The latest Market Talks covering Equities. Published exclusively on Dow Jones Newswires throughout the day.
1957 ET - A de-rating of Australian bank stocks is seen by Morgan Stanley analysts as having become more likely due to the economic impacts of U.S. and Israeli military action against Iran. The MS analysts had already flagged interest-rate rises and an economic slowdown as potential de-rating catalysts. They now see a higher possibility of these triggers being pulled given the Australian economy's sensitivity to supply shocks and energy security risks. With fuel prices rising, they see the Reserve Bank of Australia having to juggle both inflationary pressures and growth risks as it sets interest rates. (stuart.condie@wsj.com)
1947 ET - Japanese stocks may rise as concerns about energy costs ease. Nikkei futures are up 0.7% at 54810 on the SGX. The dollar is at 158.09 yen, compared with Y157.57 as of Tuesday's Tokyo stock market close. Investors are focusing on developments in Iran and crude oil prices following sharp drops on Tuesday. The Nikkei Stock Average rose 2.9% to 54248.39 on Tuesday.(kosaku.narioka@wsj.com)
1941 ET [Dow Jones]--AeroVironment has a competitive edge as the conflict in Iran boosts demand for its drones and other defense systems, Chief Executive Wahid Nawabi says during a call with analysts. Nawabi says AeroVironment is one of the only companies in the space that can already produce those kinds of products in volume. "Most players are talking about production capacity two years to three years from now," he says, adding that manufacturing sites will take even longer to build. "We're doing that today across several of our product lines," he says. (kelly.cloonan@wsj.com)
1941 ET [Dow Jones]--AeroVironment is seeing greater need for some of its products given rising tensions in the Middle East, according to Chief Executive Wahid Nawabi. "The conflict in Iran is another example of how well we're positioned on the type of solutions that we've got," he says. The need for AeroVironment's one-way attack drones and counter-unmanned aircraft systems are starting to look better and better, he says. "I expect all this to convert to some additional demand in fiscal year 2027 and beyond, so I do believe that this is a good critical moment to showcase our capabilities," he says. (kelly.cloonan@wsj.com)
1942 ET - Australian furniture retailers Nick Scali and Temple & Webster are disproportionately exposed to rises in freight costs related to the Iran conflict, Macquarie analysts warn. Citing the large size and low retail price density of furniture, the investment bank's analysts see risk in the companies' coming freight-cost renewals in the event that disruption related to the conflict is prolonged. Pressure on consumer spending from rising local interest rates and broader inflation, including from fuel, means it will be hard for retailers to pass on costs to their customers, the analysts add in a note to clients.(stuart.condie@wsj.com)
1932 ET - Zip keeps its bull at Macquarie despite the installment-payment provider's recent earnings reset. A note from one of the investment bank's analysts looks past the Australian company's moderated operating leverage and flags an expectation of medium-term growth. The analyst thinks that Zip's U.S. net transaction margin will improve sequentially in both the March quarter and June quarter. Loan losses are rising relative to total transaction value, but the note points out that this is a function of Zip bringing on new users. The company can quickly remove defaulters, the note adds. Macquarie keeps an outperform rating and A$3.35 target price on the stock, which is down 0.9% at A$1.67. (stuart.condie@wsj.com)
AeroVironment is seeing strong demand for its drones, bolstering its confidence in the current quarter and next fiscal year, Chief Executive Wahid Nawabi says during a call with analysts. "The demand for cost-efficient, artificial intelligence-enabled autonomous non-lethal and lethal drones and counter-drones are unprecedented," Nawabi says. "AV is well-positioned to capitalize on this generational opportunity that is in front of us." The defense contractor is working to scale up its production to stay on top of the demand, including with a new manufacturing facility in Salt Lake City, he says. He expects the facility will be operational in about a year, and produce more than $2 billion in products annually. (kelly.cloonan@wsj.com)
1917 ET [Dow Jones]--AeroVironment says a delay in government funding pushed out several orders it had expected in its latest quarter, contributing to worse-than-expected results. "Given industry-wide delays in government funding along with the shutdown, several orders we anticipated to receive in the third quarter have shifted to the right by a quarter or two," Chief Executive Wahid Nawabi says during a call with analysts. The company now expects delayed orders for its autonomous systems segment will be booked in the current quarter and in the first quarter of fiscal 2027, he says. That segment still experienced significant growth in the recent quarter despite the delayed orders. (kelly.cloonan@wsj.com)
1835 ET - Oracle's third-quarter earnings and outlook likely come as a "huge relief" to investors, Wedbush analysts say. Oracle's outlook for 2026 and 2027 point to the start of the company monetizing its AI businesses, the analysts say. Investors, who were watching Oracle's release closely for clues about the state of software and tech, will see this report as a vote of confidence for continued AI growth, the analysts say. Oracle also said it raised $30 billion of its anticipated $50 billion of investment financing. The analysts say this will alleviate concerns about Oracle's ability to finance its data center deals. Shares gain 8% after hours. (katherine.hamilton@wsj.com)
1732 ET - Australian stocks look set to extend their rally when the local market opens. Local stock futures are up by 0.3% ahead of Wednesday's session, suggesting that the S&P/ASX 200 will add to its 1.1% rise of the previous session. The benchmark index is still down by 5.5% since early last week, with investors spooked by the ramifications of U.S. and Israel strikes on Iran. Officials at Australia's central bank meet next week to decide their next move on interest rates. U.S. equities provided a largely soft lead. The Nasdaq Composite was flat, but the DJIA lost 0.1% and the S&P 500 slipped 0.2%. (stuart.condie@wsj.com)
1634 ET - Oracle says it is building more software in less time and with fewer people. AI models for generating computer code have become more efficient, prompting the cloud-computing company to restructure product development teams into smaller groups, Oracle says in its 3Q earnings report. As a result, Oracle is building more software-as-a-service applications for more industries at a lower cost, it says. "AI code generation is making our SaaS applications suites more competitive and more profitable," Oracle says. Shares gain 7.9% after hours. (katherine.hamilton@wsj.com)
1605 ET - U.S. stocks end narrowly mixed in volatile trade as investors chase contradicting headlines. Oil prices fall on hopes for a relatively quick end to the war in Iran, though conflicting headlines about tankers being escorted through the Strait of Hormuz and possible mining of the strait by Iran cause sharp moves across asset classes. Energy stocks fall the most on the oil price losses, while communication services and technology sectors edge higher. Existing home sales were stronger than expected and investors will focus on CPI report before the bell. DJIA falls 34 points, or 0.1%, to 47706, the S&P 500 loses 0.2% to 6781, while the Nasdaq gains a fraction to 22697. (patrick.sullivan@wsj.com)
(END) Dow Jones Newswires
March 10, 2026 19:57 ET (23:57 GMT)
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