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Playtech (LSE:PTEC) saw its stock plunge more than 30% on Tuesday after Evolution AB announced it had expanded an ongoing lawsuit to include the gaming software group as a defendant.

According to Evolution, legal discovery revealed that Playtech allegedly commissioned a short report in 2021 that later became central to a protracted legal dispute.

The New Jersey Superior Court ultimately deemed the report “not truthful,” Evolution said in a statement. Regulators in New Jersey and Pennsylvania later closed their investigations into the matter without taking any corrective action.

As part of the latest development, Evolution has officially added Playtech as a defendant in the case. The company also noted that it expects the litigation process to extend through 2026.

Getlink (EU:GET) reported largely stable third-quarter revenue on Tuesday, broadly matching market expectations, and reiterated its EBITDA guidance for the 2025 financial year.

Group revenue for the quarter came in at €472 million, narrowly missing the consensus estimate of €473 million. The slight shortfall was mainly due to marginally softer pricing trends in both Railway Network and Shuttle Services.

Eurostar passenger traffic rose 7.1% year over year to 3,194,000, surpassing forecasts of 3,184,000. This supported Railway Network revenue of €108 million, just below the €110 million analysts had expected. Shuttle Services revenue reached €242 million, reflecting a 1.1% year-on-year price increase, slightly under the anticipated 1.2%.

In total, Eurotunnel divisional revenue amounted to €364 million, compared with a consensus of €365 million. Europorte delivered €42 million, in line with forecasts.

ElecLink, the group’s electricity transmission arm, generated €66 million in quarterly revenue — down 13% from the previous year but consistent with projections. As of the end of September, ElecLink had secured €217 million in annual revenue, representing 97% of capacity utilization, up from €205 million and 92% in June. Looking ahead to 2026, €176 million in revenue has already been locked in, covering 59% of capacity, compared to 46% earlier in the year, according to Jefferies.

The company reaffirmed its 2025 EBITDA guidance in the range of €780 million to €830 million, assuming an exchange rate of £1 = €1.184.

Analysts at Kepler Cheuvreux highlighted that Shuttle volumes remain below pre-pandemic levels, while Eurostar has bounced back more quickly thanks to a healthier passenger mix. However, regulated pricing continues to limit full inflation pass-through.

Getlink currently trades at a next-twelve-month free cash flow yield of 5.1% and a dividend yield of 4.2%, compared with its three-year averages of around 7.2% and 3.9%, respectively, Jefferies noted.

Kepler Cheuvreux pointed out that the company’s performance is closely tied to Shuttle and Eurostar traffic trends as well as the electricity price spread between France and the UK. The firm also emphasized that Getlink is ready for the new European Entry/Exit System border controls, which are not expected to have any immediate impact on results.

The contribution from ElecLink has normalized compared with last year. Ongoing competition from ferries is being partly offset by anti-dumping regulations in France and the UK, as well as EU environmental regulations.

Kepler Cheuvreux cautioned that moderate dividend growth may prove less appealing in an environment of elevated bond yields. It identified several key risks to the outlook: significant fluctuations in Shuttle and Eurostar traffic, material shifts in the France–UK power price differential, and potential volatility in the bond market.

Atos (EU:ATO) reported a significant revenue drop in the third quarter as its sweeping restructuring plan — dubbed “Genesis” — continues to reshape the business.

Revenue came in at €1.98 billion, representing a 10.5% organic decline. The company nonetheless reaffirmed its 2025 profitability and cash flow objectives, signaling confidence in its ongoing turnaround. Shares, however, fell more than 9% in premarket trading on Tuesday.

Net cash outflow for the period was €38 million, achieved without resorting to receivables factoring or other short-term cash measures. This figure included €87 million in restructuring charges as the company pressed ahead with cost-cutting initiatives.

The Atos Strategic Business Unit (SBU) generated €1.62 billion in revenue — down 19% organically — reflecting its continued withdrawal from low-margin contracts and softer market conditions. By contrast, the Eviden SBU surged 77% organically to €356 million, supported by approximately €200 million from the Jupiter contract.

The book-to-bill ratio remained at 66%, unchanged year on year, with improving cross-selling and renewal activity. Atos also pointed to “signs of recovery” in North America and in Germany, Austria, and Central Europe.

Chief Executive Philippe Salle stated: “We continued to execute on our strategy and transformation plan. Business fundamentals are being restored. Our cost base is under control with further restructuring and savings achieved over the summer.”

Atos reiterated its expectation to hit full-year profitability and cash generation targets, projecting a return to organic growth and positive cash flow in 2026 as its sales pipeline strengthens and cost optimizations deepen. The group now forecasts full-year 2025 revenue above €8 billion, factoring in around €200 million of foreign exchange headwinds.

Analysts at Kepler Cheuvreux noted that “revenues are therefore unlikely to return to positive in Q4,” as the Jupiter contract weighed on Q3 results. They expect that impact to ease as new deals ramp up and year-over-year comparisons become more favorable.

The company has revised its constant-currency revenue target downward by roughly €300 million from the €8.5 billion previously guided after Q2. Still, Kepler highlighted that “operating profit is however expected to be around €340 million,” roughly 7% above its prior estimates.

The brokerage added that the “return to an operating margin over 4% confirms the very heavy work that the group is doing on costs,” noting that Atos maintained its operating profit goal despite the lower revenue outlook.

“We keep our Reduce rating on the back of soft momentum in revenues. We also consider 2028 targets to be too optimistic,” it concluded.

Gold’s historic price surge could be nearing its breaking point, according to John Higgins, Chief Markets Economist at Capital Economics. Higgins cautioned that the precious metal has climbed well beyond its “fair” value, showing classic signs of a market bubble.

He noted that gold’s rise has not only exceeded inflation trends but also diverged from its long-term relationship with other real assets. “At the start of 2025, the price of gold was already close to its prior peak in real terms, which it had reached in 1980,” he wrote in a note. “But now, the real price of gold is nearly 60% higher than that peak, and more than three times its average since 1980.”

While gold is traditionally viewed as a safe store of value, Higgins argued that the recent rally can’t be explained by typical drivers like falling real yields or persistently high inflation. “Since gold pays no interest, the opportunity cost of holding it declines when the yields of such bonds fall. But those yields have generally been rising,” he said, pointing out that the once-strong link between Treasury Inflation-Protected Securities (TIPS) yields and gold prices has “broken down in recent years.”

He also rejected inflation as the main explanation for the boom, highlighting that “Inflation has been trending down since its post-pandemic peak, even if it remains higher than the Fed would like.”

Instead, Higgins believes speculative behavior is likely playing a key role in pushing prices higher. Potential drivers, he said, include “reserve managers diversifying out of the dollar,” increased ETF buying, “growing demand from China,” and “the simple fear of missing out.”

Still, not all of these forces are short-term. “Some of these factors may be ‘structural’ and therefore continue to underpin the price of gold,” he said. “But it also looks increasingly possible that gold is in a bubble that will burst before long.”

Gold’s climb to record levels has been supported by geopolitical uncertainty, central bank accumulation, and strong retail investor interest. But Higgins’ assessment suggests that the market’s momentum may have outpaced fundamental realities, raising the risk of a sharp reversal.

Spot gold prices fell 1.8% today, down $77 to $4,283 per ounce as of 09:38 GMT.

U.S. stock futures slipped slightly on Tuesday as investors prepared for a heavy day of corporate earnings that could offer fresh signals on both company fundamentals and the broader economic outlook. Streaming giant Netflix (NASDAQ:NFLX) headlines the list of companies set to report results after the close.

Shares of Zions Bancorporation (NASDAQ:ZION) moved higher in post-market trading after executives downplayed concerns surrounding a $50 million loan loss, calling it an isolated event. Meanwhile, Amazon.com, Inc. (NASDAQ:AMZN) announced its cloud platform is back online after a major outage, and Sanae Takaichi is on course to become Japan’s first female prime minister after securing a key parliamentary vote.

Futures edge lower as investors await earnings flood

U.S. stock futures drifted lower ahead of the opening bell. By 03:16 ET, Dow futures were down 86 points (0.2%), S&P 500 futures slipped 9 points (0.1%), and Nasdaq 100 futures lost 42 points (0.2%).

Wall Street’s major averages had closed higher on Monday, buoyed by gains in technology and financial shares, upbeat earnings, and easing concerns over U.S. regional bank balance sheets. Shares of Apple Inc. (NASDAQ:AAPL) reached a new record high following a series of optimistic reports about strong iPhone 17 demand.

Optimism also surrounded the upcoming trade discussions between Donald Trump and Xi Jinping in South Korea later this month. A White House official suggested the prolonged U.S. government shutdown “could be coming as soon as this week.”

Netflix to report after the bell

The pace of earnings season ramps up this week, with Netflix among the most closely watched companies reporting results.

Shares of Netflix have gained more than 39% year-to-date, reflecting strong investor confidence as the streaming platform leans into its advertising business. Investors will also look for any commentary on the controversy sparked by Elon Musk, who urged users to cancel their subscriptions.

Other major companies reporting Tuesday include GE Aerospace (NYSE:GE), The Coca-Cola Company (NYSE:KO), Philip Morris International (NYSE:PM), and RTX Corporation (NYSE:RTX).

Zions Bancorp reassures after loan loss

Zions Bancorp (NASDAQ:ZION) shares ticked higher in extended trading after the bank reported stronger third-quarter earnings supported by growth in net interest income.

This comes despite the company’s disclosure of a $50 million loss on two commercial and industrial loans from its California division. The news, combined with similar disclosures from Western Alliance and Jefferies, triggered a selloff in regional bank stocks last week.

However, Zions Chief Credit Officer Derek Steward told analysts the company was “confident this was an isolated incident in our portfolio.” Net interest income rose to $672 million from $620 million a year earlier.

Amazon says AWS outage resolved

Amazon (NASDAQ:AMZN) said operations at its Amazon Web Services unit have returned to normal following Monday’s outage, which caused widespread disruption to hundreds of websites.

The company added that message backlogs would still take a few hours to process. The incident, caused by a regional gateway issue on the U.S. East Coast, impacted several platforms including Perplexity, Coinbase (NASDAQ:COIN) and Robinhood Markets, Inc. (NASDAQ:HOOD).

Takaichi to make history as Japan’s first female prime minister

Sanae Takaichi, leader of Japan’s Liberal Democratic Party, won a key lower house vote on Tuesday, clearing the way to become the country’s first female prime minister later in the day.

The 64-year-old secured 237 votes, more than the required majority in the 465-seat lower house. Although she did not win an outright majority in the upper house, the outcome is expected to confirm her appointment as Japan’s 104th prime minister.

Takaichi will replace Shigeru Ishiba, who resigned in September after poor election results. She is known for her fiscally dovish stance and is expected to ramp up spending on infrastructure, industrial development, and defense as Japan contends with slowing consumption, persistent inflation, and tariff-related headwinds from the U.S.

Gold prices retreated from historic peaks in Asian trading on Tuesday, weighed down by profit-taking and improving sentiment around U.S.–China trade relations, which softened demand for the metal’s traditional safe-haven role.

Spot gold slipped 0.8% to $4,322.95 an ounce by 02:27 ET (06:27 GMT), pulling back from Monday’s record high of $4,381.21/oz as investors booked gains after a week-long rally. U.S. gold futures for December delivery also eased 0.5% to $4,339.35/oz.

Trade optimism tempers safe-haven demand

The move lower followed remarks from Donald Trump, who adopted a more conciliatory stance on trade, saying he expected a “strong and fair” deal with China and looked forward to constructive talks with Xi Jinping during a summit in South Korea next week.

In a further sign of thawing tensions, U.S. Treasury Secretary Scott Bessent is set to meet Chinese Vice Premier He Lifeng in Malaysia later this week. This comes after renewed strains in relations, with Trump threatening to impose additional 100% tariffs on Chinese goods starting November 1.

White House economic adviser Kevin Hassett also added to the improved sentiment by stating on Monday that the prolonged U.S. government shutdown was “likely to end this week,” as negotiators closed in on a bipartisan funding deal.

The easing of political and trade uncertainty has reduced the immediate appeal of defensive assets such as gold.

Focus shifts to U.S. inflation data

Investors are now awaiting the delayed U.S. Consumer Price Index data, scheduled for release on Friday. Economists expect headline inflation to rise around 3.1% year-on-year. A hotter reading could dampen expectations of a potential rate cut at the Federal Reserve’s October meeting.

Despite the pullback, gold remains supported by expectations of imminent Fed policy easing, Trump’s tariff threats, and ongoing central bank buying, which continue to underpin longer-term demand.

Stronger dollar pressures broader metals

The strength of the United States dollar added to the downward pressure on precious and industrial metals, making them more expensive for overseas buyers.

Silver futures fell 1.5% to $50.68 an ounce, while platinum futures dropped 1.1% to $1,633.60/oz. Benchmark copper on the London Metal Exchange edged down 0.2% to $10,666.20 a ton, while U.S. copper futures declined 1% to $5.00 a pound.

Oil prices fell for a second straight session on Tuesday, pressured by mounting concerns over excess supply and weakening demand linked to the ongoing trade dispute between the U.S. and China — the world’s two largest oil consumers.

Brent Crude futures slipped 30 cents, or 0.49%, to $60.71 a barrel as of 07:46 GMT. The expiring November contract for West Texas Intermediate (WTI) lost 29 cents, or 0.5%, to $57.23, while the more active December contract fell 31 cents, or 0.54%, to $56.71.

Oversupply fears push market into contango

Monday’s losses drove prices to their lowest levels since early May, as fears grew that escalating U.S.–China trade tensions could slow global economic growth and weigh on demand.

Both WTI and Brent are now trading in a contango structure — when near-term prices are lower than later-dated contracts — a pattern often seen when supply is ample and demand softens.

Supply concerns have intensified as the Organization of the Petroleum Exporting Countries (OPEC) and its allies, including Russia, press on with plans to add more barrels to the market. Analysts now expect a crude surplus this year and next, with the International Energy Agency projecting an oversupply of nearly 4 million barrels per day in 2026.

“The continued weakening of Brent’s monthly spread structure indicates that the pressure from oversupply in the crude oil market is gradually materializing,” analysts from China’s Haitong Securities said in a note on Tuesday. “This will dampen market expectations and curb investors’ willingness to chase gains, limiting the potential for oil prices to rebound.”

Bearish sentiment builds

The bearish mood has prompted some banks to revise their price forecasts lower. Analysts at Goldman Sachs said Tuesday they expect Brent to fall to $52 per barrel by the fourth quarter of 2026, citing data pointing to a widening global glut.

The team attributed the past week’s price slump to signs that “the long-anticipated global surplus has started to show” in satellite tracking of global inventories as well as reports from the IEA and the U.S. Energy Information Administration.

Still, some upside potential remains if trade negotiations make progress. A meeting between Donald Trump and Xi Jinping next week in South Korea has raised hopes that any agreement could help stabilize prices, though disputes over tariffs, technology, and market access persist.

“As long as there’s no new bearish news, oil prices have a natural need to rebound from oversold levels. At present, if there are expectations of improvement in China–U.S. economic and trade talks, the probability of a rebound increases,” said Yang An, analyst at Haitong Securities.

Focus on U.S. inventories

Market participants are closely watching inventory data for further clues on supply-demand dynamics. A preliminary Reuters poll indicated that U.S. crude stockpiles likely rose last week, ahead of official reports from the American Petroleum Institute and the EIA later this week.

The U.S. dollar gained modestly on Tuesday, rebounding from recent declines tied to banking concerns as hopes of progress in upcoming U.S.–China trade talks improved market sentiment.

At 04:25 ET (08:25 GMT), the U.S. Dollar Index — which measures the greenback against six major currencies — was up 0.2% at 98.570, following its sharpest five-day decline since late July.

Dollar finds footing after banking worries ease

With U.S. equities extending their rebound, investor focus in FX markets has shifted away from fears about the health of the banking sector.

“Zions Bank’s earnings report was solid outside of the losses linked to fraud, even though scrutiny remains high on any other signs of credit stress in the system,” said ING analyst Francesco Pesole.

The dollar also drew support from weakness in the Japanese yen and from optimism that Donald Trump may reach a trade agreement with Xi Jinping during their scheduled meeting next week in South Korea.

Trade frictions between the world’s two largest economies have long weighed on global confidence, with disputes over tariffs, technology, and market access still unresolved.

Adding to the upbeat tone, White House economic adviser Kevin Hassett said the 20-day U.S. federal government shutdown could end this week.

“Not much is moving on U.S.-China trade tensions ahead of the end-of-month scheduled meeting between Trump and Xi,” added Pesole, “with the approach seemingly being a wait-and-see one mixed with some cautious optimism that Trump will get a deal out of China.”

Pound weakens on record borrowing figures

In currency markets, EUR/USD traded 0.2% lower at 1.1622, little helped by receding political risks in France.

“EUR/USD remains almost entirely driven by U.S. credit/equity sentiment: here, further stabilisation could take EUR/USD all the way to 1.160. Levels below that will be harder to justify unless the U.S. CPI on Friday comes in hotter than expected,” said Pesole.

GBP/USD also slipped 0.2% to 1.3383 after data showed that U.K. government borrowing in the first half of the fiscal year reached its second-highest level on record, surpassed only by the pandemic period.

Borrowing totaled £99.8 billion in the first six months, 13% higher than a year earlier and £7.2 billion above the forecast from Britain’s budget watchdog. Finance Minister Rachel Reeves is expected to outline new tax measures to balance the budget in November’s fiscal statement.

Yen softens as Takaichi wins leadership vote

USD/JPY climbed 0.3% to 151.14 after Sanae Takaichi, head of the Liberal Democratic Party (Japan), secured enough votes to become Japan’s next prime minister.

Takaichi, widely seen as fiscally accommodative, is expected to expand government spending and push for looser fiscal policies. She is also likely to oppose additional interest rate hikes by the Bank of Japan, which is set to meet next week.

Yuan holds firm, Aussie slides

USD/CNY dipped slightly to 7.1178, with the yuan supported by a series of stronger-than-expected midpoint fixes from the People’s Bank of China. Markets remain focused on further dialogue between Beijing and Washington after Trump struck a more conciliatory tone on trade.

Meanwhile, AUD/USD fell 0.4% to 0.6489, with the Australian dollar sliding even after Canberra signed a major critical minerals agreement with Washington.

European equities traded largely unchanged on Monday, holding on to their early-week momentum as investors focused on easing geopolitical tensions and a busy earnings calendar.

As of 07:10 GMT, Germany’s DAX slipped 0.1%, France’s CAC 40 edged down 0.1%, while the U.K.’s FTSE 100 gained 0.3%.

Optimism on U.S.–China Relations

Market sentiment has improved in recent days on hopes that tensions between the U.S. and China may ease. This was reinforced by comments on Monday from Donald Trump, who expressed optimism about reaching a fair trade deal with Xi Jinping during their upcoming meeting at an economic conference in South Korea next week.

Trade frictions between the two largest economies have weighed heavily on global markets, with disputes over tariffs, technology, and market access still largely unresolved.

Takaichi to Take Office as Japan’s First Female PM

In Asia, Sanae Takaichi, leader of the Liberal Democratic Party (Japan), is expected to be sworn in later today as Japan’s 104th prime minister, becoming the first woman to hold the office.

She succeeds Shigeru Ishiba, who stepped down in September after the party’s electoral defeat. Known for her fiscally accommodative stance, Takaichi is anticipated to ramp up public spending on infrastructure, industrial policy, and defense.

Corporate Earnings Under the Microscope

With a quiet European macroeconomic calendar, investors are turning their attention to quarterly earnings.

• Assa Abloy (BIT:1ASSA) posted third-quarter operating profit slightly above expectations, despite persistent weakness in the North American housing market.
• Husqvarna (BIT:1HUSQ) missed forecasts, as soft North American demand and uneven global trends weighed on results.
• Unilever (LSE:ULVR) announced it will revise the timeline for the planned spinoff of The Magnum Ice Cream Company N.V. due to the ongoing U.S. federal government shutdown.
• L’Oréal (EU:OR) is set to release its earnings later today, following its €4 billion acquisition of Kering’s beauty division.

Investors are also eyeing upcoming U.S. earnings, with reports from Netflix (NASDAQ:NFLX) and The Coca-Cola Company (NYSE:KO) scheduled for Tuesday.

Oil Prices Weaken Further

Crude prices extended losses Tuesday, hovering near five-month lows as concerns over a looming oversupply and softening demand weighed on sentiment.

Brent Crude futures slipped 0.5% to $60.72 a barrel, while West Texas Intermediate fell 0.5% to $56.73. Prices dropped to their lowest level since early May during Monday’s session amid worries that prolonged U.S.–China trade tensions could dampen economic growth, coupled with the International Energy Agency’s outlook for a supply glut in 2026.

This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.
Some portions of this content may have been generated or assisted by artificial intelligence (AI) tools and been reviewed for accuracy and quality by our editorial team.

Euro zone lenders may come under pressure if access to U.S. dollar funding tightens, potentially forcing them to scale back lending to businesses and households, Philip Lane, Chief Economist of the European Central Bank, cautioned on Tuesday.

Lane highlighted that the combination of sizeable off-balance sheet exposures in U.S. dollars and unstable funding channels leaves banks exposed to shifts in market conditions.

“The combined presence of substantial USD-denominated off-balance sheet exposures and volatile funding means that sudden changes in these net exposures cannot be ruled out,” Lane said.

He further warned that if the probability of such a scenario increased, it would “generate pressures on both sides of banks’ balance sheets and potentially downward pressure on on-balance sheet exposures like loans to the real economy.”

The remarks underscore growing concerns about financial stability in the euro area in the event of a U.S. dollar funding squeeze, which could ripple through credit markets and weigh on economic activity.

This content is for informational purposes only and does not constitute financial, investment, or other professional advice. It should not be considered a recommendation to buy or sell any securities or financial instruments. All investments involve risk, including the potential loss of principal. Past performance is not indicative of future results. You should conduct your own research and consult with a qualified financial advisor before making any investment decisions.
Some portions of this content may have been generated or assisted by artificial intelligence (AI) tools and been reviewed for accuracy and quality by our editorial team.