Market Snapshot
| Dow | 45752.05 | -386.51 | (-0.84%) | | Nasdaq | 22078.07 | -486.18 | (-2.15%) | | SP 500 | 6538.75 | -103.40 | (-1.56%) | | 10-yr Note |
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| | NYSE | Adv 621 | Dec 2157 | Vol 1.29 bln | | Nasdaq | Adv 1144 | Dec 3557 | Vol 10.62 bln |
Industry Watch
| Strong: Consumer Staples |
| | Weak: Industrials, Health Care, Materials, Information Technology, Consumer Discretionary, Communication Services, Energy, Health Care, Utilities, Financials |
Moving the Market
--Chipmakers give back substantial early gains that followed NVIDIA's (NVDA) earnings report, major averages now lower
--December rate cut odds remain dim
--Strong intraday reversal sends major averages back below 50-day moving averages
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Intraday reversal underscores fading AI momentum despite strong NVIDIA beat
20-Nov-25 16:25 ET
Dow -386.51 at 45752.05, Nasdaq -486.18 at 22078.07, S&P -103.40 at 6538.75
[BRIEFING.COM] The stock market had a tumultuous day as equities faced a sharp intraday reversal, which wiped out the early gains that followed NVIDIA's (NVDA 180.64, -5.88, -3.15%) stellar earnings report.
Investors eagerly anticipated results from the world's largest company as the AI trade's momentum has stalled as of late. NVIDIA delivered on the hype, cruising past earnings expectations and delivering robust Q4 guidance.
The S&P 500 (-1.6%), Nasdaq Composite (-2.2%), and DJIA (-0.8%) held gains wider than 1.0%, pushing them back above their 50-day moving averages, which had been violated earlier in the week.
The PHLX Semiconductor Index (-4.8%) and Vanguard Mega Cap Growth ETF (-2.0%) were both up around 3.0% as NVIDIA's gain widened to nearly 5.0%. All eleven S&P 500 sectors traded higher as the broader market rallied with strong leadership from the market's largest names.
Stocks hit a peak just before 11:00 ET, before a relatively sharp sell-off ensued. Some profit-taking was to be expected with such a large swing across the mega-caps, but the retreat broadened to nearly every corner of the market.
The information technology sector (-2.7%) was hit the hardest, charting session lows through the close as the sector nearly inversed its early gain. Micron (MU 201.37, -24.55, -10.87%) and Advanced Micro Devices (AMD 206.02, -17.53, -7.84%) were among the names (along with NVIDIA) to push the PHLX Semiconductor Index 4.8% lower, while Oracle (ORCL 210.69, -14.84, -6.58%) and Palantir Technologies (PLTR 155.74, -9.68, -5.85%) also faced outsized losses.
The industrials (-1.7%), consumer discretionary (-1.7%), materials (-1.6%), and communication services (-1.1%) sectors also faced considerable losses.
Only the consumer staples sector (+1.1%) closed with a gain today. The sector was boosted from the open by Walmart (WMT 107.11, +6.50, +6.46%) after a solid beat-and-raise earnings report, while the defensive nature of the sector kept it largely resilient to the broader market pullback.
Outside of the S&P 500, the Russell 2000 (-1.9%) and S&P Mid Cap 400 (-1.6%) faced losses similar to that of their larger-cap counterparts.
Today's batch of economic data painted a mixed picture of the labor market. The September Employment Report saw a 119,000 increase in payrolls, but also included a downward revision to -4,000 for August. There was also an uptick in the unemployment rate to 4.4% from 4.3%, so the overall report was not as strong as the headline reading suggested. This will be the final jobs report ahead of the December FOMC meeting since the Bureau of Labor Statistics will not release the November report until December 16.
All told, today's data facilitated a modest increase in expectations for a December rate cut, though it still remains an unlikely occurrence. The CME FedWatch tool now assigns a 39.6% probability to a 25-basis point rate cut at the December FOMC meeting, up from 30.1% yesterday.
Today's trade ultimately gives credence to concerns that the most recent run to record highs was too reliant on mega-cap leadership and the promise of an additional easing from the Fed. NVIDIA's inability to sustain gains after a blowout earnings report shows that the market's sentiment around the AI trade is still skewed to the downside, keeping the major averages from holding above the critical 50-day moving average level.
U.S. Treasuries climbed on Thursday, recovering their slim midweek losses. The 2-year note yield settled down four basis points to 3.56%, and the 10-year note yield settled down three basis points to 4.11%.
- Nasdaq Composite: +14.3% YTD
- S&P 500: +11.2% YTD
- DJIA: +7.5% YTD
- Russell 2000: +3.4% YTD
- S&P Mid Cap 400: -0.4% YTD
Reviewing today's data:
- The September employment report, which is certainly a lagging indicator this time, suggested the labor market was not falling apart in September. In fact, nonfarm payroll gains accelerated to 119,000 after declining by 4,000 in August.
- This wasn't an abjectly strong report, nor was it an abjectly weak report. We wouldn't call it "just right" either, not with the uptick in the unemployment rate and the stalling out of average weekly hours worked, but the key takeaway is that this report wouldn't be enough to convince the more hawkish-minded Fed officials to cut rates in December.
- Initial jobless claims for the week ending November 15 decreased by 8,000 to a lowly 220,000. Continuing jobless claims for the week ending November 8 increased by 28,000 to a not-so-lowly 1.974 million, which is the highest since November 6, 2021.
- The key takeaway from the report is that it corroborates the low firing, low hiring narrative hanging over the labor market.
- Existing home sales increased 1.2% month-over-month in October to a seasonally adjusted annual rate of 4.10 million (Briefing.com consensus 4.08 million) from a downwardly revised 4.05 million (from 4.06 million) in September. Sales were up 1.7% on a year-over-year basis.
- The key takeaway from the report is that home sales in October were aided by lower mortgage rates, yet limited inventory in some regions, combined with high prices in others, got in the way of stronger selling activity.
- November Philadelphia Fed Index -1.7 vs. 2.0 Briefing.com consensus; prior -12.8
Tech losses keep major averages pinned near session lows
20-Nov-25 15:35 ET
Dow -243.27 at 45895.29, Nasdaq -371.59 at 22192.66, S&P -73.41 at 6568.74
[BRIEFING.COM] The major averages trade in a steady range near session lows as the market enters the final half hour of the session.
The information technology sector (-2.1%) widens its loss for the day past 2.0%. NVIDIA's (NVDA 182.43, -4.09, -2.19%) turnaround is the story of the day, but it is far from the worst performer in the sector. That title belongs to Micron (MU 202.27, -23.65, -10.47%), while Advanced Micro Devices (AMD 209.32, -14.22, -6.36%), Oracle (ORCL 213.95, -11.58, -5.13%), and Palantir Technologies (PLTR 157.11, -8.31, -5.02%) also face significant losses.
Major averages drifting at session lows
20-Nov-25 15:05 ET
Dow -199.23 at 45939.33, Nasdaq -340.34 at 22223.91, S&P -65.24 at 6576.91
[BRIEFING.COM] It has been a steady retreat to session lows for the S&P 500 (-0.9%), Nasdaq Composite (-1.4%), and DJIA (-0.5%) this afternoon.
The bustle of this morning's reaction to NVIDIA's (NVDA 183.02, -3.50, -1.88%) earnings report and the subsequent downturn into negative territory has faded into an uneventful afternoon that sees the broader market mostly lower, with little sign of a turnaround.
The CBOE Volatility Index, which was down more than 14% this morning, is now up 8.5% to 25.68.
Meanwhile, U.S. Treasuries have padded their gains alongside the reversal in stocks. The 2-year note yield is down four basis points to 3.56%, and the 10-year note yield is down three basis points to 4.10%.
S&P 500 slides nearly 1%; Jacobs, Micron, Robinhood drag, Regeneron surges on FDA nod for Eylea HD
20-Nov-25 14:30 ET
Dow -186.37 at 45952.19, Nasdaq -304.36 at 22259.89, S&P -65.25 at 6576.90
[BRIEFING.COM] The S&P 500 (-0.98%) is in second place on Thursday afternoon, down about 65 points.
Briefly, S&P 500 constituents Jacobs Solutions (J 129.25, -15.80, -10.89%), Robinhood Markets (HOOD 108.28, -9.88, -8.36%), and Micron (MU 204.97, -20.95, -9.27%) pepper the bottom of the standings. J falls due in part to its FY26 guidance coming in only modestly above expectations, with a low-end EPS miss and flat margin outlook, disappointing investors despite a small Q4 beat, while MU falls as SK Hynix (HXSCL) plans a big 2026 ramp in advanced DRAM output, stoking worries about future oversupply and pricing pressure in the memory market.
Meanwhile, Regeneron Pharma (REGN 741.27, +39.40, +5.61%) is among today's top performers after the FDA unexpectedly approved Eylea HD for RVO and monthly dosing, easing manufacturing-related regulatory fears and expanding the drug's market reach, which analysts say strengthens its position versus Vabysmo and supports a stronger growth outlook.
Gold slips on firmer dollar, higher-for-longer Fed expectations amid Nasdaq selloff
20-Nov-25 14:00 ET
Dow -372.20 at 45766.36, Nasdaq -377.77 at 22186.48, S&P -81.91 at 6560.24
[BRIEFING.COM] The tech-heavy Nasdaq Composite (-1.67%) is today's worst-performing major average with about two hours to go on Thursday.
Gold futures settled $22.80 lower (-0.6%) at $4,060.00/oz, as a stronger dollar and reduced expectations for a December Fed rate cut pressured non-yielding assets. Traders pointed to cautious Fed minutes and the upcoming delayed U.S. jobs report as reinforcing higher-for-longer rate sentiment, which weighed on the yellow metal.
Meanwhile, the U.S. Dollar Index is up less than +0.1% to $100.20.
Abott Labs intensifies cancer diagnostics push with $21 bln acquisition of Exact Sciences (ABT)
Abbott Labs (ABT) announced its acquisition of Exact Sciences (EXAS) for $105/share in cash, representing a 56% premium over the unaffected stock price from Tuesday (Bloomberg reported on a possible deal yesterday), and a $21 bln equity value, or about 5.7x next year's sales. This deal marks ABT's entry into the cancer diagnostics market, leveraging EXAS’s leading products like Cologuard and Oncotype DX, which have shown strong growth, including a 22% rise in screening revenue in EXAS's recent Q3 results.
- Strategically, the deal doubles ABT’s diagnostics total addressable market (TAM) from $60 bln to over $120 bln, positioning it for leadership in personalized, preventative cancer diagnostics.
- EXAS brings a strong product portfolio, scale, innovation culture, and a rich pipeline across cancer screening, therapy selection, and monitoring.
- ABT’s diagnostics growth has faced headwinds from declining COVID-19 testing, with Q3 organic Diagnostics revenue down nearly 8% and COVID-19 testing sales plunging 74%.
- Post-acquisition, ABT’s total diagnostics sales will exceed $12 bln annually, with the deal expected to add 50 bps to total sales growth and 300 bps to diagnostics segment growth.
- The acquisition is expected to be dilutive to adjusted EPS in the first two years (estimated 0.20 in 2026, 0.16 in 2027) but accretive thereafter.
- ABT expects at least $100 mln in annual pre-tax synergies by 2028 to help finance the transaction.
- Gross margins are projected to expand by approximately 100 bps company-wide and 700 bps within diagnostics.
- ABT’s disciplined capital strategy maintains dividend growth and plans to reduce debt over time after the acquisition.
Briefing.com Analyst Insight:
ABT’s acquisition of EXAS strategically rejuvenates its diagnostics growth with a high-potential entry into cancer diagnostics. Despite the premium valuation, favorable growth and margin accretion, along with meaningful synergies and a powerful product pipeline, support a compelling long-term outlook. Execution of integration and expansion into international markets will be pivotal in maximizing the acquisition’s value and positioning ABT as a diversified leader in next-generation diagnostics.
Walmart’s Beat-And-Raise Q3 Fueled By Value, Convenience and eCommerce Momentum (WMT)
Walmart (WMT) delivered a beat-and-raise Q3 (Oct) report this morning, as its everyday-low-price offering continues to resonate across all income cohorts. EPS topped expectations, a nice bounce back after its rare miss in Q2, while revenue increased 5.8% yr/yr to $179.5 bln. The company also raised FY26 guidance again, now expecting EPS of $2.58-2.63 (from $2.52-2.62 prior) with sales up 4.8-5.1% in constant currency (from 3.75-4.75% prior).
- Walmart U.S. continues to perform well with comp sales (ex fuel) up 4.5%, holding steady vs prior quarters (+4.6% in Q2, +4.5% in Q1, +4.6% in Q4). Management noted comps were solid in each month of the quarter, with transactions up 1.8% and average ticket up 2.7%. eCommerce growth of 28% contributed about 440 bps to comps.
- For Sam's Club, comp sales increased 3.8%, though the trend has moderated (+5.9% in Q2, +6.7% in Q1, +6.8% in Q4). Comps were driven by transactions of +3.9% with average ticket -0.1%, and broad-based strength across both grocery and general merchandise.
- Walmart International led growth this quarter, with sales up 11.4% in constant currency, driven by Flipkart, China, and Walmex. Transaction counts and unit volumes were up across markets, and eCommerce for International grew 26%.
- eCommerce and advertising were standout contributors: globally, eCommerce grew 27% with each segment posting 20%+ growth, while global advertising revenue increased 53% and membership income rose 17%.
- It continues to lean into AI and automation, including its "Sparky" digital agent and agentic AI use cases, as it builds a more personalized, multimodal omnichannel experience that can increasingly rival tech-heavy peer Amazon (AMZN).
- Notably, gross margin expanded slightly despite tariff and high rollbacks. Management said tariff impacts have been less than initially expected, and is managing cost of goods, mix, and automation so it can maintain its active rollbacks, while still growing operating income faster than sales.
- Looking ahead, management expects consumers to continue gravitating to Walmart for value, with strength across income cohorts and solid back-to-school and Halloween trends supporting confidence into the holiday season.
Briefing.com Analyst Insight
This was a strong report from Walmart, and as the largest retailer, it offers an important read-through on consumer behavior. Its results show that value remains paramount, but not at the expense of convenience, as customers across income levels continue to trade into Walmart for both price and faster delivery options. Notably, while grocery performance remains solid, Walmart also called out improving trends in discretionary categories like fashion and home, which contrasts with Target (TGT), where discretionary softness was more pronounced. Additionally, robust eCommerce, a rapidly scaling advertising and membership profit stream, and the pending move of its listing to Nasdaq all underscore Walmart's increasing tilt toward a tech-enabled retail model alongside Amazon. Overall, the strong results, raised guidance, and consistent execution across both value and convenience are lifting shares today, with the stock now nearing its all-time high.
NVIDIA Shocks the System: Q3 Results Prove AI Demand Is Still Compute-ing Higher (NVDA)
NVIDIA (NVDA +3%) is higher today after delivering a robust Q3 (Oct) beat-and-raise, easing concerns about a slowdown in AI infrastructure spending. Notably, the quarter showed strength despite negligible H20 sales and the company's Q4 (Jan) revenue guidance excludes all Data Center compute revenue from China—yet still came in far ahead of expectations.
Founder/CEO Jensen Huang was especially bullish on the call, saying Blackwell sales are "off the charts and cloud GPUs are sold out." He emphasized that compute demand across both training and inference continues to accelerate exponentially, adding that we've entered a "virtuous cycle of AI." The ecosystem is expanding rapidly, with more foundation model developers, more AI startups, and broader global adoption.
Key Highlights
- Data Center revenue: A record $51.2 bln, up 25% qtr/qtr (vs +5% sequential growth in Q2) and 66% yr/yr, slightly above consensus.
- Compute revenue +56% yr/yr on the GB300 ramp; networking revenue more than doubled.
- Hyperscalers are shifting search, recommendation engines, and content understanding from classical ML to GenAI.
- Blackwell momentum: GB300 has overtaken GB200 and now represents roughly two-thirds of total Blackwell revenue. Transition to GB300 has been seamless, with production shipments to major cloud providers and hyperscalers.
- H20 sales: Minimal at ~$50 mln, as geopolitical issues and rising competition limited China-related purchase orders.
- Gaming & AI PC: Revenue of $4.3 bln, up 30% yr/yr and 1% qtr/qtr, driven by strong Blackwell demand; channel inventories remain healthy heading into the holidays.
- Other: Professional Visualization segment revenue grew 56% yr/yr to $760 mln while Automotive segment revenue grew 32% yr/yr to $592 mln, helped by NVIDIA's expanding self-driving offerings and a new partnership with Uber to scale the world's largest Level 4--ready autonomous fleet.
Briefing.com Analyst Insight
With AI infrastructure stocks recently correcting on valuation worries, NVIDIA's Q3 results and bullish Q4 guidance provide meaningful relief. Importantly, the outlook looks strong even with zero China compute revenue assumed, which underscores the depth of global demand for Blackwell and GB300.
CEO Jensen Huang's enthusiastic tone reinforces NVIDIA's long-term narrative: the AI buildout is still in the early innings, and demand continues compounding across virtually every vertical. That said, NVDA's premium valuation remains a point of debate, especially as investors consider sustainability beyond the current upgrade cycle.
Bottom line: NVIDIA's results and commentary reassert its leadership in the AI ecosystem, and the Q4 guide meaningfully eases concerns about spending deceleration. Long-term visibility remains exceptionally strong.
Palo Alto Networks' Q1 results impress with strong NGS ARR growth, but guidance disappoints (PANW)
Palo Alto Networks (PANW) edged past 1Q26 EPS and revenue expectations, fueled by robust growth across key metrics and strong platformization momentum. Despite the robust Q1 results, investors' reaction has been muted, likely due to PANW’s in-line Q2 and FY26 guidance, following last quarter’s strong upside guidance.
- Next-Generation (NGS) ARR grew 29% yr/yr to $5.9 bln, led by software firewalls, SASE, and XSIAM platform wins.
- Remaining Performance Obligations (RPO) increased 24% yr/yr to $15.5 bln, supported by steady customer contract duration and strong platform adoption.
- Q2 and FY26 guidance was in line with expectations, following last quarter’s upside, leading to muted investor reaction.
- NGS ARR target was raised to $20 bln by FY30, driven by platform growth and recent acquisitions.
- The company is progressing toward closing its acquisition of CyberArk, a leader in identity security, anticipated in 3Q26, which complements PANW’s vision of making identity the next major platform area.
- Separately, PANW announced the $3.35 bln acquisition of Chronosphere, a cloud observability platform focused on cost-effective, scalable real-time observability at AI scale.
- Both acquisitions align with PANW’s aim to expand its total addressable market and enhance its platform through adjacent categories of identity and observability, which are gaining importance in the AI security landscape.
Briefing.com Analyst Insight:
PANW delivered a strong 1Q26 performance with significant growth in next-generation security ARR and RPO, demonstrating robust platformization momentum. However, the market’s muted reaction to the cautious Q2 and FY26 guidance suggests investors may have expected continued upside following last quarter’s strong outlook. The strategic acquisitions of CyberArk and Chronosphere position PANW well for the AI-driven future of cybersecurity and observability, potentially transforming its TAM and reinforcing its platform leadership. Execution on these integration plans and continued strength in core growth areas will be key to sustaining investor confidence and validating the raised FY30 ARR target of $20 bln. Given the long-term growth trajectory and strategic investments, PANW remains a key player to watch in cybersecurity’s AI transformation era.
TJX Beat-and-Raise Q3 Highlights Strength of Value Proposition Amid Macro Headwinds (TJX)
TJX (TJX) is relatively flat after reporting its Q3 (Oct) results this morning. The company's off-price model continues to resonate with consumers and perform well despite macro uncertainty and a competitive retail environment. It beat expectations on the top and bottom line, marking its fifteenth consecutive EPS beat, while revenue increased 7.5% yr/yr to $15.18 bln, its strongest growth in seven quarters. TJX also raised FY26 EPS and revenue guidance above expectations to $4.63-4.66 and $59.7-59.9 bln, respectively, with comps now expected to be +4% (from +3%).
- Comp sales accelerated to +5%, above prior guidance, driven by a combination of higher traffic and bigger baskets, with both apparel and home categories posting strong increases.
- TJX Canada led with comps +8% (+9% in Q2), followed by Marmaxx +6% (+3% in Q2), HomeGoods +5% (+5% in Q2), and International +3% (+5% in Q2), with broad-based strength across income demographics reflecting the appeal of its value offerings.
- Importantly, its mitigation efforts fully offset tariff pressure, helping boost pre-tax margin 40 bps to 12.7% and expand gross margin 100 bps yr/yr, also aided by stronger merchandise margin and lower freight costs.
- The holiday outlook was notably positive, with TJX positioning its banners as top destinations for value-focused shoppers, supported by strong gift availability, fresh assortments flowing multiple times per week, and digital-led holiday marketing campaigns.
Briefing.com Analyst Insight
TJX continues to execute at a high level, and its off-price value proposition is clearly resonating with consumers in a still-challenging macro environment. It has consistently beat expectations on the bottom line, with healthy traffic, accelerating comps, and continued margin expansion underscoring the strength of its model. The muted reaction likely reflects the stock's proximity to all-time highs, TJX isn't an ultra-growth story, but it remains a reliable operator in discretionary retail, with value-driven traffic supporting steady share gains. Management was also bullish on the upcoming holiday season, citing strong gift availability and frequent new assortments, and TJX appears well positioned to capture demand. Longer term, its global footprint, including its joint venture in Mexico, investment in the Middle East, and planned entry into Spain in spring 2026, provides additional runway for growth.
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