Overnight news on August 12: U.S. stocks closed lower, oil prices rose, the U.S. military attacked a merchant ship heading to an Iranian port, and NVIDIA launched its first open-source AI model
Overnight news on August 12 shows that the three major U.S. stock indices fell, affected by the U.S.-Iran conflict and rising oil prices. On the macro front, the U.S. military attacked a commercial ship heading to Iran, and U.S. existing home sales dropped to a low point. On the corporate side, Google Gemini's monthly active users exceeded 1 billion, NVIDIA launched its first open-source AI model, and Super Micro Computer's revenue guidance exceeded expectations. In addition, an Apple executive retired, and an OpenAI executive left the company
Market
Closing on August 12: The three major U.S. stock indices closed lower as investors remain skeptical about whether the U.S. and Iran can reach a more comprehensive solution to the conflict.
Top 20 U.S. stocks by trading volume on August 12: Google fell over 3% as the CEO stated that Gemini has over 1 billion monthly active users.
On August 12, most popular Chinese concept stocks fell, with Alibaba and Baidu down over 3%, and NetEase and JD down over 4%.
Commodity overview: Oil prices rose, copper prices remained stable, and gold prices fell.
European stock markets closed mostly flat as investors continued to monitor developments in the Middle East.
Macro
U.S. Central Command: Fired on ships violating the blockade against Iran.
U.S. military claims to have used missiles to attack a commercial ship heading to an Iranian port.
Joint Maritime Information Center: A container ship in the Gulf of Oman was hit by a missile fired from a helicopter.
U.S. existing home sales fell to a three-month low, with high home prices and mortgage rates dragging down the housing market.
Senior Iranian officials: The U.S. must accept Iran's conditions in exchange for the reopening of the Strait of Hormuz.
A U.S. judge halted the U.S. Postal Service from implementing Trump's executive order regarding restrictions on mail-in ballots.
Houthi forces attacked a ship transporting military equipment to Saudi Arabia in the Bab-el-Mandeb Strait.
The Bank of France expects economic growth to continue in the third quarter.
Houthi forces: Launched missiles and drones at targets in Al-Mahrah and Marib.
Company
Google states that Gemini's monthly user count has exceeded 1 billion.
NVIDIA launches its first open-source AI model.
Apple faces another executive change as Bailey, head of payment and wallet services, will retire.
Super Micro Computer's revenue guidance far exceeds expectations, leading to a surge in after-hours stock price.
OpenAI executive Brad Lightcap will leave to start a "new project."
NVIDIA's credit risk indicators have declined as the CEO clarifies the $500 billion financing plan.
An Indian airline captain tested positive for drugs after the aircraft suddenly descended about 300 feet during a flight.
Commentary
Chicago Fed President: Inflation is the biggest issue facing the U.S. economy.
Trump: Exploring ways to prevent New York City from imposing an additional tax on non-primary residences.
New York Fed research: Credit card debt has risen to $1.26 trillion, with the K-shaped pattern continuing.
European bond market: German and UK government bonds have turned to gains, while oil prices have retraced some of their gains.
Iran: The Strait of Hormuz will remain closed unless Iran's conditions are met.
The U.S. expects that oil supply disruptions caused by the Iran war will last until the end of 2027.
Castle Securities is optimistic about a stock market rebound and advises investors to prepare for leveraged bets to return.
Bank of America: The dollar will be more sensitive to CPI being below expectations.
Oil prices are fluctuating higher, but doubts remain about the prospects for a U.S.-Iran agreement.
Barclays: The reliance of U.S. Treasuries on price-sensitive buyers has significantly increased, likely keeping yields high Economic research indicates that the U.S. critical ammunition reserves have fallen to a "dangerous" level, with replenishment taking years.
The U.S. 3-year Treasury bond auction received strong demand, with the winning yield reaching a new high since 2025.
U.S. Treasury Secretary Janet Yellen: Welcomes Meta's release of Muse Glimmer.
U.S. bond market: Treasury bonds rose across the board, with strong demand in the 3-year bond auction.
U.S. stock market: U.S. stocks fell before the CPI announcement, with the Hormuz Strait deadlock pushing oil prices higher.
August 12 foreign headlines: U.S. military fired on ships violating the blockade, Apple Pay head retires, Google Gemini monthly active users exceed 1 billion, Super Micro Computer's stock price surged after hours.
Eurizon expects that U.S.-Japan support could push the yen to 125, persuading short sellers not to stubbornly resist
