Overnight U.S. Stocks | The Three Major Indexes Closed Lower, Brent Crude Oil Rose Over 3%, Tesla (TSLA.US) and Google (GOOGL.US) Both Fell After Hours

According to Zhihui Finance APP, on Wednesday, rising oil prices put pressure on US stocks, resulting in declines across the three major indices. The US carried out its 11th consecutive strike against Iran, following statements from Secretary of State Rubio, who said Iran was "not serious about negotiations." Tesla (TSLA.US) and Google (GOOG.US) released their latest earnings reports after the close, with both stocks down 4% and 3% respectively in after-hours trading.

[US Stocks] At market close, the Dow Jones Industrial Average fell 6.06 points, or 0.01%, to 52,218.58; the Nasdaq dropped 146.30 points, or 0.57%, to 25,690.90; and the S&P 500 Index declined 10.24 points, or 0.14%, to 7,498.96. SpaceX (SPCX.US) sank 6.7%, marking a new closing low. Nvidia (NVDA.US) rose 2.3%, SK Hynix (SKHY.US) slipped 3.8%, Super Micro Computer (SMCI.US) jumped nearly 20%, and Dell (DELL.US) climbed 9%. The Nasdaq Golden Dragon China Index closed down 1.8%.

[European Stocks] The German DAX30 Index rose 167.79 points, or 0.67%, to 25,160.16; the UK FTSE 100 Index gained 127.96 points, or 1.21%, to 10,713.87; the French CAC40 Index advanced 74.75 points, or 0.89%, to 8,437.89; the EURO STOXX 50 Index rose 32.62 points, or 0.52%, to 6,318.25; Spain’s IBEX35 Index increased by 190.82 points, or 0.98%, to 19,569.62; and Italy’s FTSE MIB Index gained 499.91 points, or 0.96%, to 52,785.00.

[Asian Stock Markets] The Nikkei 225 Index fell 0.18%, while the Korea Composite Stock Price Index rose 0.74%.

[US Dollar Index] The US Dollar Index, measuring the dollar against six major currencies, fell 0.05% on the day, closing at 101.125 in late forex trading. At the New York forex close, 1 euro exchanged at 1.1411 US dollars, up from 1.1403 from the previous session; 1 British pound traded at 1.3373 US dollars, below the prior day’s 1.3381; 1 US dollar traded at 163.13 Japanese yen, lower than the previous day’s 163.18; 1 US dollar exchanged for 0.8146 Swiss francs, up from 0.8129; 1 US dollar traded for 1.4085 Canadian dollars, lower than 1.4107; and 1 US dollar was at 9.7014 Swedish krona, down from 9.7035.

[Cryptocurrencies] Bitcoin hovered around $66,000; Ethereum rose 0.78% to $1,935.74.

[Crude Oil] The price of light crude oil futures for September delivery on the New York Mercantile Exchange increased by $2.49 to close at $86.83 per barrel, a rise of 2.95%. September Brent crude oil futures in London rose $3.06, closing at $94.07 per barrel, up 3.36%.

[Precious Metals] Spot gold was priced at $4,129.93; spot silver at $59.764.

[Macro News]

Houthis claim attacks on two Saudi oil tankers, warn of larger strikes inside Saudi territory. On the 23rd, Yemen’s Houthis announced that, in response to what they described as a Saudi blockade of Yemen and in accordance with the “blockade for blockade” principle, they carried out military strikes on two Saudi oil tankers. The statement identified the targeted vessels as “ENCELIA” and “LAYLA,” attacked for violating a previous Houthi ban on Red Sea navigation. The Houthis used ballistic missiles, cruise missiles, and drones, causing fires on both ships. The statement also claimed that the Houthis forced about 10 other ships to turn back. The Houthis pledged to continue maritime military operations against Saudi Arabia and implement measures of “blockade for blockade.” They warned of larger-scale strikes against Saudi domestic targets if new military actions against Yemen were undertaken by Saudi Arabia.

Trump: US federal government expects “shutdown” in September. On July 22, US President Trump stated in a speech in Georgia that, due to disagreements between Republicans and Democrats on spending priorities, a federal government “shutdown” is anticipated in September. On July 21, the Republican-controlled US House of Representatives passed a short-term funding bill to keep federal agencies operating until December 4, aiming to avoid a “shutdown” ahead of the midterm elections in November. This temporary spending bill is also known as a “continuing resolution.” After passage, the bill will proceed to the Senate for consideration. Senate Republican leaders are currently negotiating with Democrats and may propose their own short-term funding plan. If Congress fails to pass appropriations in time, most federal agencies and programs will run out of funding at midnight on September 30, marking the end of the current fiscal year.

OpenAI raises cloud spending forecast to $700 billion, invests $30 billion in data centers. According to reports, OpenAI is expanding its data centers and increasing its budget in this sector. Sources said OpenAI has raised its projected computing power expenditure by 2030 from around $600 billion earlier this year to approximately $750 billion. This increase reflects new agreements between OpenAI and cloud service providers to secure large-scale compute power for developing and operating AI models. On Wednesday, OpenAI announced a $20 billion investment to launch the “Camellia” data center project in Effingham County, Georgia. Sachin Katti, VP of Compute Strategy at OpenAI, said the company has contracted with Georgia Power for 3.2 GW of electricity supply between 2028 and 2032, with the project cost potentially exceeding $30 billion, making it among OpenAI’s largest data centers. Sources said OpenAI hired Brent Mayo—one of Musk’s chief data center project architects—to help keep the project on track.

Redfin: AI data centers now a concern among potential homebuyers. Real estate brokerage Redfin stated that over half (53%) of US residents oppose the building of AI data centers in their communities, while about one-third (34%) support them. Controversy surrounds the centers largely due to their reported massive water and power consumption, which could increase energy costs and raise environmental concerns. Their noise and industrial aesthetic can also disrupt communities. For some, AI data centers embody broader AI-related worries: 58% of US residents believe AI advancement will eliminate jobs and make homeownership more difficult. Real estate agents note that concerns over nearby data centers are increasingly common among homebuyers, with older generations more likely to oppose centers in their area.

[Individual Stock News]

Tesla Q2 revenue beats expectations, but profits miss forecast. Tesla (TSLA.US) reported Q2 2026 revenue of $28.2 billion, surpassing the expected $25.706 billion. However, its second-quarter profit missed Wall Street forecasts—a setback for the EV maker. Adjusted earnings per share came in at $0.33, below the analyst consensus of $0.51. The company also reported negative free cash flow of $1.09 billion. Elon Musk previously warned that total expenditures this year would exceed $25 billion as Tesla aims to ramp up production of cars, batteries, and robots across its six factories to realize its future vision. The impact of these investments is reflected in the company’s financials, and investors are eager for more details on capital deployment.

Amazon cuts jobs in General Artificial Intelligence division. On Wednesday, Amazon (AMZN.US) implemented layoffs in its General Artificial Intelligence (AGI) division, representing the latest in a series of small-scale reductions since a large layoff in January. “We have been building large AI models for many years, and this remains one of our most important ongoing initiatives,” an Amazon spokesperson stated. “We are focusing on projects that matter most for our customers in order to accelerate progress in key areas. This focus requires difficult decisions, including eliminating some roles within the AGI organization.”

Apple plans comprehensive Mac lineup upgrade to meet AI needs, sources say. Sources say Apple (AAPL.US) is preparing a sweeping overhaul of its Mac product line to capitalize on soaring demand for high-performance laptops and desktops driven by the AI boom. The company will reportedly roll out new versions of all its current Mac models this fall and next year, including highly anticipated desktop computers, several laptops, and a redesigned MacBook Pro. The refresh will start with an updated 14-inch MacBook Pro, which will be among the first Macs to feature the new M6 chip and Apple’s first new iMac in two years.

Alphabet’s Q2 capital expenditures double to $44.9 billion. Google parent company Alphabet (GOOG.US) doubled its second-quarter capital spending, accelerating investments in AI infrastructure, while revenue and profits easily beat Wall Street expectations. The company’s Q2 fixed assets and equipment spending reached $44.9 billion, up from $22.4 billion a year earlier, reflecting its ongoing focus on AI infrastructure and expanding global computing resources. The company also raised $49.6 billion via equity issuance, with proceeds earmarked for capital and other corporate uses. Alphabet reported Q2 earnings per share of $9.11, well above analysts’ $2.88 forecast; revenue grew 24% year-over-year to $119.8 billion, beating the consensus forecast of $116.52 billion. Operating income rose 30%, with operating margins up to 34%. The strong results were led by Google Cloud, whose revenue surged 82% to $24.77 billion.

[Major Rating Updates]

Deutsche Bank: Raises 3M (MMM.US) price target from $175 to $192; raises General Motors (GM.US) price target from $90 to $100.