• US stocks fell Tuesday, their first trading session after the Labor Day holiday, as an Iran-backed Houthi attack on Saudi Arabian energy facilities pushed crude oil and government bond yields higher. The Dow dropped 1.18% to 52,786.07, the S&P 500 fell 0.58% to 7,673.52, and the Nasdaq-100 slipped a more modest 0.12% to 29,507.70. Reuters reported the Houthi strikes wounded more than 70 people and underscored the risk of the Iran conflict escalating into a wider regional war; Israel separately struck a southern Lebanese town early Monday.
• Novartis was the session's biggest single story: shares sank nearly 14% after its Phase 3 Harbor study evaluating delpacibart etedesiran in myotonic dystrophy type 1 patients failed to meet its primary endpoint. The read-across hit Amgen's rival heart-drug candidate olpasiran hard — Amgen shares tumbled about 10%, the worst performer on the S&P 500, Nasdaq and Dow — even though UBS Securities said in a note that olpasiran may still show a meaningful reduction in major cardiovascular events despite the competing drug's failure.
• Brent crude futures rose 2.25% to $99.18/bbl, their highest since July 24, as WTI jumped 2.3% to $93.62/bbl. Capital.com senior market analyst Kyle Rodda said "the inflation picture is becoming murkier because of the rally in oil prices," adding that "the military activity is maintaining a significant risk premium in energy markets amidst the heightened possibility of deeper and more protracted disruptions to global supply." US Treasury yields rose in tandem, with the 2-year up 1.7bps to 4.40% and the 10-year up 1.4bps to 4.80%.
• Chip and semiconductor names bucked the broader market weakness: Lumentum Holdings surged 11.04%, Intel jumped 9.05% after Digitimes reported the company plans to raise PC CPU prices by another 10% in early October, and Advanced Micro Devices added 5.90%. Energy stocks also outperformed in premarket trading on the higher oil prices, with Marathon Petroleum and Occidental Petroleum both climbing.
• European markets closed mostly higher Tuesday, relatively insulated from the US session's later-day escalation: Germany's DAX was essentially flat and France's CAC 40 added 0.14%, while London's FTSE 100 eased 0.10%. Asia is mixed to higher this morning, with South Korea's KOSPI up 1.50% and Japan's Nikkei 225 adding 0.68%, while Hong Kong's Hang Seng eased 0.38% and India's Nifty 50 dropped 0.61%.

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