensus estimates given the pullback in Natural gas prices.

• GLW +4%; and VZ strike multi-billion dollar fiber deal to expand broadband and build next-gen AI infrastructure through 2032. The multi-use fiber deployment will accelerate broadband expansion for homes and businesses while building the national long-haul backbone required by AI hyperscalers.
• IONQ +12%; amid broad strength in quantum names; also raises FY26 Revenue Outlook to $450M–$460M after SkyWater acquisition and says outlook also removes estimated intercompany revenue under the prior IonQ-SkyWater agreement.
• PHVS +14%; shares rose after Deucrictibant Trial Meets Key Endpoints. Primary endpoint met with 83% attack reduction rate versus placebo. 87% reduction rate observed in people with HAE Type 1 or 2. All secondary efficacy endpoints met with statistical significance. Plans to submit NDA to FDA for prophylaxis of bradykinin-mediated angioedema attacks in 1H 2027.
• QCOM +7%; after announced a collaboration with AMZN to develop custom chips at scale for large-scale AI data centers; QCOM issued a warrant to AMZN, giving it the right to buy an about $4 billion stake, as part of a collaboration to develop custom chips for AI data centers.
• ROIV +13%; shares rise after saying an experimental drug for a type of pulmonary hypertension achieved the goals of a mid-stage study. In the 16-week Phase 2 study its drug mosliciguat achieved a statistically significant 56% reduction compared to placebo in pulmonary Vascular resistance.
• SEI +14%; raises Q4 adj EBITDA to $145M-$180M range, above its prior $100M-$120M and also now sees Q3 adj. EBITDA of $110M-$130M vs. prior range of $90M-$105M citing stronger contributions from core power services and better-than-expected performance from its recently acquired businesses

• BDRBF -5%; after President Trump aid in a social media post that Canada’s Bombardier’s aircraft should no longer be sold in the U.S. unless it started manufacturing in the country.
• BSX -2%; says ‘unlikely’ to meet net sales, adjusted EPS guidance after noting that on August 25, the company identified a cybersecurity incident that affected certain of its information technology systems and resulted in a global disruption to the company’s operations.
• DYN -22%; and SRPT shares also tumble on NVS failed drug trial as DYN’s z-basivarsen is also trying to correct DM1 by reducing toxic DMPK RNA while SRPT’s SRP-1003 is also an siRNA that knocks down DMPK, but they use an αvβ6-integrin-targeting Ligand rather than TfR1.
• IONS -2%; and NVS said their experimental drug Pelacarsen did not cut the risk of major heart attacks and strokes in patients with a genetic risk factor in a late-stage trial. The drug successfully lowered a dangerous genetic cholesterol, Lp(a), but it did not improve overall heart health outcomes
• NVS -12%; on two failed drug studies; its experimental drug (del-desiran) for a muscle wasting disorder failed in a late-stage study; said late-stage testing of del-desiran for the treatment of myotonic dystrophy failed to meet its primary endpoint.
• SGML -11%; after a Brazilian court ordered suspension of environmental licenses and mining activities at miner’s Grota do Cirilo mine; the Judge ruled on Friday that co’s project was within the direct area of influence of the Bau Quilombola community.