La post-Fed party it didn't last long: the people who came to enjoy it came Oracle accounts which have reawakened the dormant fears of a tech bubble in the USA. So while Wall Street had time to close with a good increase on the wave of Fed statements positive results for the markets, after the close of trading Oracle, which showed lower-than-estimated sales and profits, fell 10% triggering chain sales also in Asia. Even the futures on European Stock Exchanges, which after the Fed's decision were indicating strong increases, this morning have reduced their enthusiasm even if they remain positive. Bitcoin, considered the barometer of risk appetite, is down more than 2% at $90.000. Petroleum little moved despite the news of the seizure of a Venezuelan oil tanker by the United States Navy. gives way slightly, while it remains very strong'silver above $62.
Wall Street has two faces: positive in the post-Fed era, terrified in the post-Oracle era.
Wall Street had moved sharply higher yesterday after the Federal Reserve ha rates cut of interest by a quarter of a percentage point as expected and investors bet on a further easing in the future, even though the central bank has signalled that it will suspend further cuts for now, awaiting clearer signals on the job market e on inflation, which “remains quite high”. The Dow closed up 1,05%, the S & P 500 a + 0,67% just below all-time highs, Nasdaq at +0,33%. TheRussell 2000 index Interest-sensitive small-cap stocks outperformed large-cap stocks with a 1,3% gain and a record closing high.
The President Jerome Powell expressed optimism about the strengthening of the economy as the inflationary impact of tariffs eases. Policymakers have raised US GDP growth estimates for 2026 to 2,3% from 1,8% and maintained expectations of a unemployment rate 4,4% by the end of next year. For the first time since 2019, three officials voted against a decision, with dissent on both sides. The market had been silent before the statement, as investors, while widely expecting a cut, feared the Fed would take a more hawkish tone on its monetary policy outlook.
But The party was short-lived on Wall Street. After the close of trading, the accounts arrived Oracle infrastructures which have once again triggered the dormant fears of a bubble in the technology sector. Oracle has predicted sales and profits below estimates analysts, while at the same time stating that the grocery would increased by 15 billion of dollars compared to previous estimates: a signal that the huge investments of capital, to chase customers of AI-based cloud computing, they are not turning into profits as quickly as Wall Street had predicted. Oracle said theadjusted profit for the current fiscal third quarter will be between $1,64 and $1,68 per share, below analysts' estimates of $1,72 per share, according to LSEG data. The forecast also turnover growth for the third quarter, ranging between 16% and 18%, disappointed analysts' estimates for growth of 19,4% to 16,87 billion dollars, again according to LSEG data, as well as Oracle's forecasts for the cloud sales growth It missed LSEG estimates of $8,87 billion.
Le Oracle shares are dropped by more than 11% in after-hours trading, completely changing the stock market landscape, while now investors' attention shifts to Broadcom which will publish the results after the market closes todayThis morning the US index futures indicate drops of around 1%. dollar It weakened as a result of the Federal Reserve's willingness to cut rates further. government bonds, especially those on the short end of the curve, have risen, also due to the effect of theannouncement of the new Treasury Bill buyback plan by the Federal Reserve.
Asia is hit by discontent over Oracle. Softbank loses more than 8%.
The bad mood linked to the accounts of Oracle infrastructures It has also spread to Asia, particularly in the technology sector whose index has recorded a drop of more than 1%. The shares of SoftBank Group lost more than 8% in Tokyo with the index Nikkei at -0,8%. In Japan, government bonds They gained ground after an auction of 20-year government bonds attracted the strongest demand since 2020. Yields along the curve, historically at low levels, recently rose to multi-year highs due to renewed fiscal concerns and growing expectations of a rate hike by the Bank of Japan at next week's meeting.
In China, Hong Kong's Hang Seng fell 0,1%, while the Hang Seng Tech index fell 0,7%. The Shanghai and Shenzhen CSI 300 indexes fell 0,5%. Taiwan's Taiex fell 1%. Chinese stocks had opened higher due to rising expectations for further stimulus ahead of the Central Economic Work Conference (CEWC). The toymaker Pop Mart International had gained 2,5% after announcing the appointment of Andrew Wu, chairman of the LVMH China Group, to the position of new non-executive director. Hsbc is up 2%.
The indicator of the dollar recorded a slight increase after yesterday's 0,4% drop. As for raw materials, prices of Petroleum They came under scrutiny after the United States seized a sanctioned oil tanker off the coast of Venezuela, discouraging further shipments from the South American producer and raising the risk of conflict.
European stock markets opened slightly higher. At the Milan Stock Exchange, eyes were on Snam, Brunello Cucinelli, and Leonardo.
European stock markets are expected to open higher. The Eurostoxx 5 futures index is up 0,18%.
Snam Snam will acquire a 48,2% stake in Olt from Igneo Infrastructure Partners for €126 million; the transaction is expected to close in the first half of 2026. Upon completion, Snam will hold a total stake of 97,3%, resulting in the full consolidation of Olt in its balance sheets.
LeonardoThe Bangladesh Air Force has signed a letter of intent with the Italian defense group for the purchase of Eurofighter Typhoon fighter jets as part of a process of renewing its existing lines.
BRUNELLO CUCINELLI It forecast revenue growth at constant exchange rates of between 11% and 12% in 2025, higher than expected at the beginning of the year, with growth at current exchange rates of around 10%. The fourth quarter in particular is expected to see double-digit growth at constant exchange rates.
CampariBarclays raises its target from 7,9 to 8,6 euros, remaining Overweight.
EnelBarclays and Jefferies raise their targets to 9,3 and 10 euros.
Classic Ferrari for saleBNP raised its rating to Outperform from Neutral, but reduced its target from 414 to 399 euros.
SaipemJPMorgan raises its target to 2,82 euros, remaining Overweight.
StellatisBNP cuts rating to Underperform
