Market Open: Stocks Higher, Anthropic IPO Docs Posted, Neocloud Shares Struggle • 10/26/26

0:01CNBC Business News Update Market Open. I'm Jessica Ettinger. Wall Street's higher to start this new week of trading. Anthropic revealing its initial public offering documents. This morning, the maker of the Claude AI model has AI investors excited. We've got the Dow up 207 points this morning. It's being led higher by shares of Johnson & Johnson up almost 2%. The S &P 500 index up 30 points. The Nasdaq up 88 points. Anthropics IPO documents revealed. There it is. We've got the S-1 being filed by Anthropic. Of course, one of the two key frontier labs that we've been following so closely that has been an enormous company when it comes to the private markets, but has plans to come public and probably will do so, let's call it, the next three to four weeks.

0:50We've got to see REVs. We've got to see a lot of things in this S-1 now. The documents show the ticker symbol ANT for Anthropic. A-N-T, a possible IPO before Thanksgiving. That was Mad Money host Jim Cramer and CNBC's David Faber. Full coverage right now of Anthropic at CNBC Television, CNBC.com and the CNBC app on your phone. Facebook and Instagram parent Meta announcing a$95 billion stock offering to fund its artificial intelligence expansion. Shares were higher in early trading. Chipmakers NVIDIA and AMD are interested in buying up some of those shares, according to a statement by Meta. The beleaguered neocloud stocks have been dealt a blow by Elon Musk, posting on social media that more than 200 of these companies face guppy-level death.

1:39A take from CNBC's Andrew Ross-Orkin and Allianz economist Mohamed El-Erian. So I say he's right. You saw the first phase of a typical innovation. everybody rushing in, everybody providing funding to anything that had an AI labeled attached to it. How quickly, though, do you think this is going to impact these companies? He's absolutely right in saying two things matter. One is earnings potential and two is balance sheet. Those with little earning potential and weak balance sheets are going to feel it first. That's a normal part of the innovation cycle. I don't know any innovation cycle that doesn't start with overfunding.

2:16and then the funders become much more discriminant. And that's a good thing. Musk's post sent shares of Corweave, Nebbias and more deep into the red. Verizon shares were up on better than expected quarterly results. It also increased its forecast. JetBlue's shares were tanking 7 % at the open today after a Wall Street Journal report before the weekend said the airline's working to restructure its debt and its business. As the Iran war sent jet fuel prices higher, squeezing profit margins. Warner Brothers DC Studios Clayface won the weekend box office. But the biggest success story in theaters remains A24's Elizabeth Holmes documentary, You Can See Everything, a film Hollywood had not bet on.

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