Market
July 13, U.S. stocks opened on a split note: the Dow Jones edged up 0.2%, the S&P 500 slipped 0.2% and the Nasdaq Composite fell 0.6% as investors digested a rotation out of megacap tech and into cyclicals. Treasuries were steady and the dollar firmed, while traders looked ahead to this week’s key inflation data and Fed commentary.
Microsoft gains 1.5% after unveiling new AI security tools, while ServiceNow jumps 3.4% on an upbeat analyst day. Apple adds 1.3% on strong iPhone demand data, Palantir Technologies rises 2.1% after winning a new Defense Department AI contract and SoFi Technologies climbs 1.8% on record account growth. On the downside, Micron Technology slumps 5.8% after a memory-chip price outlook cut, NVIDIA eases 0.8% as investors lock in profits, and Tesla Motors retreats 1.8% following a price-target reduction.
Broader tech weakness hits semiconductors: Direxion Daily Semiconductors Bull 3x Shares tumbles 10.1%, Western Digital sinks 6.4% and Marvell Technology drops 4.2%. Conversely, defensive names hold up: Yum China Holdings gains 2.0%, NetEase advances 2.7% and JD.com rises 2.1%. In thematic trades, Direxion Daily Semiconductors Bear 3x Shares rallies 9.8% as traders hedge chip exposure.
News
Microsoft introduces AI-powered cybersecurity suite, shares rise. The company rolled out new threat-detection tools embedded in its Azure platform, prompting several analysts to raise price targets and boosting confidence in recurring cloud revenue.
Micron Technology cuts DRAM wafer output, stock slides. The memory-chip maker warned of weaker near-term pricing due to elevated inventories, triggering a 5% sell-off and pressuring semiconductor peers.
Tesla Motors faces price-target downgrade at major brokerage. Analysts cited softer margins amid ongoing price cuts, sending the EV leader’s shares down nearly 2% in early trade.
Palantir Technologies secures $480 million U.S. Defense contract. The multiyear deal to expand battlefield data integration lifted the data-analytics firm over 2% at the open.
ServiceNow sees robust AI demand, lifts medium-term revenue outlook. Management projected 25% subscription growth at its investor day, fueling a 3% stock pop.
Apple supplier report points to strong iPhone 18 orders. Upbeat channel checks from Taiwan bolstered sentiment around Apple’s hardware cycle and supported a 1% gain for the tech giant.
SoFi Technologies tops 10 million member milestone. The fintech said new product adoption is accelerating, driving shares nearly 2% higher despite broader tech weakness.
Western Digital downgraded on NAND pricing concerns. A sell-side firm cut its rating, warning of prolonged oversupply; shares fell more than 6%.
NVIDIA hit with fresh AI-chip export curb speculation. Media reports suggested the Commerce Department may tighten rules on high-end GPU shipments to China, nudging the stock lower.
Yum China Holdings gains on strong same-store sales update. The restaurant operator reported double-digit comp growth during the latest quarter, buoyed by travel demand, sending shares up 2%.
Comments