WS #10594

Markets opened higher Wednesday after a two-day tech rout, with the Nasdaq up 0.5% and S&P 500 up 0.4%, as investors await Micron earnings after the close. The oil complex continues to weaken: the key oil spread flipped to contango as Strait of Hormuz supply climbs, and WTI crude lost $70, pressuring energy stocks (XLE -2.4%). In corporate news, Qualcomm announced a ~$4B acquisition of AI startup Modular to bolster its data center AI software stack, while AbbVie announced a $10.9B deal to acquire Apogee Therapeutics, boosting its immunology pipeline. Wendy's stock surged 37% in a meme rally fueled by Reddit, and Hertz slid after warning used car 'softness' is hurting profit. On the macro front, June PMI data beat expectations (Composite 52.2 vs 51.2 est), and JPMorgan raised its S&P 500 year-end target to 7,800. Geopolitically, the U.S. Embassy in Kuwait resumed operations after suspension due to Iranian attacks, and Strait of Hormuz de-escalation continues with oil spreads flipping to contango. The dominant theme is a tech rebound and oil weakness, with meme/event-driven moves in WEN and Hertz.