OP Wire 10/2 (OP – Lite)

By Steve

Futures Hold Steady Despite Shutdown & Weak Jobs Data

Markets keep grinding higher even as the U.S. government remains shut. Futures were mixed early Thursday, with the Dow flat while $SPX and $QQQ ticked up +0.1% and +0.2%. Weak private jobs data is being shrugged off, as traders see it as fuel for more Fed rate cuts.

Healthcare led Wednesday’s push after Pfizer cut a deal with Trump to lower Medicaid drug prices in exchange for tariff relief — and the White House hinted more pharma names will follow. On the corporate front, AES ripped higher after reports of a $38B takeover bid by BlackRock’s Global Infrastructure Partners. Lithium Americas also popped after the DOE announced a 5% stake in its GM joint venture.

Big headline: OpenAI now valued at $500B after a $6.6B secondary share sale — surpassing SpaceX as the world’s most valuable startup. Thrive, SoftBank, Dragoneer, Abu Dhabi’s MGX, and T. Rowe Price were among the buyers. The fact that not all available shares were sold signals confidence from employees holding tight.

Dollar & Fed Drama

The dollar battled for direction after the Supreme Court blocked Trump’s attempt to immediately fire Fed Governor Lisa Cook. The case will be heard in January, but the early ruling signals stronger institutional protection for the Fed. DXY has now logged four straight down sessions.

Shutdown Fallout – Jobs in Focus

With payrolls potentially delayed, Thursday’s Challenger job cuts report will carry more weight. Earlier this week, ADP showed the biggest private payrolls drop in 2.5 years. The Fed is clearly pivoting toward jobs > inflation, cutting rates by 25 bps last month with more easing expected.

Metals & Crypto

Gold hovered just shy of $3,900/oz, silver near $47.40/oz, as shutdown-driven uncertainty keeps safe-haven demand strong. Bitcoin continues its monster run at ~$119K.

Technical Levels

$QQQ ripped new all-time highs yesterday, topping at 603.79 before settling 603.25. Bulls remain in firm control — the real line in the sand is 580. Anything above keeps the melt-up intact unless an extreme negative catalyst hits.

Today’s Key Data

🇺🇸 Factory Orders (Aug) – 10:00 AM ET
🇺🇸 Fed Balance Sheet – 4:30 PM ET

💥 Another OP Alert closed for over 50% gains yesterday. If you’re not stacking with OP Lifers package course systems yet, email steve@optionsplayers.com and find out how.

See you in chat and in today’s AC&I Live Stream.

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