SG Morning Brief | Micron Blowout Sends Nasdaq Futures Up, Oil Hits $70; Core PCE Today

US OvernightThe S&P 500 dipped 0.10% to 7,358.22 and the Nasdaq slipped 0.43% to 25,476.63, both posting a third straight decline but in a notably calmer session — declines were narrow and indexes closed well off intraday lows. The Dow gained 0.35% (+182.06) to 51,848.90. Oil collapsed further: WTI fell 3.92% to $70.34, its lowest since early March, and Brent dropped 4.33% to $73.74, the lowest since before the US-Iran war began in February. Trump said Iran confirmed there will be no tolls or charges for Hormuz shipping. Gold fell 3.20% to $4,016.82. The 10-year yield eased to 4.40%. Alphabet will replace Verizon in the Dow Jones Industrial Average, and JPMorgan raised its year-end S&P 500 target to 7,800 from 7,200, calling it a "Blue Sky" scenario as the US-Iran peace inches closer.Key MoversCerebras (CBRS) -19% intraday, broke IPO price — Cerebras crashed as much as 19% during the session after its first earnings report as a public company disappointed investors with a forecast of declining gross margins. The stock closed down 11%, falling below its May IPO price of $185. The AI chipmaker that debuted at $311 on IPO day is now well below that level. Among the Mag 7, only Amazon closed higher; Microsoft fell over 2%, leading the group lower.After hours, Micron (MU) +13% — Micron delivered a massive beat-and-raise. Q3 EPS of $25.11 crushed the $20.83 consensus, and revenue of $41.46 billion topped the $35.75 billion estimate by 16%. The company guided Q4 revenue to $49-51 billion, far above Street expectations, and confirmed HBM demand remains "fully sold out." The stock initially spiked 16% before settling around +13% at $1,189.23 in after-hours. Nasdaq 100 futures jumped 2.2% in the Asian session.SGX PreviewThe STI was near 5,070 recently. DBS is near S$62.18 and UOB near S$37.91. Micron's blowout earnings and Nasdaq futures +2.2% should drive a strongly positive open for Singapore tech names today. Oil at $70 is transformative for Singapore's economy — import costs are plunging, and if sustained, MAS could begin easing policy by Q4. Banks face a cross-current: lower oil reduces rate hike odds (negative for NIM) but boosts the economy (positive for loan growth). Today's Core PCE will be the deciding data point.Asia Pre-MarketNasdaq 100 futures surged 2.2% in overnight Asian trading on Micron's results. S&P 500 futures and Dow futures are also higher. WTI at $70.34 and Brent at $73.74 are approaching the $65-70 range that analysts associate with "peacetime equilibrium." The market is positioned for a relief rally if PCE cooperates tonight.Today's US Earnings and Economic CalendarEventTime (ET)Time (UTC+8)May Core PCE (MoM)8:30 AM8:30 PMMay Core PCE (YoY)8:30 AM8:30 PMQ1 GDP (Final)8:30 AM8:30 PMData Spotlight: May Core PCE — The Fed's preferred inflation gauge lands into a dramatically different backdrop than a month ago. April core PCE was 3.3% YoY. Since then, oil has fallen from $95 to $70, and the Iran ceasefire framework has been signed. While core PCE strips out energy directly, falling oil feeds through to transportation, logistics, and goods prices with a lag. A print at or below 3.2% would give Warsh the data cover to hold rates indefinitely. A print above 3.4% keeps the hike debate alive despite the oil collapse. JPMorgan's "Blue Sky" S&P target of 7,800 is predicated on no hike and falling inflation through H2.One More ThingMicron just answered the question the KOSPI crash asked. Two days ago, the market panicked over SK Hynix repurposing an HBM4 line. Tonight, Micron reported revenue 16% above consensus, guided Q4 to $49-51 billion, and confirmed HBM is "fully sold out." The AI memory supercycle is not over — the KOSPI was wrong. Oil at $70 is the other half of the story. At that price, the Iran war's economic damage begins to reverse. Gas below $3.25. CPI decelerating. The rate hike narrative fading. Micron's beat and oil's collapse landing on the same night, one day before PCE, is either the market's best possible setup or the cruelest bull trap. We find out tonight.This briefing is for informational purposes only and does not constitute investment advice.