Daily Brief: US Votes in Midterms as Iran Backs Peace Talks

Americans vote in midterm elections on Tuesday that will decide control of Congress, with polls favouring Democrats. Iran's supreme leader gave his government new powers to negotiate an end to the war, sending oil to its biggest one-day fall since July, while doubts over artificial intelligence (AI) spending weighed on technology stocks.

Americans vote with control of Congress at stake

Polls open across the United States on Tuesday, starting in Vermont at 5 a.m. Eastern Time (10:00 GMT), in midterm elections for all 435 House seats, 35 of 100 Senate seats and 36 governorships, Al Jazeera reported. Democrats need three seats to take the House and a net gain of four to win the Senate, where Republicans hold 53 seats. More than 57 million Americans voted early, Agence France-Presse (AFP) reported. Asked what he would do if Democrats won Congress, President Donald Trump said: "I veto everything."

Khamenei gives government powers for peace talks

Iran's Supreme Leader Mojtaba Khamenei has given the government "certain powers" over peace talks with the United States, President Masoud Pezeshkian said on Monday. Foreign Minister Abbas Araghchi said talks through Qatari and Pakistani mediators were "extremely intensive" and that the Strait of Hormuz would reopen if Washington accepted Iran's conditions. US forces carried out limited strikes on Iran's Qeshm Island on Monday, US officials said, describing them as defensive. Trump said Iran wanted a settlement as soon as possible.

Netanyahu presses Trump to resume Iran strikes

Israeli Prime Minister Benjamin Netanyahu is pressing Trump to launch another round of strikes on Iran after the midterm elections, two regional officials and a third person familiar with the matter told the Associated Press (AP). Trump has not decided, they said. Trump called a Sunday phone call with Netanyahu "very good" but gave no details. Secretary of State Marco Rubio said on Saturday that the administration preferred a diplomatic solution. Gulf allies have warned that new strikes could destabilise the region.

Oil slumps as Wall Street splits on tech

Brent crude fell about 7.6% on Monday to settle near $104.80 a barrel, its biggest one-day drop since July, on hopes for US-Iran diplomacy. US crude fell 7.4% to about $96.50. The Dow Jones Industrial Average rose 0.4% to 51,983.98, but the S&P 500 fell 0.5% and the Nasdaq Composite 1.1% as chip stocks slid. The 10-year Treasury yield eased to about 4.89%. In Asia on Tuesday, South Korea's Kospi fell 2.5%, AP reported.

Russian bombs kill 26 at Ukrainian aid centre

Russian aerial bombs killed 26 people at a school used as an aid distribution centre and a nearby shelter in Komyshuvakha, in Ukraine's southern Zaporizhzhia region, on Monday, Ukrainian officials said. About 20 people were missing. President Volodymyr Zelenskiy said the attack was "further proof that Russia wants no de-escalation". Separately, hackers sent false alerts through government emergency apps in Ukraine on Sunday and in Russia early on Monday, according to officials in both countries.

Anthropic filing shows slowing growth before listing

AI company Anthropic reported third-quarter revenue of $16.96 billion in an amended filing for its initial public offering (IPO), up 47% from the previous quarter after 144% growth in the second, Reuters reported. It posted an operating loss of $567 million and a net loss of $23.29 billion, mostly from a non-cash revaluation of convertible notes. The filing listed $895.4 billion of spending commitments, mainly for computing power. Anthropic plans to begin marketing shares to investors next week.

Marvell agrees $115 billion deal for Lumentum

Chipmaker Marvell Technology agreed on Monday to buy optical components maker Lumentum Holdings in an all-stock deal with an implied enterprise value of $115 billion, the companies said. Lumentum shareholders will receive 4.5 Marvell shares for each share and own about 33% of the combined company. The deal is expected to close in the first half of 2028. Marvell shares fell 12.7% and Lumentum's 18.6%, while optical networking peer Ciena lost 11.3%.

Oracle raises $20 billion in stock and bonds

Oracle raised about $20 billion on Monday through a $10 billion share sale and $10 billion of bonds, citing uses including capital spending. It sold 86.2 million shares at $116 each, an 11.2% discount to Friday's close, and priced five bond tranches with coupons of 7% to 8.65%. Oracle shares fell 8.8% to $119.22, taking their loss this year to about 39%. Investors have focused on the company's heavy AI spending and its exposure to OpenAI.

Apple shares slip on weaker margin outlook

Apple reported record September-quarter revenue of $114.48 billion on Monday, above analysts' estimates of $113.39 billion, according to LSEG data cited by Reuters. iPhone sales rose 17% to $57.58 billion. But the company forecast a December-quarter gross margin of 45% to 46%, below the 47.9% it reported, and services growth of 8% to 9%, below forecasts. Shares fell about 4% in extended trading during the earnings call. It was Chief Executive John Ternus's first quarterly report.

Australia raises interest rates to 18-year high

The Reserve Bank of Australia raised its cash rate by 25 basis points to 4.85% on Tuesday, its fifth increase this year and highest level since 2008. Six board members backed the move and three wanted to hold. The bank said higher fuel prices linked to the Middle East conflict were adding to inflation. Governor Michele Bullock said it was "probably a good point to just take stock". The Australian dollar fell 0.3% to 69.76 US cents.

Ebola deaths pass 5,300 in record outbreak

The Ebola outbreak centred on the Democratic Republic of Congo has killed 5,376 people, according to Africa Centres for Disease Control and Prevention (Africa CDC) data shared with AFP on Monday. All but four deaths were in Congo, with two each in Kenya and Uganda. More than 10,000 cases have been recorded since May, with a fatality rate above 50%. The Bundibugyo strain has no approved vaccine or treatment. It is the fastest-growing Ebola outbreak on record, AFP reported.