MARKETS LIVE: Wall Street closes mixed as cooling inflation lifts Nasdaq

1:20pm: Apple entering smart home?

Apple Inc (NASDAQ:AAPL, XETRA:APC) (Apple Inc (NASDAQ:AAPL, XETRA:APC), Apple Inc (NASDAQ:AAPL, XETRA:APC)) plans to debut a Siri AI-powered smart-home hub in October, a push to challenge Amazon and Google’s dominance of the market, Bloomberg reported.

The main product is a roughly 6-inch display that can sit on a counter or mount on a wall. It is designed to recognize different household members by voice or face and automatically show personalized messages, calendars, contacts, notes and apps.

Apple sees the hub as a central controller for locks, thermostats, FaceTime, music, recipes and other connected devices, according to the report.

The company is also expected to unveil a new HomePod mini with faster hardware for Siri AI, the first refresh of the device since 2020. A new Apple TV set-top box with upgraded processors, the first since 2022, is also expected, along with a broader smart-home ecosystem built around HomeKit and Siri.

12:10pm: FTSE loses ground

The FTSE ended the day 31 points lower, at 10,606 for a 0.3% loss.

“The FTSE 100’s attempt to end the quarter on a high note faded as late-day selling in technology and energy majors dragged the index negative despite solid GDP figures,” noted Tickmill’s Patrick Munnelly.

“While upgraded growth data and gains across retail and utilities offered an initial buffer, broader macro caution and energy market volatility left the benchmark unable to hold onto its intraday advance.”

11:10am ET: ‘Goldilocks combination’

US economic data showed stronger-than-expected growth in the second quarter, with GDP revised up to a 2.2% annualized pace as consumer spending rose 3.8%.

Core PCE inflation eased to 3.0% year over year, while private payrolls increased by 90,000 in September, although a wider August trade deficit and slower income growth pointed to some risks ahead.

“Today’s data delivers a goldilocks combination: Q2 growth was stronger than expected consumer spending was more robust, the labor market rebounded sharply in September and the Fed’s preferred inflation gauge came in well below expectations,” said Chris Osmond, Chief Investment Officer for Fifth Third Wealth Advisors.

“The net effect is broadly supportive of risk assets and materially reduces the probability of an October rate hike, while keeping a Q4 hike on the table.”

10:00 am ET: Main indexes up

As indicated by the futures trend, Wall Street’s main indexes opened higher on Wednesday after softer-than-expected inflation data eased concerns that the Federal Reserve could raise interest rates as soon as next month.

The Dow Jones Industrial Average rose 74.9 points, or 0.15%, to 51,424.84 at the open, while the S&P 500 gained 18.1 points, or 0.24%, to 7,688.99 and the Nasdaq Composite climbed 95.3 points, or 0.36%, to 26,892.796.

The gains came as the US economy showed stronger-than-expected growth in the second quarter while inflation eased in August, giving investors fresh evidence of resilient economic activity alongside softer price pressures.

GDP expanded at an annual rate of 2.2% in the second quarter, up from the Commerce Department’s previous estimate of 1.5%, while the Federal Reserve’s preferred PCE inflation measure slowed to 3.4% in August from 3.7% in July.

The combination of firmer growth and cooling inflation prompted investors to scale back expectations of an October Federal Reserve rate increase, helping ease selling pressure in US government bonds.

The 10-year US Treasury yield fell 2.9 basis points to 5.23% on Wednesday after reaching its highest level since June 2007 a day earlier.

The softer inflation data also supported risk assets, with Bitcoin rising 0.49%, or $413.16, to $84,608.07 as Treasury yields fell, while the dollar remained firm against major currencies despite easing slightly earlier after the inflation figures.

Brent crude futures also moved higher, rising more than 2% to $98.61 a barrel, with the December contract gaining ground.

Among individual stocks, Micron Technology rose 0.67% to $1,072.18 in early trading ahead of its quarterly results due late Wednesday, with investors looking for evidence that strong demand for memory chips used in artificial intelligence is translating into higher earnings and stronger guidance.

Analysts expect Micron to benefit from the continued expansion of AI infrastructure, with attention focused on whether its results and outlook can exceed current market expectations.

Other technology stocks also advanced, with Intel rising 1.53% to $117.70 and Nvidia gaining 1.64% to $230.93.

Boeing shares rose 0.44% to $188.12 in early trading after the US Navy awarded the aerospace company a more than $20 billion contract to develop its next-generation fighter jet.

In London, the FTSE 100 weakened after earlier gains while the FTSE 250 remained firmly higher, suggesting the decline was concentrated among large-cap constituents rather than reflecting a broad deterioration in UK equities.

The FTSE 100 was down 20p, or 0.19%, at 10,616.49, while the FTSE 250 gained 163p, or 0.67%, to 24,537.98.

9:00 am ET: US futures turn around

US stock index futures turned higher on Wednesday morning about 30 minutes away from Wall Street opening, after trading mixed or lower earlier in the session, as cooler-than-expected PCE inflation eased concerns about an imminent Federal Reserve rate increase despite higher personal income and spending data.

S&P 500 futures are up 28p, or 0.36%, to 7,760, Dow futures up 167p, or 0.32%, to 51,869, and Nasdaq 100 futures up 109p, or 0.35%, to 30,721.75,

According to the third estimate released by the Bureau of Economic Analysis on Wednesday, the US economy grew at an annual rate of 2.2% in the second quarter of 2026,

Real GDP was revised up 0.7 percentage points from the second estimate, while first-quarter growth was revised to 2.5%.

The upward revision mainly reflected stronger investment, consumer spending and government spending.

There was more good news. US personal income increased by $66.6 billion, or 0.2%, in August, according to estimates released by the Bureau of Economic Analysis on Wednesday.

Disposable personal income rose by $68.6 billion, or 0.3%, while personal consumption expenditures increased by $190.8 billion, or 0.9%.

Personal outlays, which include personal consumption expenditures, interest payments and current transfer payments, rose by $190.7 billion in August.

At LSE, domestically focused mid-cap stocks are outperforming the large-cap index, while gains among miners and utilities are helping limit weakness elsewhere.

Late afternoon, the FTSE 100 was little changed, up 9p, or 0.09%, at 10,646.14, while the FTSE 250 gained 225p, or 0.92%, to 24,600.24, with miners and utilities among the leading blue-chip risers.

The strongest FTSE 100 risers are Antofagasta (+4.14%), Reckitt (+3.44%), SSE (+2.34%), Anglo American (+2.20%) and Rio Tinto (+2.15%), while Sage (-1.79%), BT (-1.76%) and LSEG (-1.74%) are among the biggest fallers.

Best of the brokers

UBS: Favours UK domestic banks within European overweight stance after BoE data showed corporate lending +9.6% YoY in August

JP Morgan: Warned investors to “beware the macro” as it resumed ratings on European exchanges and platforms; more cautious on UK names

JP Morgan: Defence picks include BAE Systems (BAE Systems PLC (LSE:BA.)), Babcock (Babcock International PLC (LSE:BAB)), Leonardo; ‘overweight’ maintained, citing long‑duration order books and hard‑to‑substitute products

Stifel: Santhera Pharma (Santhera Pharmaceuticals (SIX:SANN, OTC:SPHDF)) ‘buy’ maintained, CHF25 target; H1 revenue doubled to CHF48.3m, 2026 guidance CHF80–90m unchanged

Panmure Liberum: Wardogs ‘buy’ reiterated, 485p target; ~3m copies sold, 4m seen within reach

Future (Future PLC (LSE:FUTR)): Shares −12% to 278.8p after £30m buyback paused; Peel Hunt ‘buy’ maintained, 535p target, update described as “light but comforting” with debt reduction prioritised

1:00 pm BST: US markets remain cautious

US stock futures were slightly lower, pointing to a subdued Wall Street open, with Dow futures down 43p, or 0.08%, at 51,659, S&P 500 futures down 12p, or 0.15%, at 7,720.50, and Nasdaq 100 futures down 27p, or 0.09%, at 30,586.25, as investors weighed easing expectations for further Federal Reserve rate increases against fresh inflation data.

Gold rose 0.91% to $4,186.21, while Brent crude gained 1.82% to $97.94 a barrel, keeping energy costs and inflation pressures in focus.

In afternoon trading, the FTSE 100 continued with its momentum, rising 15p, or 0.14%, to 10,652.09, while the FTSE 250 gained 191p, or 0.78%, as stronger-than-expected UK GDP growth along with other factors continued t support investor sentiment.

12 noon BST: London indices continue north

The FTSE 100 is still up on Wednesday after data showed UK GDP grew faster than previously estimated in the second quarter.

The FTSE 100 rose 14p, or 0.13%, to 10,650.56, while the FTSE 250 gained 185p, or 0.76%, to 24,560.09.

US markets will be watching closely on Wednesday as the Securities and Exchange Commission (SEC) prepares to propose rules that could widen retail access to private equity, private credit, real estate and venture capital, potentially opening a new pool of capital for private markets and changing how investors allocate money beyond traditional stocks and bonds.

The proposals are part of President Donald Trump’s administration’s push to “democratize” private assets, which can offer higher returns but also expose retail investors to greater risk and less liquid investments.

US stock futures were broadly flat ahead of Wall Street’s open, with the Dow Jones futures up 31p, or 0.06%, at 51,733, and S&P 500 futures up 4p, or 0.05%, at 7,735.50, while Nasdaq 100 futures slipped 16p, or 0.05%, to 30,597.75. The muted moves suggest investors are cautious ahead.

Global bonds were heading for their worst month in years as deteriorating government finances, heavy debt issuance and rising inflation weighed on markets, while the seven-month US-Israeli war on Iran kept energy costs elevated, said Reuters.

The dollar hovered near its highest level of the year against the euro on Wednesday and was heading for its biggest monthly gain in 14 months, supported by stronger US growth and rising interest-rate expectations.

The dollar has gained nearly 2.5% against the euro in September, putting it on course for a third consecutive quarterly advance, while the euro has been pressured by Europe’s energy and debt concerns.

Reuters said Sterling strengthened to a six-week high against the euro on Wednesday after stronger-than-expected UK economic growth reinforced expectations that the Bank of England could raise interest rates by the end of the year.

Germany’s unemployment rose more than expected in September, while inflation increased in five states, pointing to a likely rise in the national rate.

The seasonally adjusted number of unemployed people rose by 12,000 to 3.01 million, labour office data showed on Wednesday.

Germany’s labour market typically begins its autumn recovery in September, but this year’s pickup has been sluggish, labour office head Andrea Nahles said.

European markets are under pressure, with the STOXX 600 at 638, up by 0.43p while the DAX fell 38p and the CAC 40 dropped 36p.

11:00 am BST: European stocks mixed

European stock markets were mixed, with the FTSE 100 up 20p, or 0.19%, at 10,656.78, while the DAX fell 49p, or 0.19%, to 25,349.87, and the CAC 40 dropped 41p, or 0.51%, to 7,995.

The STOXX 600 PR rose 0.35p, or 0.05%, to 638.43.

Brent is above $103 as WTI gains after Trump rejects Iran sanctions relief, after Brent hit a four-month high on Sept 11.

Small caps roundup

Kodal Minerals PLC (AIM:KOD) moved into profit in the first half of 2026 as its Bougouni lithium operation completed its first full period of commercial production.

The West African lithium producer reported a £3.50 million profit for the six months to June, reversing a £3.66 million loss a year earlier.

Rome Resources Plc (AIM:RMR) highlighted in its interim results that it increased the contained tin resource at its Kalayi project in the Democratic Republic of Congo by 45% in the first half, with further drilling potentially doubling the deposit.

Chariot Resources Ltd (ASX:CC9, OTCQB:CHRTF, FRA:ZJ5) said its pivot towards oil production is expected to generate cashflow from 2027, with two Angola transactions giving it economic exposure to about 8,000 barrels a day.

Active Energy Group PLC (AIM:AEG, OTCID:AEUSF) said it generated its first revenue in the first half of 2026 as its UAE digital infrastructure business entered commercial operations, while cash fell to £170,504.

Tertiary Minerals PLC (AIM:TYM, OTC:TTIRF, FRA:TMU) has raised £1 million before expenses to fund deeper drilling and further technical work at its Mushima North silver-copper project in Zambia, with AIM trading set to resume today.

Ariana Resources PLC (AIM:AAU, ASX:AA2, FRA:4A6) said its 1.6 million-ounce Dokwe gold project is moving towards a full feasibility study, with an independent resource estimate under way and a revised ore reserve targeted by the end of 2026.

Eco Buildings Group PLC (AIM:ECOB, FRA:9ZL0), the maker of prefabricated wall panels for housing, has signed a binding framework agreement for a programme to build at least 10,000 homes in The Gambia.

10.00 am BST: Market leadership broadens beyond miners

Antofagasta led the FTSE 100 risers as London’s strongest performers shifted towards a mixture of mining, domestic and utility shares.

The blue-chip index gained 41 points, or 0.4%, to 10,678, while the domestically focused FTSE 250 outperformed with a 0.9% rise to 24,593.

Antofagasta climbed 2.6% as mining shares continued their recovery from Tuesday’s sell-off.

British Land gained 2.4%, while B&Q owner Kingfisher and Marks and Spencer advanced 2.3%, pointing to renewed demand for domestically exposed shares following the upward revision to UK economic growth.

Utilities remained prominent as lower gilt yields supported dividend-paying and infrastructure stocks.

SSE rose 2.3%, National Grid added 2.2% and Severn Trent gained 2%.

Defence contractor Babcock International climbed 2.1%, completing a broadly spread group of FTSE 100 leaders.

The FTSE All-Share gained 0.4%, while the AIM All-Share advanced 0.3%.

9.15 am BST: Falling gilt yields lift defensive shares

The FTSE 100 gained 74 points, or 0.7%, to 10,710 as utilities, miners and consumer shares drove a broad London rally.

Interest-rate-sensitive utilities led as the UK 10-year gilt yield fell seven basis points to around 5.35%.

National Grid climbed 2.9%, Severn Trent gained 2.7%, SSE advanced 2.7%, and United Utilities added 2.7%.

Antofagasta rose 2.8% as mining shares extended their opening recovery, while consumer goods group Reckitt gained 2.5%.

JD Sports advanced 2.4% and Marks and Spencer added 2.1%.

The FTSE 250 outperformed with a 0.9%, or 225-point, rise to 24,600.

Saga jumped 10% after returning to profit and lifting its guidance, while Oxford Nanopore Technologies gained 7.7%.

Greggs rose 6% after reporting a 7.7% increase in third-quarter sales and 3.4% like-for-like growth at company-managed stores, alongside plans to consolidate its manufacturing operations.

Water company Pennon Group gained 5%, International Workplace Group advanced 4.6% and RHI Magnesita rose 4.1%.

The main pressure remained concentrated among oil producers as crude prices retreated, with Ithaca Energy down 2%, BP losing 1.7% and Shell falling 0.9%.

The AIM All-Share advanced 0.3%.

8.15 am BST: Mining shares lead broad opening advance

The FTSE 100 climbed 66 points, or 0.6%, to 10,702 as London shares rebounded from Tuesday’s decline and gains strengthened after the opening bell.

Mining stocks dominated the leaderboard as investors returned to the sector following the previous session’s weakness.

Rio Tinto led the blue-chip index with a 1.9% advance, while copper producer Antofagasta gained 1.6%.

Gold’s overnight recovery supported precious-metals producers, with Endeavour Mining rising 1.6% and Fresnillo adding 1.5%.

The advance extended beyond resources as InterContinental Hotels Group climbed 1.8% and electricity network and renewable energy company SSE gained 1.6%.

Telecommunications group Airtel Africa rose 1.4%, while Premier Inn owner Whitbread also gained 1.4%.

The improvement was broad across the London market, with the FTSE 250 advancing 0.4% to 24,470 and the FTSE 350 gaining 0.6%.

The FTSE All-Share rose 0.6%, while the AIM All-Share added 0.2%.

7.00 am BST: London called higher as bond pressure eases

The FTSE 100 is expected to rebound at Wednesday’s open, with the December contract up 66 points, or 0.6%, at 10,743.5.

London’s blue-chip index closed 48 points lower at 10,636.71 on Tuesday after its early gains faded.

Sentiment improved overnight as US Treasury yields retreated from multi-year highs and Asian technology shares advanced.

Japan’s Nikkei 225 climbed 1.5%, supported by chipmakers and a 6% jump for technology investor SoftBank Group, while the broader Topix gained 1%.

Australia’s S&P/ASX 200 advanced 0.8%, and mainland China’s Shanghai Composite added 0.3%, although Hong Kong’s Hang Seng and South Korea’s Kospi slipped 0.3% and 0.4% respectively.

Wall Street finished modestly lower as elevated borrowing costs continued to pressure equities, with the Dow Jones Industrial Average down 0.3%, the S&P 500 losing 0.2% and the Nasdaq Composite edging 0.1% lower.

The US 10-year Treasury yield eased to around 5.22% after reaching its highest level since 2007.

Brent crude slipped 0.1% to US$96.04 a barrel, and West Texas Intermediate was broadly unchanged at US$89.39, potentially limiting support for BP and Shell.

Gold recovered 0.7% to US$4,210 an ounce, which could provide some relief for precious-metals miners following their recent losses, while copper fell 0.4%.

Investors will assess revised UK second-quarter gross domestic product figures, the current-account balance and Nationwide’s latest house-price index.