Midday Fly By: Meta said to eye job cuts, Dollar Tree up after earnings

Stocks are higher at midday, opening the week with a rebound after a volatile stretch driven largely by energy markets and geopolitical developments in the Middle East.

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Energy prices are still elevated amid the ongoing conflict involving Iran and disruptions around the Strait of Hormuz, though reports suggest diplomatic and logistical efforts are underway to allow more tankers to pass through the Strait, which has helped cool some of the extreme volatility seen earlier in the month and supported risk appetite in early trading.

Even with the modest improvement in sentiment, the broader macro picture remains fragile. Rising oil prices are feeding inflation concerns just as policymakers in the United States and Europe are preparing for upcoming rate-setting meetings.

Strategists are increasingly warning that the path of oil will likely dictate the trajectory for risk assets in the near term. Some analysts have suggested that a severe and prolonged supply disruption could push equities materially lower if crude continues to climb, highlighting how sensitive the current market environment is to geopolitical headlines and energy prices.

Get caught up quickly on the top news and calls moving stocks with these five Top Five lists.

1. STOCK NEWS:

• Reuters reported Meta (META) is planning to reduce its headcount by 20% or more to offset AI infrastructure costs
• Secretary of Energy Chris Wright directed Sable Offshore (SOC) to restore operations of the Santa Ynez Unit and Santa Ynez Pipeline System
• Public Storage (PSA) announced an agreement to acquire National Storage (NSA) in an all-stock deal valued at an enterprise value of approximately $10.5B
• Micron (MU) completed the acquisition of Powerchip Semiconductor’s P5 site in Taiwan and plans to expand supply of leading-edge DRAM products, including high-bandwidth memory for AI
• Dollar Tree (DLTR) shares are up after reporting earnings that show its strategy to introduce higher-priced items is helping the company increase sales

2. WALL STREET CALLS:

• Circle Internet (CRCL) upgraded to Buy from Hold at Clear Street
• Seaport (QCOM) to Sell on losing share in shrinking market
• Barclays (KLC) to Underweight after outlook miss
• Adobe (ADBE) cut to Hold at Argus following CEO retirement announcement
• Citi (NBIS) with a Buy

3. AROUND THE WEB:

• In a series of meetings with the White House, the CEOs of Exxon Mobil (XOM), Chevron (CVX), and ConocoPhillips (COP) have warned that the disruption of energy flows from the Strait of Hormuz waterway due to the Iran war would continue to create volatility in global energy markets, WSJ says
• Ahead of its acquisition by Paramount Skydance (PSKY), Warner Bros. (WBD) led the 2026 Oscars with 11 wins, Engadget reports
• OpenAI is in advanced discussions with private equity firms including TPG (TPG), Advent International, Bain Capital, and Brookfield Asset Management (BAM) to form a joint venture, Reuters says
• Tilman Fertitta’s Fertitta Entertainment is negotiating a deal to acquire Caesars Entertainment (CZR), with the deal terms currently at $32 per share with an equity value of $6.5B and an enterprise value of $31.5B, CNBC says
• JD.com (JD) is launching in the UK and other European countries as the company aims to draw customers to its Joybuy.com with the promise of fast delivery of products, Bloomberg says

4. MOVERS:

• CytomX Therapeutics (CTMX) gains after reporting Q4 results and announcing the planned initiation of a Phase 1 expansion cohort for Varseta-M
• Bitmine Immersion (BMNR) higher after announcing crypto holdings of $11.5B
• Nano Nuclear Energy (NNE) declines after announcing progress in the development of its HALEU transportation system
• Sealsq (LAES) falls in New York after pricing 30.4M shares at $4.11 in direct offering
• VNET (VNET) lower in New York after reporting quarterly results

5. EARNINGS/GUIDANCE:

• SAIC (SAIC) reported Q4 results and provided guidance for FY27, with CEO Jim Reagan stating he is “encouraged by the progress we are making and by the opportunities in front of us”
• WW (WW) reported Q4 results, with EPS and revenue lower year over year.
• Telos (TLS) reported Q4 results and provided guidance for Q1 and FY26
• AirSculpt (AIRS) reported preliminary results for Q4, with revenue missing consensus
• VinFast Auto (VFS) reported preliminary results for Q4, with revenue up 138.9% year-over-year

INDEXES:

Near midday, the Dow was up 0.89%, or 415.06, to 46,973.53, the Nasdaq was up 1.31%, or 288.81, to 22,394.17, and the S&P 500 was up 1.03%, or 68.54, to 6,700.73.