Stock market today: Live updates

Shares of DataDog fell more than 2% in afternoon trading after Bernstein expressed a cautious outlook amid what it believes will be potentially weaker earnings. 

The firm downgraded the stock to market-perform from outperform, while raising its price target to $226. That price, though, implies a 13% loss from Thursday’s close. While analyst Peter Weed still sees the company as an AI winner, he’s nervous that the company’s third quarter earnings and onward could be troubling to investors. 

“Not only do we start lapping tough comps in Q4… we are seeing demand signals flat lining ex-AI (~85% of revenue) that causes ex-AI growth to peak in Q3, and potentially regress -100-200bps in Q4,” Weed wrote in a Monday note. “All together, Q4 could see -500bps growth rate regression, falling to ~29% YoY.”

Weed said that would be a disappointment compared to some investor expectations of high 30% to above 40% peak growth. 

Check out some of the names making moves in midday trading:

International Business Machines — The tech giant jumped more than 3% on the back of a price target increase from Bank of America. The firm bumped its price target to $330 from $315, noting “we anticipate IBM raises F26 guidance modestly.”O’Reilly Automotive — Shares of the auto-parts retailer lost more than 7%. Late last week, Bloomberg reported, citing people familiar, that O’Reilly is making a cash bid for Genuine Parts’ auto-parts business. D.A. Davidson said Monday that such a deal would be “accretive” for O’Reilly and reiterated its buy rating and $114 price target.Teradyne, Advanced Micro Devices — Both semiconductor companies jumped after Goldman Sachs lifted its price targets on their shares. Goldman lifted its 12-month target on Teradyne to $465 from $350 and hiked its target on AMD to $640 from $450. The firm rates both stocks as buy. Teradyne last traded 4% higher, while AMD gained almost 8%. The iShares Semiconductor ETF (SOXX) also rose more than 3%.

Read the full list here.

— Davis Giangiulio and Darla Mercado

Defense stocks are outperforming the broader market over recent periods, with the iShares US Aerospace & Defense ETF on pace for its longest win streak since February and hitting an intraday all-time high, its first since early March.

Drone and aircraft-related stocks have led in recent gains: AeroVironment is lower today but remains up nearly 30% over the past week following its stronger-than-expected fourth-quarter earnings report. Kratos Defense, Archer Aviation and Beta Technologies also among the sector’s best performers over the past week.

The ITA is outperforming the broader SPY so far in 2026, though actually underperforming since the conflict in Iran began at the end of February.

The gains fit a broader shift in how investors are approaching defense. Market watchers in Europe say future winners may look more like software and AI companies than traditional arms manufacturers. ITA includes several major electronic-warfare contractors, names like Northrop Grumman and RTX Corp. Northrop shares are up more than 10% over the past week while RTX is up more than 7%.

“Electronic warfare is a tech phenomenon,” Panmure Liberum strategist Joachim Klement told CNBC. “These companies need to be traded like tech companies.”

— Nick Wells

Raymond James analysts expect Delta to continue performing well and be a “top pick for long-term investors.”

The airlines’ structural advantage against its peer, along with its balanced capital deployment, are driving Delta’s strong performance, they said. 

Meanwhile JetBlue is underperforming which prompted the analysts to downgrade the airlines on Monday. The airlines, along with Frontier, benefited from Spirit Airlines shut down in May. Still, JetBlue has its obstacles.

“JetBlue shares are further constrained by ~$6.12 conversion price of its convertible debt,” they wrote. 

Aside from regional airline SkyWest, U.S. airlines overall had a strong rebound for the second quarter this year. 

— Ananya Chetia

Read the full story here.

— Kevin Breuninger

Microsoft is eliminating 4,800 jobs, representing 2.1% of its workforce, with the company’s Xbox division losing about one-fifth of its staff in the software giant’s latest effort to cut costs in the era of artificial intelligence.

“The way technology is built, deployed, and used is transforming faster than at any point in my time here,” Amy Coleman, Microsoft’s chief people officer and a 27-year company veteran, wrote in a message to employees Monday.

Xbox is cutting 3,200 people through fiscal year 2027, Xbox CEO Asha Sharma wrote in an email to division employees, noting that 1,600 roles would be eliminated on Monday. The other 1,600 exiting is on top of the companywide total of 4,800 leaving immediately. Read more.

Bank of America raised its IBM price target to $330 from $315, implying a 14% increase from Thursday’s close.

Analyst Wamsi Mohan said he expects the global tech company to beat revenue expectations on its next quarterly release. Mohan noted that IBM remains sharply focused on Red Hat Tech strength, progress on its Confluent integration and managing near-term dilution.

“We see upside driven by faster Confluent synergies and stronger growth in software and power & storage in infrastructure,” Mohan said in a note to clients Monday. “F2Q should set the trend for the 2H with better software mix, beginning improvement in TP (through z17 cycle), and Confluent contributing meaningfully (with dilution offset by cost synergies, productivity, mix).”

IBM is up about 1% this year, underperforming compared to the S&P 500. IBM is set to report earnings on July 22.

Service sector activity in the U.S. expanded in June at around the same pace in the prior month as price pressures eased slightly and employment moved into growth mode, the Institute for Supply Management reported Monday.

The ISM Services PMI was at 54 for the month, down 0.5 points from May and just slightly under the 54.3 Dow Jones consensus estimate.

Though the number was largely in line with expectations, inventories plunged 11.3 points to 51.2, a key input that subtracts from gross domestic product calculations. Elsewhere, the prices index slipped 3.6 points to 67.7 — still well above the 50 bar for growth — while the employment index rose 3.3 points to 51.2, back into expansion territory.

— Jeff Cox

Ed Yardeni, president of Yardeni Research, expressed his confidence in AI on CNBC’s “Squawk Box,” adding further that we are not in an AI bubble.

“I don’t really think so. I mean, AI is the real deal. I use it all the time. I used to use Google Search, now I use Claude and Gemini, and it’s a very, very powerful research assistant,” he said.

Instead, he expects S&P to hit 8250 by the end of the year driven by the earning momentum.

“We’ve got what I call FEMA (fabulous earnings momentum), as opposed to FOMO (fear of missing out),” further explaining that the current market has got earnings power behind it and not just valuation.

Further discussing the possibility of the S&P 500 reaching 10,000 by the end of the decade, he said, “If the Roaring 2020s works, then I’m already talking about the possibility of a Roaring 2030s.”

Yardeni remained optimistic about the revolutionary impact of technologies like self-driving cars, which he says could significantly improve efficiency and reduce waste, also emphasizing the importance of these advancements in shaping the future and driving economic growth.

— Deena Zaidi

U.S. equities gained on Monday, with the Dow Jones Industrial Average hitting a fresh record high.

The S&P 500 rose 0.5% shortly after the opening bell, while the Nasdaq Composite added 0.7%. The Dow Jones Industrial Average gained 105 points, or 0.2%, and exceeded 53,000 for the first time.

— Sean Conlon

TeraWulf shares jumped more than 16% in premarket trading after Anthropic signed a 20-year deal to use its Kentucky data center on Monday. 

The data center can support about 400 megawatts with its first power delivery expected in the second half of 2027. The center is roughly an hour southwest of Louisville. 

The deal is expected to give over $19 billion in revenue in the initial term.

Check out the companies making the biggest moves premarket:

Comcast — Shares rose by 0.5% after the company’s U.K.-based Sky announced it will buy rival ITV’s television business. While Comcast owns Sky for now, the company recently announced plans to spin off its media assets. ASML Holding — The Dutch semiconductor company was up 4% after Bernstein hiked its price target on the stock by more than 30% to $2,300. Analysts at the firm said they were raising their forecasts amid unprecedented expansion in both logic and DRAM capacity driven by artificial intelligence. Lam Research, Applied Materials, KLA Corporation — Shares of all three companies were some of the best performers on the S&P 500 premarket after Morgan Stanley analysts hiked their price targets on each of the stocks. Lam Research was at the top of the S&P, up more than 4%. Applied Materials and KLA each were jumping just under 4%.

Read the full list here.

— Davis Giangiulio

President Donald Trump will be ringing the opening bell Monday at two major exchanges as equity markets continue to scale new heights.

Though not at the actual sites, the president will kick off trading at both the New York Stock Exchange and the Nasdaq from the Oval Office. Trump repeatedly has championed the relentless surge in stock prices as proof that his economic agenda is working. The blue-chip Dow Jones Industrial Average is within striking distance of a new breakthrough at 53,000.

Trump told reporters last week that “everybody’s profiting” because the stock market is going up, though Federal Reserve data shows that the top 1% of all earners own half the equity wealth in the country.

Monday’s event is meant to showcase the launch of Trump Accounts, created to provide children access to stock wealth. More than 6 million families have signed up for the program, which provides a $1,000 seed contribution from the government.

— Jeff Cox

The long-running Russia-Ukraine war appears to have entered a new phase after major developments over the weekend and ahead of a crunch NATO summit.

In the last 72 hours, U.S. President Donald Trump purportedly held separate calls with Russian President Vladimir Putin and Ukrainian President Volodymyr Zelenskyy, Ukrainian drones struck an oil terminal and port in St. Petersburg and the surrounding area and Russia launched its second large-scale attack on Kyiv in less than a week.

The prospect of renewed diplomacy, alongside the risk of escalation, has put investors on notice at a time when markets are trying to price geopolitical risk, energy security and the integrity of Europe’s defense spending pledges. Read more.

— Sam Meredith

BE Semiconductor shares slumped 7.4% on Monday following media reports that suggested the development of a key growth driver for the Dutch chipmaker had been held up.

Reuters cited an article by ZDNet, a Korean technology business news outlet, which said that the adoption of hybrid bonding could be delayed.

Besi has first-mover advantage in hybrid bonding, a technique that boosts bandwidth and efficiency in semiconductors, and is seen as crucial for AI chips and high-bandwidth memory.

— Hugh Leask

EasyJet surged to the top of the Stoxx 600 in early dealmaking Monday after the U.K. budget airline agreed in principle to a takeover bid from U.S. private equity manager Castlelake. Shares in the low-cost carrier were up 9.75% by 8:45 a.m. in London (3:45 a.m. E.T.)

The pan-European benchmark was up 0.11%, with most regional sectors and major bourses in positive territory.

Media stocks led the way, up 1.41%, after Comcast-owned Sky agreed to buy U.K. broadcaster ITV‘s media and entertainment business, while European travel and leisure stocks advanced 1.01% following the EasyJet announcement.

The Italian FTSE MIB rose 0.58%, while France’s CAC 40 gained 0.51%. The U.K. FTSE 100 added 0.43%, as Germany’s DAX advanced 0.39%.

— Hugh Leask

Asia-Pacific markets closed mixed on Monday.

Japan’s Nikkei 225 closed little changed at 69,737.69, while the broader Topix gained 0.92% to finish at 4,101.96.

In South Korea, the Kospi lost 0.46% to end the session at 8,051.33, while the small-cap Kosdaq tumbled 2.46% to 847.07. Australia’s S&P/ASX 200 fell 0.15% to close at 8,831.00.

China’s CSI 300 was flat at 4,842, while Hong Kong’s Hang Seng was last trading 0.81% higher.

— Lee Ying Shan

U.K. broadcaster ITV will sell its media and entertainment division to Comcast-owned Sky in a deal worth £1.6 billion ($2.13 billion).

Sky will pay £1.2 billion in cash and hand over ownership of Love Productions — maker of ‘The Great British Bake Off’ — as part of the deal. It may also pay an additional £200 million if the ITV business meets certain agreed performance targets after the takeover.

ITV’s M&E division includes its free-to-air channels and its ITVX streaming platform. Combined with Sky, the business would account for around 20% of all in-home viewing in the U.K., second to the BBC and ahead of YouTube, Sky said in an announcement.

“ITV has successfully evolved in a rapidly changing media landscape — launching, and scaling, ITVX and developing ITV Studios into a major force in the global content market,” said Carolyn McCall, CEO, ITV plc. “This transaction builds on that momentum to deliver clear, tangible value for shareholders.”

Dana Strong, CEO of Sky Group, called the deal a “defining moment for British media.”

The deal is expected to be completed in the second half of 2027.

— Hugh Leask

European stock markets are set to begin the new trading week in the red.

Futures tied to the Stoxx 50 were down 0.07% before Monday’s market open, with most of the continent’s major bourses set to open lower.

The German DAX is expected to buck the trend, up 0.05% higher in pre-trade in Frankfurt.

But London’s FTSE 100 is set to open in negative territory, with the U.K. benchmark seen 0.04% lower. France’s CAC 40 is seen opening 0.1% lower, with the FTSE MIB down 0.09%.

— Hugh Leask

India’s Nifty 50 index rose 0.5% in early trading, while the rupee was flat at 95.23 against the greenback.

Bank of America wrote in a note late Friday that India’s reform momentum has broadened over the past two years, with the government introducing 18 measures across tax, labor, energy security, manufacturing, banking and foreign capital access.

The bank said the reforms mark a shift from near-term demand support toward structural resilience, though their market impact will depend on “the success and consistency of implementation at the ground level.”

The near-term equity beneficiaries are likely to be consumption-linked sectors, BofA said, after India rationalized goods and services tax rates and raised the no-tax income threshold to 1.2 million rupees. The bank said the tax changes could leave more than 1 trillion rupees in the hands of consumers, supporting retail, autos, internet and consumer technology stocks. It named Titan, ITC, Varun Beverages and United Spirits among its top consumer picks.

BofA said India’s labor reforms could also become a longer-term support for equities by pushing more workers into formal jobs. The consolidation of 29 labor laws into four codes is expected to improve access to formal finance, insurance and healthcare, benefiting banks, non-bank lenders, insurers, diagnostics companies and hospitals.

— Lee Ying Shan

Defense heavyweight Lockheed Martin is leading the race to buy naval defense group Ultra Maritime, CNBC has learned.

The deal to acquire Ultra is roughly $3.5 billion, and Guggenheim and JPMorgan are advising on the sell side, according to sources.

Ultra is owned by private equity firm Advent International, and specializes in anti-submarine technology. The company makes radar and electronic warfare systems, as well as torpedo defense countermeasures.

A Financial Times report last week said that talks were still ongoing and a deal could be announced as early as this week.

Advent was reportedly put up for sale earlier in 2026 for more than 3 billion pounds, or $4 billion.

Lockheed Martin is one of the world’s largest defense firms, producing planes such as the F-35 Lightning II fighter jet and munitions like the Patriot air defense missile.

Read the full story here.

— Lim Hui Jie

Chinese markets opened in the green, with Hong Kong’s Hang Seng Index climbing 0.4%, while the CSI 300 added 0.2%

Quantum Strategy said in a note early Monday that it was getting more bullish on Chinese equities, particularly artificial intelligence, after completing fresh research into the sector.

The investment firm said it is rotating away from U.S. technology leaders while becoming more positive on Chinese stocks tied to AI adoption.

In its latest portfolio recommendations, Quantum Strategy said it was “Out of AI (except China) and the Magnificent 7,” while recommending investors go long on sectors benefiting from AI deployment “with particular emphasis on China.”

— Lee Ying Shan

Crude prices were mixed early Monday, as investors digest the implications of the OPEC+ oil cartel’s move to increase production in August.

Futures for international benchmark Brent crude for September delivery were flat at $72.12 a barrel. U.S. West Texas Intermediate futures for August were 0.20% higher at $68.8 per barrel.

OPEC+ agreed to increase production by 188,000 barrels per day in August, as the Strait of Hormuz gradually reopens. “The decision means OPEC+ has now restored around 940,000 barrels per day of supply since the process began,” Westpac said in a report.

The move, which marks a fifth consecutive monthly increase, is expected to help keep global markets well supplied with oil,” particularly if the ceasefire and broader peace efforts between the US and Iran hold,” Westpac added.

— Justina Lee

Shares of two Hanwha Group companies jumped Monday, buoyed by expectations of a Canadian submarine contract and investment in the space sector.

Hanwha Ocean rose over 12%, following reports that Canada will announce a submarine contract winner on Monday.

Besides Hanwha Ocean, German-Norwegian partnership Thyssenkrupp ​Marine Systems is also vying for the contract, which involves building 12 submarines for Canada’s Navy, according to reports.

The announcement is expected to be made ​before Canadian Prime Minister Mark Carney heads to a NATO leaders’ ⁠summit.

Hanwha Systems also surged over 13%, after the company reportedly unveiled a 20 trillion won (about $15 billion) investment plan on Friday in satellite technologies, as part of Hanwha Group’s 55 trillion won investment in space and defense AI by 2040.

“Space has transitioned from exploration into the realm of industry,” said Sun Kim, head of space business headquarters at Hanwha Group in a statement last week, “and now it has expanded even further into an issue directly tied to national security and space sovereignty.”

Hanwha Systems is ramping up efforts in the global space economy, which is set to grow over 1 trillion by 2040, according to Morgan Stanley.

— Justina Lee

Correction: This post has been updated to fix the amount Hanwha Systems is looking to invest.

Japan’s benchmark Nikkei 225 was flat at the open, while the Topix added 0.2%. South Korea’s Kospi added 0.61%, while the small-cap Kosdaq declined 1%.

Australia’s benchmark S&P/ASX 200 declined 0.23%.

The Japanese yen was trading at 161.54 per U.S. dollar after weakening to a 40-year low against the greenback last week. South Korea’s won slipped around 0.25% to 1,532.82 per dollar after the currency began 24-hour trading.

— Lee Ying Shan

Asia-Pacific markets were set to trade mixed Monday as investors rethink artificial intelligence-driven plays, with focus also on the minutes from the Federal Reserve’s June meeting, set to be released later this week.

Japan’s benchmark Nikkei 225 is set to open higher, with the futures contract in Chicago at 70,040, against the index’s last close of 69,744.07.

Australia’s benchmark S&P/ASX 200 is poised to open lower, with futures last trading at 8,794, compared with the index’s previous close of 8,844.40.

Futures for Hong Kong’s Hang Seng index stood at 23,253, compared with its last close of 23,350.03.

Investors this week will focus on the Federal Reserve, with policymakers set to release minutes from their June meeting — the first led by Chairman Kevin Warsh — on Wednesday.

“Fed funds futures now imply 1.5 rate hikes over the next 12 months, a sharp reversal from the deep rate cut pricing that dominated the past three years. The minutes should indicate how much of that repricing the committee actually endorses,” market veteran Ed Yardeni wrote in a note.

— Lee Ying Shan

The president of Yardeni Research thinks Wall Street is suffering from “AI fatigue” as they are not “convinced that the huge investments in AI infrastructure will earn a good rate of return.”

“They are worried about the possibility of excess capacity and increasing competition among AI providers, including the ones from China. They are unsettled by the decline in token prices, though the impact of that on providers’ revenues might be offset by greater usage,” he added.

“Nevertheless, we don’t buy the bubble stories that compare the current bull market in stocks to the tech bubble of the late 1990s, which was followed by the Great Tech Wreck (GTW) of the early 2000s,” he said.

— Fred Imbert