tl;dr
On September 26, 2025, the U.S. stock market saw dramatic shifts as Electronic Arts jumped 15% amid rumors of a $50 billion leveraged buyout, while Costco fell 3% despite beating earnings expectations. The S&P 500 recovered from a three-day slump, fueled by positive inflation data and hints of Feder...
On September 26, 2025, the U.S. stock market saw a mix of gains and losses, with Electronic Arts (EA) leading the charge as investors reacted to speculation about a potential $50 billion leveraged buyout. Meanwhile, Costco’s shares fell after reporting weaker-than-expected sales growth, reflecting broader challenges in consumer spending. The broader market also found some resilience, with the S&P 500 ending the day higher after a three-day losing streak, buoyed by a key inflation indicator aligning with expectations and the possibility of further Federal Reserve rate cuts.
Electronic Arts surged nearly 15% following reports that a group of investors—including Saudi Arabia’s Public Investment Fund and private equity firm Silver Lake—was nearing a deal to take the video game publisher private. The potential transaction, which could become the largest leveraged buyout in history, sent shares of the company known for its popular sports titles soaring. The news came as the S&P 500 climbed 0.6%, the Dow Jones Industrial Average rose 0.7%, and the Nasdaq added 0.4%, indicating a broader market recovery.
The rally in EA’s stock highlighted the growing interest in the gaming sector, even as other companies faced headwinds. Costco, the membership warehouse giant, saw its shares dip nearly 3% after reporting fiscal fourth-quarter results that, while beating expectations on sales and profits, revealed a slight miss in U.S. same-store sales growth. The company attributed the slowdown to consumer caution amid economic uncertainty and intensified competition. Despite its reputation for offering bargains on essentials, Costco’s management noted that discretionary spending remained subdued, a trend that could weigh on the sector in the coming months.
Other market movers included Intel, which added 4.4% after reports of potential partnerships with TSMC and Apple, and Boeing, which climbed 3.6% following the Federal Aviation Administration’s approval to resume issuing airworthiness certificates for some of its 737 Max and 787 jets. Meanwhile, Oracle’s shares declined 2.7% after a "sell" rating from analysts at Rothschild Redburn, who warned that investor optimism about the company’s cloud division may be misplaced.
Tariff-related developments also played a role in market dynamics. President Donald Trump’s announcement of new levies on imports of pharmaceuticals, furniture, and heavy-duty trucks sent shares of Paccar, a truck manufacturer, up over 5% as investors anticipated potential benefits from the policy shifts.
The day’s events underscored the complex interplay of factors influencing the market, from corporate deals and earnings reports to geopolitical developments and regulatory changes. As investors navigated these dynamics, the S&P 500’s recovery highlighted the market’s sensitivity to both macroeconomic signals and company-specific news. With the Federal Reserve’s upcoming decisions looming, the focus will remain on inflation trends and how they shape monetary policy in the months ahead.
For individual investors, the day’s movements served as a reminder of the importance of staying informed about both broad market trends and the specific stories driving stock prices. Whether it was the allure of a potential buyout for EA or the cautionary tale of Costco’s sales struggles, the market continued to reflect the ever-changing landscape of economic and corporate developments.