The latest Market Talks covering Equities. Published exclusively on Dow Jones Newswires throughout the day.

1351 ET - There's a high bar for enterprise original equipment manufacturers heading into earnings, Morgan Stanley analysts write in a note, following stock rallies and estimates through the year-end being revised upward. "Relative to 3 months ago, the setup for our enterprise hardware OEM universe is more challenging entering July quarter earnings," the analysts write. Hewlett Packard Enterprise has the best setup, with a comparatively modest valuation and expected overperformance in its networking business, they write. The buyside expectations are highest for Dell, although the analysts remain "slightly more positive than negative" on the company. Things look toughest for Hewlett Packard, where a third-quarter beat is already priced in and the fourth-quarter outlook may reflect deteriorating trends, the analysts write. (elias.schisgall@wsj.com)

1335 ET - Saudi Arabia leads most major Gulf stock markets higher, extending gains from the previous session after leading the region last week with a 1.2% rise. The Saudi Tadawul All Share Index gains 0.9%, Qatar's QE Index rises 0.5%, Abu Dhabi's benchmark index advances 0.4% and the Dubai Financial Market General Index adds 0.2%. Saudi Arabia and France signed agreements worth more than $10 billion on Monday, with Saudi Investment Minister Fahd Al-Saif saying the two sides aim to develop a focused pipeline of investments across priority sectors under Vision 2030. (farhan.rafid@wsj.com)

1326 ET - Hinge Health's expansion beyond physical therapy can further propel the company's growth for years to come, Morgan Stanley analysts say in a research note. The digital-health company, which for more than a decade has been focused on delivering musculoskeletal care, earlier this year launched a migraine-care program. The new offering built on Hinge's existing technology, enables it to address additional care needs within its installed client base, the analysts say. Further product innovations could continually enhance the company's flywheel, especially if they continue to roll out with similarly high margins and returns on investment: "One of the key debates for the stock is durability of growth, and we remain buyers on the view that ongoing momentum in the core MSK business and ramp of new offerings will surprise to the upside." (connor.hart@wsj.com)

1244 ET - Marvell Technology's strength in the data-center business and its plans to ramp its next-generation Trainium 3 chips provide the setup for a strong outlook, JPMorgan analysts write in a note. They expect a fiscal second-quarter beat and a third-quarter outlook above consensus views, driven by the Trainium 3 ramp. Marvell's commercial agreement with Google, which includes a warrant to buy nearly 59 million Marvell shares, further validates the company's progress, the analysts write. Investors will be looking closely at the data-center outlook for 2027 and 2028, but a combination of factors including Trainium 3 should improve "visibility into CY27 data center growth, creating strong upside potential versus the current +55% Y/Y expectation," they write. Shares are down 3.6% at $228.56. (elias.schisgall@wsj.com)

1217 ET - Nvidia's 2Q results are likely to beat Wall Street estimates, but that alone isn't expected to serve as a positive catalyst for the stock, JPMorgan analysts write in a note. Instead, they write, traders will be listening for a range of substantial updates: Nvidia's GPU shipments to China, the strategy behind the company's infrastructure funding agreements, the state of memory supply, and competitive pressures from other compute platforms. The threat of competition from AMD, Cerebras, and makers of custom chips "has been an ongoing narrative headwind for NVDA, and one that we think will be challenging to dispel entirely given the significant program ramps planned for the next few years," they write. (elias.schisgall@wsj.com)

1159 ET - Endeavour Silver can now resume its operations at its Terronera project in Mexico after a peaceful blockade led by community members of the Ejido community was lifted. Community members were demanding proper road maintenance, assistance with medical services and communications, as well as control and access to water supply and increased financial assistance. A spokesperson for the company says "the situation was resolved through direct dialogue, without government or military involvement, as communications with the Ejido remained open and cordial throughout." The spokesperson added that "the discussions focused on matters covered under our existing agreements, as well as additional items, all of which have now been negotiated and are being finalized." Shares are up 1.4% to C$14.82. (adriano.marchese@wsj.com)

1153 ET - Dick's Sporting Goods could report thinner margins in its second quarter report, partly due to weakness among lower income consumers, JPMorgan analysts say. The analysts lower their forecasts for margins for both Dick's and Foot Locker, as they expect softer Foot Locker same-store sales and incremental promotions. The company is operating amid weakness in the lower-income consumer, a potential lull following the World Cup and disappointing results from competitors, the analysts say.(katherine.hamilton@wsj.com)

1140 ET--Canada's auto-parts makers are some of the hardest hit stocks on the TSX as President Trump threatens 50% tariff on the country's auto sector. Trump is planning to impose 50% tariffs on automobiles and parts from Canada starting in January 2027. The escalation comes after cross-border trade talks collapsed over the weekend after the U.S. added last-minute requests to a nearly completed deal. U.S. tariffs on Canadian automobiles now stand at 25%, with discounts for the U.S. content in cars, while steel tariffs are at 50%. Magna International, the largest auto-parts maker, is down 4%, while Linamar declined by 4.9%. Martinrea International shares are down 6.3%. (adriano.marchese@wsj.com)

1107 ET -- Descartes Systems' $100 million acquisition of Tai Software is highly complementary to its existing transportation management suite, says William Blair's Dylan Becker. The move strengthens the company's presence among North American freight brokers "while adding modern workflow automation and connectivity across multiple domestic transportation modes." Becker adds that Tai's less-than-truckload capabilities are a differentiated addition. The analyst adds that Tai's positioning among midsize and established freight brokers creates an "attractive cross-sell opportunity" for Descartes' existing customers, while Descartes' broader Global Logistics Network "should provide Tai with additional data, connectivity and distribution resources to support continued growth." Shares are up 1.3% at C$109.19. (adriano.marchese@wsj.com)

1024 ET - Heavyweight industrial and export-focused Canadian names are bearing the brunt of a sell-off as markets digest U.S. cross-border supply chain disruption. Among the biggest decliners are manufacturing and auto-parts stocks like Magna International, Linamar and also transformers and electrical equipment manufacturer Hammond Power Solutions, all of which face immediate headwinds under the non-CUSMA content penalties. Aerospace, materials and tech growth plays are also pulling back, including business-jet maker Bombardier, BlackBerry, specialty semiconductor producer 5N Plus and satellite maker MDA Space. Toronto indexes, however, remain flat as gains in mining, metals and financials offset the pressure. (adriano.marchese@wsj.com)

1006 ET - Thomson Reuters says it pursued a cost-efficient route to developing its first large language model, going the in-house route rather than with one of the biggest names in AI. Rather than spending billions on a massive general-purpose foundation model from scratch, the company fine-tuned an open source base model in-house. For the LLM, named "Thomson" and launched Monday, the company says it invested $40 million to "train Thomson into the right intelligence for the jobs that matter most." Thomson Reuters has long-asserted that its proprietary data repository gives it a distinct moat in the AI race, was its strength and differentiator in the age of AI models, noting that the model has been trained on less than 10% of its content library so far. (adriano.marchese@wsj.com)

0959 ET - The EU faces criticism for not going far enough to deepen integration and cut red tape, even as the bloc pursues an industrial policy to boost competitiveness with the U.S., BBVA says. The Industrial Accelerator Act is currently under discussion in Brussels. The proposal attempts to reduce bureaucracy by adding new rules to an already over-regulated system, the Spanish bank adds. "Europe still lacks a single capital market, a European safe asset, a fully integrated energy system, and, most urgently today, the capacity for common action in defense and industrial policy."