Midday Fly By: Nvidia invests in Synopsys, U.S. strikes pharma deal with UK

The major averages were broadly lower near noon, starting the month in the red as investors await fresh economic data and a speech from Jerome Powell at the Federal Reserve.

Expectations that the Fed may cut rates this month remain elevated, with Bank of America saying it now expects a 25-basis-point cut in December followed by additional reductions in 2026, a shift from just weeks ago. Rate cut hopes have boosted sentiment somewhat, but markets remain in “risk-off” mode amid global headwinds, including hawkish signals from other central banks.

Looking to commodities, gold prices edged higher, building upon last week’s sharp gains. Oil prices also gained, with the commodity nearing $60 per barrel.

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

1. STOCK NEWS:

• Nvidia (NVDA) is investing $2B in Synopsys (SNPS) common stock and the companies announced a strategic partnership
• The U.S. government has (GS) agreed to acquire Innovator Capital Management for a total consideration of roughly $2B
• Leggett & Platt (LEG) has received an unsolicited takeover proposal from Somnigroup (SGI)
• Barrick Mining (B) is evaluating an IPO of its North American gold assets

2. WALL STREET CALLS:

• B. Riley upgraded Kratos Defense (KTOS) to Buy following recent selloff
• BNP upgraded Toast (TOST) to Outperform on restaurant growth potential
• Sionna (SION) downgraded to Underperform at RBC Capital
• Barclays downgraded Crown Castle (CCI) and American Tower (AMT) to Equal Weight
• Wall Street rolled out coverage of Beta Technologies (BETA) with largely bullish ratings

3. AROUND THE WEB:

• Swiss prosecutors have charged Credit Suisse and its owner UBS (UBS) for organizational failures tied to a suspicious $7M payment in the Mozambique “tuna bonds” scandal, FT says
• UnitedHealth (UNH) has agreed to sell Banmedica, the company’s last South American business, to Patria Investment for $1B, Reuters reports
• Airbus (EADSY) has discovered an industrial quality issue that is affecting the fuselage panels of dozens in the A320-family aircraft, a production flaw that will delay some deliveries but there are no immediate indications that it has impacted aircraft in service, Reuters says
• Blackstone (BX) is considering abandoning its bid for Big Yellow Group (BYLOF) ahead of a December 8 deadline imposed by the Takeover Panel, Sky News reports
• Roskomnadzor, Russia’s state communications watchdog, has threatened to block Meta‘s (META) WhatsApp from the country if it fails to comply with Russian law, Reuters reports

4. MOVERS:

• Bausch Health (BHC) increases in New York after Solta Medical completed its acquisition of Wuhan Shibo
• Neumora Therapeutics (NMRA) gains after RBC Capital upgraded the stock to Outperform
• Canadian Solar (CSIQ) higher in New York after resuming direct oversight of U.S. operations
• Rezolve AI (RZLV) lower in New York after announcing the acquisition of Crownpeak for initial $90M
• Joby Aviation (JOBY) falls after Goldman Sachs initiated coverage of the stock with a Sell rating

5. EARNINGS/GUIDANCE:

• Broadstone Net Lease (BNL) reaffirmed guidance for FY25 and FY26
• Kestra Medical (KMTS) provided guidance for Q2
• Humana (HUM) reaffirmed its guidance for FY25
• Strategy (MSTR) cut its EPS guidance for FY25
• 1933 Industries (TGIFF) reported results for FY25, with CEO Brian Farrell saying fiscal 2025 performance “reflects the strength of our strategy and the resilience of our team”

INDEXES:

Near midday, the Dow was down 0.44%, or 211.88, to 47,504.54, the Nasdaq was down 0.24%, or 55.93, to 23,309.76, and the S&P 500 was down 0.24%, or 16.24, to 6,832.85.