Brent Crude futures settle at $105.63/bbl, down $2.14, 1.99%.|FJ

ECB's lane: Increase in selling price expectations suggests input cost pressures will map into higher output prices in the coming months.|FJ

ECB's Lane: Firm-side and news-based indicators suggest the current energy shock is unfolding in a less demand-supportive environment.|FJ

ECB's Lane: Propagation of the Iran shock may be more contained than in 2022, but stronger and faster than historical averages.|FJ

ECB's Lane: A mid-size but not-too-persistent overshoot could warrant some measured adjustment.|FJ

ECB's Lane: In the face of a larger and more persistent overshoot, the response must be appropriately forceful or persistent.|FJ

ECB's Lane: Demand destruction channels limit the required adjustment in the monetary stance, and fiscal expansion does the opposite.|FJ

ECB's Lane: The optimal response might be smaller for exogenous supply disruption than for demand shock.|FJ

The Fed to buy $10 billion of bills for reserve management.|FJ

Thursday FX Options Expiries|FJ

Pentagon is making a new push to rapidly acquire 10,000 low-cost cruise missiles in three years - WSJ|FJ

MOC Imbalance

S&P 500: -1779 mln
Nasdaq 100: -1757 mln
Dow 30: -164 mln
Mag 7: -553 mln|FJ

Cisco Systems Q3 2026 Earnings $CSCO

Adjusted EPS $1.06, est. $1.04
Revenue $15.8B, est. $15.57B
Sees Q4 Adjusted EPS $1.16–$1.18, est. $1.07
Sees Q4 Revenue $16.7B–$16.9B, est. $15.82B
Product Revenue $12.12B, est. $11.79B
Service Revenue $3.72B, est. $3.78B
Adjusted Gross Margin 66.0%, est. 66.2%
Sees Q4 Adjusted Gross Margin 65.5%–66.5%, est. 66.6%
Remaining Performance Obligations $43.46B, est. $43.27B
Sees FY Revenue $61.7B–$61.9B vs. prior $61.2B–$61.7B
Sees FY Adjusted EPS $4.16–$4.18 vs. prior $4.13–$4.17|FJ

Microsoft exploring AI startup deals to prepare for life after OpenAI - Sources $MSFT|FJ

Inception has hired a bank to negotiate a deal worth at least $1B. Microsoft has discussed a potential deal with Inception.
Microsoft reportedly considered acquiring Cursor but backed away over antitrust concerns|FJ

Fed's Collins: Fed might need to raise rates if inflation pressures broaden in coming months - WSJ|FJ

Fed's Collins sees inflation pressures from Iran war eventually subsiding - WSJ|FJ

Fed's Collins: Current shock has masked evidence underlying inflation was still headed down - WSJ|FJ

Fed's Collins: Watching whether price pressures spread beyond energy to other goods and services - WSJ|FJ

Fed's Collins: Watching the extent to which tariffs continue to pass through the price chain - WSJ|FJ