Public Markets 3 Hours

Last updated: June 25, 2026, 8:30 AM ET

Technology & AI

US stock futures jumped on AI optimism as Micron Technology Inc. forecast quarterly sales that crushed estimates, easing fears about artificial intelligence chip demand. This sentiment also benefited BlackBerry, which lifted its fiscal 2027 outlook on strong embedded-software growth and expanding AI opportunities. However, the question of broader AI adoption persists, with organizational barriers cited as a primary reason more companies aren't embracing the technology. Meanwhile, the sheer compute power required for AI is being questioned, with some suggesting that scale alone cannot solve AI's fundamental accuracy problems.

Mergers & Acquisitions

German drugmaker Merck KGaA is acquiring US medical tools maker Bio-Techne for $11 billion, a deal representing the German group's largest acquisition in over a decade. The cash offer of $73 per share for Bio-Techne includes a 24% premium over its closing price. In a separate bidding war, Slovenia's NLB is pushing a 40% premium in its pursuit of Addiko Bank AG.

Markets & Investment Strategy

Concerns over the artificial intelligence trade are prompting some strategists to suggest a rotation into defensive sectors if the current rally falters. Sebastian Raedler, head of European equity strategy at Bank of America, believes defensives are poised for a rebound should the AI boom decelerate. Meanwhile, private credit funds are seeing increased interest from advisers, with a trade that involves cashing out of one fund to reinvest in a discounted vehicle appearing attractive on paper. The debt market is scrutinizing SpaceX's bond sale, with some viewing it as a signal of "bubble territory" in broader markets.

Energy & Commodities

Oil prices retreated to prewar levels as supply previously trapped in the Persian Gulf began flowing again, easing geopolitical tensions. This price drop has prompted some economists to scale back expectations for European Central Bank interest-rate hikes. Iraq has also walked back a threat to leave OPEC, clarifying that it is not considering exiting the cartel. Robots are also beginning to appear in the oil patch, signaling a potential shift in operational strategies within the energy sector.

Corporate Earnings

Winnebago Industries has cut its financial outlook due to declining sales, reporting a fiscal third-quarter profit of $14.5 million, down from $17.6 million in the prior year. Darden Restaurants, however, posted higher profit and sales in its fiscal fourth quarter, with its Long Horn Steakhouse brand leading the performance. McCormick also reported increased sales in its fiscal second quarter as it continues its combination with Unilever's food business.

Financial Regulation & Policy

Fannie Mae and Freddie Mac are increasing their exposure to interest-rate risk in their investment portfolios, reaching levels that previously caused significant market jitters. In Switzerland, the International Monetary Fund has offered wholehearted backing for UBS's capital plan, supporting the government's requirement for the bank to hold substantially more capital. The IMF also advised the Swiss National Bank to remain nimble regarding rate adjustments.

Global Investigations

Brazil's Federal Police and prosecutors have launched a second phase of their probe into the retailer Americanas SA, deepening an investigation into alleged accounting fraud.

Real Estate

Market gloom in England has reduced the number of homes facing a 'mansion tax', with estate agency data indicating that receipts would be nearly £30 million lower than initially projected.