Micron reported $54.2 billion in quarterly revenue, up from $11.3 billion a year earlier. Its first-quarter forecast also beat expectations.
The reported quarter is strong. The question is how much of that growth carries into the next one.
Micron Beat Expectations, but Its Outlook Is Still a Forecast
Revenue topped the $51.5 billion expected. Earnings per share were $33.42, compared with $31.82 expected, and gross margin reached 87%.
Micron also guided to $62 billion in first-quarter revenue, above the $58 billion expected. Its earnings-per-share guidance was $38.15, versus $35.92 expected.
Both the quarter and the forecast beat expectations. But Micron’s first-quarter results still have to show whether that forecast holds up.
The longer-term customer story is separate from those reported results. A post says Micron has 26 strategic customer agreements covering an estimated 35%+ of revenue through 2030. The same post puts customer financial commitments at $32 billion, with the vast majority coming as cash deposits.
Micron CEO Sanjay Mehrotra expects fiscal 2027 to be better than fiscal 2026. He also expects memory and storage supply and demand to be much tighter in fiscal 2027 and 2028 than in fiscal 2026. That is Micron’s outlook, not an outcome yet.
Micron says a humanoid robot could need 200GB+ of DRAM and multiple terabytes of storage. Tom Lee of Fundstrat argues that AI and robotics could add a new source of economic growth. Neither claim represents demand already recorded in Micron’s results.
Bond Yields Rose, Then Inflation Brought Some Relief
The 10-year Treasury yield rose more than half a percentage point in September to 5.3%. It was the sharpest monthly rise since September 2022.
The Financial Times reported that US government bonds had their worst month in four years. It described selling that fed on itself as some funds had to sell when yields reached certain levels.
Then August inflation came in at 3.4%, down from 3.7% the month before. Core inflation fell to 3% from 3.3%, and the 10-year yield retreated to 5.23%.
That brought some relief, but the economic figures did not all point the same way. September private hiring was 90,000, above the 68,000 estimate. Second-quarter GDP was revised up to 2.2% from 1.5%. Cooler inflation and those stronger figures leave the Fed with more to weigh ahead of Friday’s official jobs report.
Treasury secretary Scott Bessent announced a $6 billion bond buyback. Investors had expected $8 billion to $10 billion. President Trump separately threatened to halt trade with countries where the US runs a deficit unless the Fed cuts rates. Neither development settled where yields go next.
Meta Launched Muse, but the Spending Question Remains
Meta introduced Muse, a personal agent app with a free tier and $20 or $100 monthly plans. Meta says it can book appointments, fill out forms and monitor home security feeds.
Users must opt out if they do not want their agent interactions used to train Meta’s AI models.
Wall Street is pressing Meta to show returns on its AI spending. Muse is a new product, but its launch alone does not answer that question.
Robinhood announced agentic trading tools and extended weekend hours. Separately, a post estimated Amazon’s parts at about $3.7 trillion to $4.2 trillion, against its stated $2.67 trillion market cap. That is the post’s valuation estimate, not a company result or a reported transaction.
Retirement Balances Rose as Oil Supply Risks Were Reported
Fidelity reported a 10.5% rise in the average 401(k) balance from March through June. Participants in their 30s averaged $75,200; those in their 40s averaged $156,800. Fidelity cited the strong stock market as a boost.
On oil, @geopoliticaleconomyreport says Iran’s closure of the Strait of Hormuz disrupted 20% of globally traded oil supply. It says drones attacked Saudi Arabia’s East-West Pipeline in September and cites a Reuters estimate that the outage threatens 4% of global oil supply. The channel also reports Yemen’s announced naval blockade of Saudi Arabia in the Red Sea.
Those are reported supply risks. They do not establish where oil prices go next.