Today’s macro releases gave investors another reason to buy. Indices are gaining, with the US500 at record highs, up 0.65% to 6,575 points. The US100 is up 0.50% and testing the 24,000-point level, while the small-cap index is gaining 1.00% to 2,405 points.
The macro data came in mixed. If not for the release of weekly jobless claims, we would likely have seen slight declines in the indices. After yesterday’s much weaker PPI figures, investors partly expected another positive surprise from today’s CPI print. That did not happen, as the August report came in line with expectations. However, at the same time, weekly jobless claims rose to their highest level since October 2021. This marks another set of disappointing labor market data. Combined with the Fed’s August pivot in its Jackson Hole speech, markets have now rightly begun to price in three full cuts at each meeting through year-end and another cut at the first meeting of 2026.
So far, CPI has not confirmed the risk of a deeper rebound due to elevated tariffs. Meanwhile, real interest rates in the U.S. remain among the highest compared to other G10 economies. For this reason, the Fed will focus more on the weakening labor market. This is precisely the scenario that drove indices to fresh gains today.
Companies are gaining across all sectors and market capitalizations. Source: xStation 5
US2000 (D1)
Small-cap stocks are the strongest gainers today. This sector has been under the most pressure in recent years due to the Fed’s restrictive monetary policy. Smaller companies are more leveraged than BigTech names in the US100 index. The prospect of a series of rate cuts is supporting US2000 performance. Interestingly, the market is currently not afraid of recession risk, which explains why weaker labor market data is met with a bullish reaction.
Stock news:
- Adobe (ADBE.US) – In focus ahead of Thursday’s FQ3 earnings; analysts expect ~10% Y/Y growth in both EPS and revenue. This week the company also launched AI agents to streamline client workflows.
- Kroger (KR.US) +0.31% – Gained after mixed earnings; identical-store sales ex-fuel rose 3.4% vs. 2.8% expected, led by pharmacy, e-commerce, and fresh food.
- Carrier (CARR.US) +1.02% – Gains despite warning of a 40% drop in residential HVAC demand; Q3 residential sales expected to fall ~30% Y/Y, creating a $500M revenue shortfall.
- Opendoor Technologies (OPEN.US) +52% – Soared after naming ex-Shopify COO Kaz Nejatian as CEO; co-founders returned to the board, with Rabois as chairman. Khosla Ventures and Eric Wu will invest $40M via private placement.
- Revolution Medicines (RVMD.US) +14.21% – Rose on strong Phase 1 trial data for daraxonrasib in pancreatic cancer, supporting a Phase 3 launch in Q4; second-line trial to finish enrollment by year-end.
- Centene (CNC.US) +12.30% – Gained after reaffirming FY2025 EPS guidance of ~$1.75 (vs. $1.62 est.) ahead of a healthcare summit presentation.
- Avidity Biosciences (RNA.US) -22.40% – Dropped after announcing a $500M stock offering to fund late-stage trials, commercial prep, and R&D.
Morning wrap (27.10.2025)
Daily Summary: CPI down, Markets Up
Procter & Gamble: After Earnings
"Mad Max" mode - Is Tesla in trouble?
The content of this report has been created by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, (KRS number 0000217580) and supervised by Polish Supervision Authority ( No. DDM-M-4021-57-1/2005). This material is a marketing communication within the meaning of Art. 24 (3) of Directive 2014/65/EU of the European Parliament and of the Council of 15 May 2014 on markets in financial instruments and amending Directive 2002/92/EC and Directive 2011/61/EU (MiFID II). Marketing communication is not an investment recommendation or information recommending or suggesting an investment strategy within the meaning of Regulation (EU) No 596/2014 of the European Parliament and of the Council of 16 April 2014 on market abuse (market abuse regulation) and repealing Directive 2003/6/EC of the European Parliament and of the Council and Commission Directives 2003/124/EC, 2003/125/EC and 2004/72/EC and Commission Delegated Regulation (EU) 2016/958 of 9 March 2016 supplementing Regulation (EU) No 596/2014 of the European Parliament and of the Council with regard to regulatory technical standards for the technical arrangements for objective presentation of investment recommendations or other information recommending or suggesting an investment strategy and for disclosure of particular interests or indications of conflicts of interest or any other advice, including in the area of investment advisory, within the meaning of the Trading in Financial Instruments Act of 29 July 2005 (i.e. Journal of Laws 2019, item 875, as amended). The marketing communication is prepared with the highest diligence, objectivity, presents the facts known to the author on the date of preparation and is devoid of any evaluation elements. The marketing communication is prepared without considering the client’s needs, his individual financial situation and does not present any investment strategy in any way. The marketing communication does not constitute an offer of sale, offering, subscription, invitation to purchase, advertisement or promotion of any financial instruments. XTB S.A. is not liable for any client’s actions or omissions, in particular for the acquisition or disposal of financial instruments, undertaken on the basis of the information contained in this marketing communication. In the event that the marketing communication contains any information about any results regarding the financial instruments indicated therein, these do not constitute any guarantee or forecast regarding the future results.
