Midday Fly By: SoftBank exits Nvidia, CoreWeave cuts guidance

The major averages were mixed near noon, with the S&P 500 and Nasdaq in negative territory amid declines in tech, notably AI-linked names. While the markets rose on Monday on signs the U.S. government shutdown would end soon, the rally seems tempered as the shutdown has delayed key economic data, leaving the Federal Reserve with a less clear reading on the economy.

Meanwhile, ADP revealed that private sector job creation fell over 11,000 on average per week for the four weeks ending October 25, standing in contrast to the gains the firm reported last week.

Looking to commodities, gold was mostly unchanged near noon, still hovering above $4,100. Oil prices are rising ahead of the API crude numbers set for release later this afternoon.

Get caught up quickly on the top news and calls moving stocks with these five Top Five lists.

1. STOCK NEWS:

• SoftBank (SFTBY) sold its entire Nvidia (NVDA) stake for $5.8B in October
• CoreWeave (CRWV) reported better-than-expected Q3 results but cut its FY25 revenue guidance
• Paramount Skydance (PSKY) reported downbeat Q3 earnings and revenue and provided guidance for Q4 and FY26
• Parker-Hannifin (PH) agreed to acquire Filtration Group Corporation for $9.25B
• Intel (INTC) chief technology and AI officer Sachin Katti is leaving the company to join Microsoft-backed (MSFT) OpenAI

2. WALL STREET CALLS:

• BMO upgraded Instacart (CART) to Outperform, citing attractive valuation
• JPMorgan upgraded ViaSat (VSAT) on higher likelihood of separation
• Bullish (BLSH) upgraded to Buy at Clear Street
• CBRE downgraded DraftKings (DKNG) to Hold on prediction market risk
• JPMorgan downgraded CoreWeave (CRWV) on supply chain pressures

3. AROUND THE WEB:

• Coinbase (COIN) is launching a platform that lets individual investors buy digital tokens before they are listed on its exchange, WSJ reports
• A settlement between Visa (V) and MasterCard (MA) and merchants could bring about tiered pricing based on credit card type, WSJ says
• Shell (SHEL) is challenging its defeat in an arbitration case against Venture Global (VG) in the New York Supreme Court, weeks after rival BP (BP) won a similar $1B-plus arbitration, Reuters reports
• Goldman Sachs (GS) is set to earn a $110M fee for advising Electronic Arts (EA) on a $55B take-private deal, FT says
• Meta’s (META) chief artificial intelligence scientist Yann LeCun intends to leave the company to launch his own start-up, FT reports

4. MOVERS:

• enGene (ENGN) increases in New York after reporting preliminary data from the cohort of its Phase 2 LEGEND trial of detalimogene shows a complete response rate of 62% at 6 months
• Surmodics (SRDX) gains after the District Court of the Northern District of Illinois denied a request by the U.S. Federal Trade Commission for a preliminary injunction
• PubMatic (PUBM) and Energy Vault (NRGV) higher after reporting quarterly results
• Century Aluminum (CENX) falls after announcing a 9M share offering
• Gemini (GEMI) and TeraWulf (WULF) lower after reporting quarterly results

5. EARNINGS/GUIDANCE:

• RealReal (REAL) reported Q3 results and raised its guidance for FY25, with CEO Rati Levesque commenting, “We delivered another quarter of accelerating growth and expanded margins”
• Rigetti Computing (RGTI) reported Q3 results, with EPS beating consensus
• Brainsway (BWAY) reported Q3 results and narrowed its guidance for FY25
• Endava (DAVA) reported Q1 results and cut its guidance for FY26, with CEO John Cotterell commenting, “The first quarter results were lower than guided primarily due to an unexpected credit made to a client… as well as certain non large strategic pipeline opportunities that did not convert into revenue”
• Sony (SONY) reported Q2 results, with EPS and revenue higher year-over-year

INDEXES:

Near midday, the Dow was up 0.61%, or 288.15, to 47,656.78, the Nasdaq was down 0.75%, or 175.56, to 23,351.62, and the S&P 500 was down 0.21%, or 14.21, to 6,818.22.