Gary Black(@garyblack00):US stocks opened higher pre-mkt as oil fell and markets anticipated a positive Trump-Xi summit. Brent dropped 2% to $101.77/bbl, 10yr treasury yields eased, and chip stocks and Bitcoin rose. Last week, the Fed hiked short term rates by 25bp on oil-driven inflation from the Iran conflict; Markets expect a second 25bp hike by year-end. 2026 S&P 500 EPS estimates have continued to climb (+32% y/y to $365) and now imply a 21.0x forward P/E and a 4.8% earnings yield, which is below the 10-year Treasury yield vs a normal equity premium of 50-100bp. For greater detail, please see my daily pre-mkt summary for subscribers.

2026.09.21 08:34

US stocks opened higher pre-mkt as oil fell and markets anticipated a positive Trump-Xi summit. Brent dropped 2% to $101.77/bbl, 10yr treasury yields eased, and chip stocks and Bitcoin rose. Last week, the Fed hiked short term rates by 25bp on oil-driven inflation from the Iran conflict; Markets expect a second 25bp hike by year-end. 2026 S&P 500 EPS estimates have continued to climb (+32% y/y to $365) and now imply a 21.0x forward P/E and a 4.8% earnings yield, which is below the 10-year Treasury yield vs a normal equity premium of 50-100bp. For greater detail, please see my daily pre-mkt summary for subscribers.