This update was written automatically with AI from market data and news wire reports, and published without review by a person.
Key Takeaways
- Apple (AAPL) reported Q4 revenue of $114.48 billion, beating Wall Street estimates of $113.47 billion, driven by record iPhone sales and Services growth.
- The Nasdaq 100 (NDX) entered correction territory, falling 10% from its October peak as a massive semiconductor selloff wiped out over $2 trillion in market value.
- WTI Crude oil prices slumped over 4% to near $96.50, following signals of diplomatic progress between Washington and Tehran that eased fears of immediate military strikes.
- Anthropic investors are reportedly pushing for a $1.5 trillion valuation, a "cautious" step down from the previously expected $2 trillion ahead of its anticipated November IPO.
- Republican donors identified a "red wall" in the Senate, focusing resources on Alaska, Iowa, Maine, and Ohio as the party faces unexpected headwinds ahead of tomorrow's midterm elections.
Apple Delivers Record Q4 Results Under New Leadership
In the first earnings report under CEO John Ternus, Apple (AAPL) posted quarterly revenue of $114.48 billion, a 12% increase year-over-year. The tech giant reported diluted earnings per share (EPS) of $2.10, surpassing the consensus estimate of $2.00. While iPhone revenue reached a September quarter record of $57.58 billion, the company saw softer-than-expected performance in Greater China, where revenue of $17.54 billion missed the $18.75 billion forecast.
Despite the headline beat, Apple's hardware segments showed mixed results. Mac revenue of $10.79 billion came in well above estimates, but iPad and Wearables both fell short of Wall Street projections. The board declared a cash dividend of $0.27 per share, payable on November 16, as the company returned $28 billion to shareholders during the quarter.
Tech Stocks Face Correction as Chips Retreat
The broader market faced significant pressure as the Nasdaq 100 (NDX) officially entered a correction, dropping 10% from its recent October high. The decline was spearheaded by a 12% three-day slide in the semiconductor index, as investors grew wary of massive AI infrastructure spending. Companies like Nvidia (NVDA) and Advanced Micro Devices (AMD) have seen valuations reset as markets question the immediate profitability of generative AI investments.
While the tech-heavy indexes struggled, the S&P 500 (SPX) saw more resilient breadth, with a majority of its components advancing. Longer-dated U.S. Treasuries outperformed as investors sought safety amid the volatility and ahead of the high-stakes U.S. midterm elections.
Oil Markets Ease on Diplomatic Overtures
Energy markets saw a sharp reversal as WTI Crude settled near $96.50 a barrel, down significantly on hopes of a diplomatic breakthrough in the Middle East. Iranian President Masoud Pezeshkian indicated his government has "greater authority" to pursue peace talks, while President Trump expressed optimism regarding a potential agreement. These developments have temporarily eroded the "war premium" that had kept prices elevated throughout October.
However, tensions remain high following reports from the Fars news agency of blasts heard off the coast of Bandar Lengeh in southern Iran. While the cause of the explosions remains unconfirmed, the proximity to the Strait of Hormuz continues to keep traders on alert for potential supply disruptions.
Political and AI Landscape Shifts Before Midterms
In the private markets, Anthropic is facing valuation scrutiny. According to reports, investors are now targeting a valuation of $1.5 trillion, down from earlier $2 trillion hopes, following disclosures of an $80 billion net loss in the first half of 2026. Despite the paper loss, the company reported revenue of $16.3 billion for the same period, representing a 15-fold increase year-over-year.
On the political front, a memo circulating among Republican donors has outlined a defensive "red wall" strategy for the Senate. The group is prioritizing funding for incumbents in Alaska, Iowa, Maine, and Ohio to protect the party's slim majority. President Trump is scheduled to appear on Fox News tonight at 9 p.m. ET for a final pitch to voters before polls open nationwide tomorrow.
Automated market updates written with AI from market data and news wire reports, published without human review.