US Stock Market Outlook: Military Denies Missile Strike, Micron CEO on Supply Tightness, GameStop's eBay Bid

US Stock Market Update

Pre-Market Movements

On Friday morning, US stock futures showed mixed results. The Dow Jones futures fell by 0.37%, while the Nasdaq 100 futures rose by 0.05%, and the S&P 500 futures decreased by 0.12%.

Iran Missile Incident

Reports from Iran's Fars News Agency indicated that two Iranian missiles struck a US Navy ship near the port of Jask, claiming the vessel violated maritime safety regulations. The US Central Command later stated that no US Navy ships were hit.

Pre-Market Stock Highlights

• Storage Sector: Stocks like Seagate Technology (STX) rose over 4%, Micron Technology (MU) increased nearly 3%, and SanDisk (SNDK) gained over 2%.

• Optical Communication: Companies such as Lumentum (LITE) and Coherent (COHR) saw gains exceeding 3%, while Applied Optoelectronics (AAOI) rose over 2%.

• Cryptocurrency Sector: Bitcoin (BTC) briefly surpassed $80,000, with Circle (CRCL) up nearly 6% and Coinbase (COIN) rising close to 3%.

GameStop's Acquisition Proposal

GameStop (GME) CEO Ryan Cohen proposed a $56 billion acquisition of eBay (EBAY) at $125 per share, aiming to position eBay as a stronger competitor to Amazon. eBay shares rose over 8% in pre-market trading.

Norwegian Cruise Line Profit Guidance

Norwegian Cruise Line (NCLH) lowered its annual profit guidance due to rising fuel costs linked to Middle Eastern tensions, which have increased oil prices and affected consumer travel plans. The stock fell over 6% pre-market.

Micron's CEO on AI Demand

Micron Technology's (MU) CEO stated that the demand for DRAM and NAND memory is expected to exceed 50% of the total addressable market this year, driven by AI applications. Supply constraints are anticipated to persist until 2028.

Google's AI Chip Strategy

Reports suggest that Google (GOOG) is looking to bypass MediaTek and source chips directly from TSMC (TSM) to reduce AI chip costs, as it competes with Nvidia (NVDA).

Apple Considering Price Increases

For the first time in a decade, Apple (AAPL) mentioned "price increases" in its quarterly report as a strategy to manage rising costs, potentially raising the iPhone 18 prices by over $100.

Market Outlook

Morgan Stanley analysts noted that strong corporate earnings, particularly in the tech sector, are overshadowing concerns about Middle Eastern conflicts, suggesting that the US stock market may break the "May curse."

UAE's OPEC Exit

The UAE has officially exited OPEC, allowing it to accelerate investments and expand its oil production capabilities, with plans to invest $55 billion.

Japanese Yen Intervention

Goldman Sachs indicated that Japan could intervene in the currency market up to 30 more times, given its substantial foreign exchange reserves, as the yen surpassed 156.