S&P500 and Nasdaq 100: Oracle Shock Hits Tech Stocks in Early Stock Market Analysis

S&P 500 Futures Ease as Tech Weakness Offsets Fed Support

E-mini S&P 500 Index futures traded softer Thursday, holding above the overnight low of 6817.50 after pulling back from Wednesday’s high, the strongest level since early November.

The contract remains sensitive to technology sentiment, with traders watching whether upside momentum can retest 6908.00 or whether renewed selling brings futures back toward the 50-day moving average at 6786.48.

The broader tone continues to be shaped by the post-Fed rally and the sharp reversal following Oracle’s earnings update.

How Did Oracle’s Earnings Reset Tech Sentiment?

Oracle’s 13% slide pressured the sector after quarterly revenue missed expectations and management raised spending forecasts, raising concerns about debt and return timelines for AI investments.

Nvidia and AMD each fell more than 1%, while CoreWeave declined 4%, extending weakness across AI-linked names. The results pulled attention back to the risks surrounding heavy capital expenditures, dampening enthusiasm generated in Wednesday’s late-session lift that nearly carried the S&P 500 to a record close.

What Role Did the Federal Reserve Play in the Market Tone?

The central bank delivered its third rate cut of the year, taking the federal funds rate to a 3.5%–3.75% range. The announcement bolstered equities on Wednesday, with all major indexes finishing stronger and the Russell 2000 setting a record close as small caps benefited from lower rate sensitivity.

Chair Jerome Powell emphasized patience on further decisions and highlighted the influence of tariffs on inflation. Investors, however, remain cautious given limited clarity on the pace of additional easing.

Which Stocks Are Moving Most in Early Trade?

Premarket trading reflected wide dispersion. Oracle dropped 13.3% as analysts cut price targets. Adobe slipped after issuing softer 2026 guidance. Eli Lilly gained 2% following positive trial data for an obesity treatment.

Oxford Industries tumbled 21.9% after reducing its full-year outlook. Gemini Space Station rose 15% on a new U.S. license approval, while Visa added 1% after being named a preferred 2026 pick.

Corbus Pharmaceuticals advanced more than 7%, and Planet Labs jumped over 17% after topping revenue estimates.

What Is the Short-Term Market Outlook for Traders?

Equity sentiment remains closely tied to technology performance and the Fed’s wait-and-see stance. Earnings concerns are likely to pressure the market if tech weakness persists. Given the balance of risks, the near-term tone leans cautiously bearish as traders reassess expected policy easing and the durability of AI-driven valuations.

More Information in our Economic Calendar.