Core Viewpoint - Oracle Corporation's shares fell by 11% following the release of its second fiscal quarter results, which showed weaker-than-expected revenue performance [1] Financial Performance - The revenue miss reported by Oracle was not significant, but it raised concerns regarding the company's capital expenditures (CapEx) [1]

Shares of Oracle Corporation ( ORCL ) slumped 11% on Thursday after the Cloud company reported weaker-than-expected top-line results for its second fiscal quarter. The revenue miss was not large, but concerns over the company's CapExAnalyst’s Disclosure:I/we have a beneficial long position in the shares of ORCL, NVDA, AMD, AVGO, META, AMZN, GOOG either through stock ownership, options, or other derivatives. I wrote this article myself, and it expresses my own opinions. I am not receiving compensation for it ...

A handful of remaining major companies reported their quarterly results this week, including Oracle (ORCL) and Broadcom (AVGO). The Q3 earnings season has largely brought solid results. As of Dec. 5, 99% of S&P 500 companies have reported, according to FactSet data, and analysts estimate a 13.4% jump in earnings per share during the third quarter. If it holds, that figure would mark the fourth straight quarter of double-digit earnings growth and an acceleration from the 12% earnings growth rate reported i ...

Core Viewpoint - Janus Henderson Forty Fund reported a strong performance in Q3 2025, driven by positive corporate earnings and expectations of Federal Reserve rate cuts, with a return of 8.38% compared to the Russell 1000 Growth Index's 10.51% [1] Group 1: Fund Performance - The fund's stock selection in the healthcare sector positively impacted its performance, while the consumer discretionary sector had a negative effect [1] - The top five holdings of the fund reflect its best investment picks for 2025 [1] Group 2: Oracle Corporation Insights - Oracle Corporation (NYSE:ORCL) was highlighted as a positive contributor to the fund, emerging as a leader in the AI market with strong competitive positioning and partnerships [3] - Oracle's stock experienced a one-month return of -10.77% but gained 14.68% over the last 52 weeks, closing at $198.85 per share with a market capitalization of $566.88 billion [2] - The company reported Q2 revenues of $16.1 billion, a 13% increase year-over-year, and has signed several multibillion-dollar contracts, enhancing its future revenue visibility [4]

U.S. stock futures are presenting a mixed picture this Friday, December 12, 2025, as investors grapple with lingering concerns about a potential bubble in artificial intelligence (AI) stocks, even as the broader market continues to digest the Federal Reserve's recent interest rate cut. While Dow Jones Industrial Average futures are pointing higher, S&P 500 and Nasdaq 100 futures are showing slight declines in premarket trading, indicating a cautious start to the day.Premarket Activity and Futures MovementsA ...

Core Viewpoint - Oracle's earnings warning has reignited concerns about an AI valuation bubble, yet Wall Street investors remain cautiously optimistic about the AI sector, with no consensus that the AI rally has peaked [1][4]. Group 1: Oracle's Performance and Market Reaction - Oracle's stock price fell by 16.5% after the company warned that its capital expenditures for fiscal year 2026 would exceed previous expectations by $15 billion [1]. - The decline in Oracle's stock also affected Broadcom, which saw a drop in after-hours trading due to concerns that increased AI business exposure would hurt profit margins [1]. - The sell-off extended to other tech stocks, raising investor concerns about the scale of AI spending and the uncertainty of investment returns [4]. Group 2: Market Sentiment and Analysis - Despite the sell-off, the S&P 500 index rose slightly, reaching a new all-time high, indicating broader market resilience [4]. - Analysts suggest that Oracle's issues are specific to the company and do not reflect a systemic crisis in the AI sector [5]. - Notable investors, including Michael Burry, have compared the current AI hype to the 1990s internet bubble, but short-selling activity is primarily focused on smaller companies, with limited short positions on leading AI stocks [4][5]. Group 3: Changing Investor Attitudes - Investor criteria for AI investments are becoming more stringent, with a notable shift in the correlation between capital expenditures and stock prices [5]. - Meta's stock dropped by 11% after announcing significant increases in capital expenditures, highlighting the market's changing response to aggressive AI investments [5]. - Market participants believe that Oracle's challenges are more of an isolated incident rather than indicative of a broader issue within the AI investment landscape [6]. Group 4: Short Selling and Market Dynamics - There is a rising willingness among investors to short smaller AI stocks, but major AI beneficiaries remain lightly shorted [7]. - Despite some setbacks for leading AI stocks, the broader market continues to perform strongly, with technology stocks comprising 35% of the S&P 500 index [7]. - Concerns persist that a decline in enthusiasm for high-flying AI stocks could negatively impact the overall market, which has seen a 17% increase this year [7].

Let's bring in Kevin Green, senior markets correspondent, right away to help set up the action today. All right, KG, you called this one yesterday. You said when we saw some red uh I'm wearing red today.Hopefully that does not send that signal to the markets. Um but you called it. You said don't be surprised if we turn green and we did halfway through the day on the S&P 500.What was it about the construction of yesterday that made you say that. >> Well, it was the futures market. uh we obviously saw a drop ...

Shares of Oracle (ORCL) dipped more than 10% in the after-hours trading session on Dec. 10, 2025, (as reported by Yahoo Finance) despite surpassing analysts’ bottom-line expectations for the second quarter of fiscal 2026. This pullback was most likely triggered by the company failing to meet revenue estimates, particularly for its cloud business. At the same time, investors remained worried about this cloud giant’s debt issues and a potential AI bubble. While this consistent share price slump might come as ...

Market Overview - The US dollar index experienced fluctuations, initially rising due to expectations of a "hawkish rate cut" from the Federal Reserve, but later declined as markets deemed Powell's stance insufficiently hawkish [1] - Spot gold prices rose for four consecutive trading days, reaching a one-month high of over $4,330 per ounce, driven by a weaker dollar and increased risk aversion [1] - Silver prices doubled since January, with the World Silver Association predicting a supply deficit of approximately 117 million ounces in 2025, leading analysts to forecast silver prices could exceed $100 next year [1] - Non-USD currencies strengthened against the dollar, with expectations that several central banks are nearing the end of their easing cycles and may soon raise rates [1] - International oil prices showed a weak trend, influenced by India's oil purchases from Russia, Iraq's production recovery, and concerns over US actions against Venezuelan oil shipments [1] US Stock Market - The US stock market showed overall strength but with significant internal structural divergence, particularly influenced by the performance of bank stocks and cyclical sectors [2] Investment Bank Insights - Predictions from various investment banks suggest that the recent rate cut by the Federal Reserve may be the last under Powell's leadership, with future easing dependent on labor market conditions [5] - Goldman Sachs and Deutsche Bank forecast a decline in the dollar index by approximately 3% by the end of 2026 due to ongoing rate cuts and policy divergence among central banks [5] Major Events - The Federal Reserve cut rates by 25 basis points to a range of 3.50%-3.75% and initiated a short-term Treasury bond purchase plan, with a significant focus on maintaining adequate reserve supplies [6] - The Bank of Japan is expected to raise rates, with a 90% probability of a 25 basis point increase, marking the highest borrowing cost since 1995 [9] - Other central banks, including the European Central Bank and the Reserve Bank of Australia, are also anticipated to raise rates in the coming years, contrasting with the Fed's potential continued easing [11] Geopolitical Developments - The US seized a Venezuelan oil tanker, marking a significant escalation in its sanctions against Venezuela, which the Venezuelan government condemned as "piracy" [14][15] - Ongoing negotiations regarding a peace plan for the Russia-Ukraine conflict have revealed significant disagreements, particularly concerning territorial and security arrangements [12][13] Corporate Developments - SpaceX plans to go public in 2026, with a target valuation of approximately $1.5 trillion, potentially raising around $40 billion [17][18] - Meta Platforms is shifting its strategy from open-source to closed-source AI models, with significant investments planned for AI development [21] - A bidding war has erupted between Netflix and Paramount over Warner Bros. Discovery, with Paramount making a cash offer significantly higher than Netflix's proposal [22][23] - OpenAI launched its latest AI model, GPT-5.2, and plans to end its "red code" alert in January, indicating a surge in enterprise AI applications [24]

Investors are concerned that Oracle's spending is too aggressive.The "Magnificent Seven" stocks have captured the spotlight in recent years because their success has driven the S&P 500 to new heights.Recently, I ranked all seven of these stocks for 2026, with Microsoft (MSFT +1.04%) in first place, followed by Meta Platforms, Nvidia, Alphabet, Amazon, Apple, and Tesla.If Oracle (ORCL 10.95%) were in the Magnificent Seven, I would rank it ahead of Meta and right behind Microsoft, even after the growth stock ...