Stock Market

Wall Street stocks fell as rising U.S. Treasury yields, driven by persistent inflation concerns and hawkish Fed signals, pressured equity valuations. Higher yields increase borrowing costs and make fixed-income investments more attractive, particularly impacting growth stocks sensitive to discount rates. Investors are now closely watching Fed policy for market direction.

US stock futures showed modest gains Tuesday as oil prices retreated slightly and Treasury yields paused their climb. Global markets remain pressured by central bank rate hikes and geopolitical tensions in the Middle East, while CarMax soared on strong earnings and Oura postponed its IPO.

US stocks fell Monday as Brent crude surged 2.6% to $99.96/barrel, driven by Middle East tensions, fueling inflation fears. The 10-year Treasury yield jumped to 5.27%, its highest since 2007. Nvidia bucked the trend, rising 1.9% on a massive $150 billion share buyback announcement, while airline and gold mining stocks declined.

Super Micro Computer (SMCI) began shipping Nvidia Vera Rubin racks, driving projected 72% fiscal 2027 revenue growth. However, earnings per share are expected to rise only 20%, strained by compressed gross margins and significant share dilution from recent financing activities.

GameStop reported an adjusted EPS of $0.17 and a $44.8 million net profit, marking its return to profitability. This came as CEO Ryan Cohen and other directors bought additional shares, signaling insider confidence. The operational improvements, especially in collectibles, are challenging market perceptions despite wide valuation disparities.

Microsoft, Broadcom, and Costco, core Nasdaq-100 components, are generating billions in free cash flow, quietly delivering robust dividends. Despite modest yields, these giants offer strong dividend growth potential, backed by deep cash balances and consistent payout increases, appealing to income-focused investors looking for stability within a growth index.

Microsoft, Broadcom, and Costco, core Nasdaq-100 components, are generating billions in free cash flow, quietly delivering robust dividends. Despite modest yields, these giants offer strong dividend growth potential, backed by deep cash balances and consistent payout increases, appealing to income-focused investors looking for stability within a growth index.

Microsoft, Broadcom, and Costco, core Nasdaq-100 components, are generating billions in free cash flow, quietly delivering robust dividends. Despite modest yields, these giants offer strong dividend growth potential, backed by deep cash balances and consistent payout increases, appealing to income-focused investors looking for stability within a growth index.

Wynn Resorts (WYNN) shares have fallen 36.5% to US$81 over the past year. The company recently issued US$900 million in 6.875% senior notes to fund projects, including the US$5.7 billion Wynn Al Marjan Island development. Its 18.3x P/E ratio is slightly above hospitality peers, with community analysts citing potential 39% undervaluation tied to new market entry.