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

1357 ET - Hyperliquid's HYPE token rises 6.7% to $90.83 after the exchange announced that it would enable direct borrowing on its platform. HYPE hit a record $92.43 earlier in the session. Hyperliquid says that it will let users supply HYPE or BTC as collateral for loans, offering 65% and 50% loan-to-value, respectively, according to a statement on its website. The HYPE token has gained 30% in the past two months alone.(kirk.maltais@wsj.com)

1344 ET - The number of rigs drilling for oil in the U.S. rose by two this week to 452, or 34 more than a year ago, Baker Hughes reports. Natural gas rigs also rose by 2 to 134, up 16 from a year ago. U.S. producers have increased oil drilling and production since the Middle East conflict pushed prices up. It's coming into to the time when producers set their budgets for next year, although consolidation in U.S. shale has left companies more measured in the way they make decisions, says Andrejka Bernatova, CEO of energy-focused SPAC Dynamix Corporation III. "$100 oil would allow you to drill Tier 2 and Tier 3 acreage now, but I think it's going to take time for boards to be the ones to take the first step, and be willing to increase production on a substantial basis." (anthony.harrup@wsj.com)

1320 ET - Recent AI security incidents disclosed by OpenAI are a cause for concern, Microsoft AI CEO Mustafa Suleyman says on CNBC. An OpenAI model seems to have tampered with the log of its chain-of-thought reasoning, which was "modified to leave messages for a future version of itself," Suleyman says, citing the company's recent security disclosures. "We don't know why that is or what's behind that, but that's a pretty serious situation." He praises OpenAI's disclosure of the incident but says it demonstrates the growing power and capability of leading AI models.(elias.schisgall@wsj.com)

1301 ET - Microsoft's new provisional code of conduct for AI training is advocating for a "common-sense view" that AI should remain under human control, Microsoft AI CEO Mustafa Suleyman says on CNBC. "It has to remain a force that is subordinate to our interests, that is aligned to humanity, and has to be something that we can contain," Suleyman says. "It's kind of a surreal moment in the tech industry that we actually have to get up and make that the requirement."(elias.schisgall@wsj.com)

1131 ET - StubHub looks set to report a strong third quarter, with Citi analysts pointing to continued robust app downloads. The results could help the stock come back from a double-digit slide following its second-quarter report, the analysts say in a note. The stock's weakness has been driven by a few factors, including fears the company could miss its full-year adjusted EBITDA guidance after the metric came in below expectations in the second quarter, they say. The analysts upgrade the stock to buy but lower their price target from $9 to $7 to reflect potential headwinds from an MLB lockout as well as a lower multiple. (kelly.cloonan@wsj.com)

1051 ET - Canadian auto suppliers Linamar and Magna International face a deteriorating macroeconomic backdrop and renewed trade tensions. BMO's Tamy Chen downgrades both stocks to market perform from outperform, escalating trade volatility has pushed Magna and Linamar into more challenging waters. The new playing field has made her walk back a previously rosier outlook for the two companies. "We felt the continued margin improvement narrative would still drive some further share price appreciation," she says, but "now the Fed has turned hawkish and risk skews to the downside on production volume forecasts." Shares of Magna and Linamar trade down 2.8% and 3.4%, respectively. (adriano.marchese@wsj.com)

1034 ET - Michelle Bowman, Vice Chair for Supervision of the Fed's Board of Governors said the Fed will consider final revisions to the Board's stress testing framework in the 'coming weeks'. "These changes will improve transparency and public accountability, strengthen the reliability and accuracy of the models, and reduce the volatility of the capital requirements flowing from the annual stress test results," Bowman said when delivering remarks in London. (jessica.coacci@wsj.com)

1031 ET - Russia's move to seize Nestle's business in the country casts a cloud over the terms of a potential sale of the unit, but the Swiss food group faces a limited financial impact otherwise, Vontobel's Jean-Philippe Bertschy says. "While negative for sentiment and raising the prospect of an asset impairment or unfavorable disposal, we expect a marginal financial impact, given Russia's limited contribution to group sales," Bertschy says in a research note. Russia accounted for around 2% of Nestle's sales in 2021, the last disclosed figure, but its current contribution is probably just over 1% given that the company significantly reduced activity in the country since then, the analyst says. Shares fall 2.4%. (adria.calatayud@wsj.com)

1030 ET - Bitcoin climbs over 5% to $80,410. "Bitcoin is benefiting from a broader risk-on move as oil and long-term Treasury yields ease, while roughly $154 million of daily U.S. spot ETF inflows and short-covering helped push it through," says Lacie Zhang of Bitget Wallet. The $80,000 mark is "psychologically important," Zhang says -- and it comes after a lot of leverage has already left bitcoin in recent trading sessions. As a result, bitcoin is responding better to "renewed spot demand," Zhang says. Ethereum is up 4.5% to $2,562, XRP is up 5.6% to $1.37, and solana rises 7.8% to $109.08. (kirk.maltais@wsj.com)

0940 ET - The rise of next-generation smoking products such as vapes and nicotine pouches will drive the next phase of British American Tobacco's growth, Jefferies analysts Andrei Andon-Ionita and Edward Mundy write. "Next generation products have become well-invested propositions with ample scale in the key U.S. market, and could drive 50% of group top-line growth in the medium term," the analysts say. The business is attractively valued and current valuations represent a compelling entry point for the shares, they add. Jefferies has a buy rating on the stock and a price target of 55.00 pounds. Shares are flat, trading at 41.83 pounds. (joseph.wilkins@wsj.com)

0831 ET - Swiss running-shoe maker On Holding will host an investor day on Tuesday, marking its first such event since October 2023, according to William Blair. "The event will serve as an important opportunity for founders and newly appointed co-CEOs, David Allemann and Caspar Coppetti, to set expectations and provide greater clarity on the company's next three-year growth framework," the analysts say in a research note. The event comes as investors have become increasingly concerned about the company, which is seeing sales growth decelerate and competition in the athletic footwear market mount. As a result, the analysts say On should take on a more sober view of its wholesale channel and issue more muted guidance. "We would look to get more constructive with expectations reset and a more achievable bar set," they say. (connor.hart@wsj.com)

0822 ET - Oil prices could remain above $100 a barrel well into next year if the Middle East conflict drags on for longer and flows don't recover by the end of 2026, according to Capital Economics. "Houthi advances in Yemen and a lack of progress on the diplomatic front raises the risk of a more severe and longer conflict than our working assumption," says senior economist Hamad Hussain. In afternoon European trading, Brent crude is down 1% to $103.78 a barrel, while WTI falls 0.1% to $101.83 a barrel.