OPENING CALL
Futures tied to major American indexes traded in a narrow range, suggesting the U.S. market could regain some poise.
Fears about AI disruption were reverberating through global markets, after rattling U.S. stocks in the previous session, when $300 Billion was wiped off software and data stocks.
In the Asia-Pacific region, shares in companies such as Japan's Fujitsu and India's Infosys dropped, and some European names sold off for a second day.
Meanwhile, some data is due and earnings season marches on.
The ISM services PMI data later will get attention "not only at a headline level after a chunky beat on the ISM manufacturing metric on Monday, but also the employment sub-index given that we shan't be getting the January jobs report on Friday," according to Pepperstone.
Danske Bank said the ADP data might provide investors with the first sense of what to expect from the delayed key nonfarm payrolls report.
Two more Magnificent Seven companies-Alphabet and Amazon-will report Wednesday and Thursday respectively, following on the heels of disappointing results from Microsoft that helped send software stocks tumbling last week.
And the busy week for pharmaceutical earnings continues, with AbbVie, Biogen and Eli Lilly among those still due to report earnings.
Stocks to Watch
AMD shares were down 7.3% ahead of the open-the worst stock in the S&P 500 premarket.
Chipotle Mexican Grill fell 6.5%.
Enphase Energy's outlook was ahead of consensus. Shares climbed 24%.
Match Group beat Wall Street estimates for profit and revenue. Shares rose 6.6% off hours.
Mondelez International declined 4.2%.
Novo Nordisk's U.S. listed shares dropped 4%.
Silicon Laboratories gained 32% after the Financial Times reported that Texas Instruments was in advanced talks to buy the chip designer for about $7 billion.
Super Micro Computer surged 11% ahead of the opening bell.
Take-Two Interactive Software narrowed its loss and posted higher sales, boosted by net bookings growth. Shares rose 5.1%.
Watch For:
ADP National Employment Report, EIA Weekly Petroleum Status Report, Fed Gov. Lisa Cook Speaks on Monetary Policy and the Economic Outlook at the Economic Club of Miami, Earnings AbbVie, Alphabet, Boston Scientific, Eli Lilly, Qualcomm, Uber
Today's Top Headlines/Must Reads:
-Microsoft's Pivotal AI Product Is Running Into Big Problems
-Finance Leaders Weigh In on Trump, the Fed, Investing and AI Risk
-Flirty Emails and Chummy Photos Show How Far Epstein Reached Into Business World
MARKET WRAPS
Forex:
The dollar fell ahead of the economic data that could provide hints on the pace of the Fed's interest-rate cutting cycle.
ING's calculations showed the euro was trading around 0.8% above its short-term fair value .
Sterling rose to its strongest level in five months against the euro ahead of a decision by the Bank of England on Thursday.
Bonds:
Treasury yields were little changed, with investors awaiting the quarterly refunding announcement as well as ISM services PMI data.
Meanwhile investors will focus on the quarterly refunding announcement Wednesday.
Barclays said it would be looking for details around whether the Treasury re-introduces forward guidance to its desired market share.
Energy:
Oil prices steadied as traders closely monitored developments in Iran after renewed tensions in the region.
"Uncertainty about how talks will play out means the market will likely continue to price in some risk premium," ING said.
Separately, traders await weekly inventory data from the EIA to assess the impact of a massive winter storm that recently hit parts of the U.S.
UOB lifted its Brent crude-oil price projection to $75 in 1Q , $70 in 2Q and $65 in 2H.
Metals:
Gold
Gold extended gains, climbing back above $5,100 as a historical pullback from record highs offered investors a buying opportunity.
Goldman Sachs sees meaningful upside risk to its $5,400 price forecast for December, noting that additional private-sector diversification could further boost demand.
"Such private sector diversification demand may be expressed through outright physical buying or through call--option structures, which tend to produce sharper price action."
Silver
Silver prices extended their rally, with New York futures hovering near $90 a troy ounce.
Goldman Sachs cautioned that thin inventories have created squeeze-like conditions, with rallies accelerating as investor demand absorbs available metal and reversing sharply when supply pressures ease.
Citi expects uranium prices to rise , supported by lower mine supply from Kazakhstan and Africa, and increasing utility demand, raising its price forecasts through 2027.
"Financial speculators, including Sprott Physical Uranium Trust have intensified its activity in the recent period with substantial fundraising amounts and uranium procurement on the spot market."
TODAY'S TOP HEADLINES
UBS Shares Fall After Money Outflows Hit U.S. Wealth-Management Business
UBS Group shares fell after the Swiss bank reported money outflows at its U.S. wealth-management business last quarter and executives said headwinds would continue in the first half of this year.
The Zurich-based group said Wednesday that its core global wealth management unit brought in $8.5 billion in net new assets last quarter, a sharp drop compared with the $38 billion it attracted the previous quarter. Outflows of $14.1 billion in the Americas were offset by inflows elsewhere.
Credit Agricole Profit Slides on Banco BPM Stake Consolidation
Credit Agricole S.A. posted a drop in fourth-quarter profit as an accounting charge linked to its stake in Italian peer Banco BPM overshadowed growth across its business lines.
The French lender on Wednesday reported net profit of 1.025 billion euros, equivalent to $1.21 billion, for the last quarter of the year, down 39% from the year-ago period but better than the 898.1 million euros estimated in a Visible Alpha poll.
Spain's Santander Launches Buyback Alongside Earnings Beat
Banco Santander reported fourth-quarter results that topped analyst expectations and approved a 5 billion-euro ($5.91 billion) share-buyback program.
The Spanish lender published its earnings a day early, alongside the surprise announcement of a deal to buy Webster Financial in the U.S. for $12.3 billion. Santander is currently the largest bank in continental Europe by market capitalization, though it makes a large chunk of its profits from its operations across Latin America and the U.S. In the U.S., the bank has been building out a full-scale digital lender, strengthening its investment bank and will now boost its presence through the acquisition of a regional bank in the Northeast.
Infineon Raises Investments to Meet Unrelenting AI Chip Demand
Infineon Technologies said it would increase investments in the fiscal year through September to boost manufacturing as semiconductor demand for artificial intelligence keeps booming.
The German chip maker said it would now aim to invest around 2.7 billion euros ($3.19 billion) in fiscal 2026, above a previous target of 2.2 billion euros. A significant portion of investments are set to go toward a facility in the German city of Dresden that is expected to open in the summer as well as other sites to expand production capacity for semiconductors powering data centers and other AI infrastructure.
With Jobs Data Delayed, Analysts Flock to Unofficial Data
Economy watchers are once again turning to a patchwork of unofficial data as another federal spending impasse has suspended government figures.
The Bureau of Labor Statistics said Monday the January jobs report wouldn't be released as scheduled Friday because funding for the Labor Department, of which BLS is part, ran out last week. While Congress approved new funding Tuesday, the BLS hasn't said when the jobs data would be released.
Eurozone Inflation Sinks Further Below ECB Target Ahead of Rate Decision
Eurozone inflation fell further below the European Central Bank's target in January, and is expected to remain under that 2% mark over the next two years.
However, a weaker dollar and increased imports of lower-priced Chinese goods could push inflation even lower than policymakers expect, and persuade them to restart a series of interest-rate cuts it halted in June.
Fed's Miran Resigns from White House Post
Federal Reserve governor Stephen Miran resigned Tuesday from his position as chair of the Council of Economic Advisers, a White House official said.
Miran has been on leave from the White House position since joining the Fed in September.
Why India Will Struggle to Reduce Its Reliance on Russian Oil
President Trump said India is going to stop buying Russian oil. Such a move-which would have profound effects on global crude trading-is easier said than done.
The world's most populous nation became addicted to cheap Russian oil after Moscow invaded Ukraine. The West shunned Russian energy and India was happy to snap it up-at a big discount to oil from other sources.
U.S.-Iranian Talks Are Still Expected After Gulf Flare-Ups
For a few hours Tuesday, two Iranian provocations against the U.S. raised questions as to whether nuclear talks between Tehran and Washington could be derailed. But negotiations are still expected this week, U.S. officials say, keeping diplomacy on the table even as President Trump amasses a military force in the Middle East and issues threats against Iran.
The U.S. shot down an Iranian drone aimed at the aircraft carrier USS Abraham Lincoln, and a U.S.-flagged ship outran an attempt by armed Iranian gunboats to force it to stop, spiking tensions in the Persian Gulf.
Russia Resumes Strikes on Ukrainian Energy Sites
(MORE TO FOLLOW) Dow Jones Newswires
February 04, 2026 06:00 ET (11:00 GMT)
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