AI is starting to show up less as a futuristic promise and more as a concrete cost-cutting tool, while corporate dealmaking and capital raising remain active despite a still-uneven macro backdrop. At the same time, Europe is dealing with fresh political and currency pressure as companies keep pushing ahead with large strategic moves.

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Futures at a Glance📈

Futures are edging lower as elevated Treasury yields keep pressure on stocks, even as softer oil prices and fading expectations for another Fed hike offer some support. Traders are looking to today’s services data for the next read on economic momentum.

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What to Watch

Earnings (Time Not Supplied):

· Aehr Test Systems [AEHR]
· Netcapital Inc. [NCPL]
· Maison Solutions Inc. [MSS]

Economic Reports:

· U.S. services PMI (September): 9:45 am
· ISM services PMI (September): 10:00 am

Market Pulse

Asian stocks rose as investors sharply reduced expectations for an October Fed hike, while the euro fell to a 17-month low on mounting concerns over France’s debt and political gridlock.

Oil prices slipped as rising Middle East crude exports and a G7 emergency reserve release eased immediate supply fears, even as regional conflict keeps logistics and refining costs elevated.

AI & Technology

Deutsche Telekom expects AI and automation to cut indirect costs by about €2.5 billion by 2030, using the technology to improve network management, customer service, and issue resolution.

Indian IT stocks rallied after Accenture forecast stronger-than-expected annual revenue growth, easing fears that AI disruption will overwhelm the sector and reinforcing enterprise technology spending.

Deals & Industry

Schneider Electric agreed to buy U.S. software company PTC for $22.6 billion in cash, its biggest acquisition ever as it builds a larger industrial software and AI platform.

BT Group is buying TalkTalk’s consumer and wholesale businesses for about £400 million after the troubled broadband provider entered administration, protecting service for roughly 2.5 million customers.

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Capital & IPOs

Jio Platforms plans to launch a roughly $3.8 billion IPO on October 21, which would become India’s largest listing and help repay debt at its telecom division.

Gaw Capital is seeking a Hong Kong listing for a fund focused on private real estate loans across Asia-Pacific and the Middle East, expanding access to property-backed private credit.

Energy & Capital Returns

Suncor agreed to sell three offshore Canadian oil stakes to Ithaca Energy for about $842 million upfront, while raising monthly share repurchases to C$750 million beginning in October.

Air Liquide launched a €4 billion buyback and targeted 400 to 600 basis points of margin improvement by 2030, alongside more than €40 billion of planned capital allocation.

The VIX index, Wall Street's 'fear gauge,' was introduced by the CBOE in what year?

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Movers and Shakers

PTC [PTC]: Premarket Move: +35%

PTC surged after Schneider Electric agreed to acquire the industrial software company for $22.6 billion in cash. The $205-per-share offer represents a roughly 42% premium to Friday’s close, with Schneider betting that PTC’s design and manufacturing software will strengthen its growing industrial AI platform.

XP [XP]: Premarket Move: +15%

XP jumped alongside Brazilian financial stocks after right-wing Senator Flavio Bolsonaro significantly outperformed polls in the first round of Brazil’s presidential election. Bolsonaro finished ahead of President Lula and advanced to an October 25 runoff, fueling expectations for a more market-friendly policy agenda and sending Brazilian assets sharply higher.

Millrose Properties [MRP]: Premarket Move: −4%

Millrose Properties fell as the stock began trading without its newly increased $0.79 quarterly dividend. The dividend alone represents roughly 3% of Friday’s share price, meaning most of the premarket decline is a mechanical ex-dividend adjustment rather than a sudden deterioration in the company’s underlying business.

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Everything Else

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