Happy Friday! QQQs +60bps as Oil -3% pulls back overnight and yields dn 1-2bps across the curve. The drop in Oil attributed to an FT article about a mtg in Oman on Monday between GCC ministers and Iranian counterparts with objected to reach a deal on managing traffic in Hormuz. Core CPI slightly hotter than expected at +0.3% MoM vs expects for +0.2%
In Tech, Semis +1% lead the way higher while Internet/Software +50bps. ORCL +6% on a better print while ADBE -5% continues to frustrate any remaining bulls left, with the print not doing anything to lift the AI overhang.
We’ll hit ORCL and ADBE first then move onto the usual.
Let’s get to it…
ORCL +5%: OCI cleared the buyside bar and the ATM is complete. Better print but ROI/’27 funding concerns still weigh
A much better print overall with better IaaS growth and ATM being done the big positives, which is what buyside was focused on. OCI's fourth straight quarter of acceleration: +55%, +66-68%, +84% and +93% across FY26, now +121% — the largest step-up so far and mgmt expects IaaS acceleration through the year. Given better OpenAI sentiment recently and low expectations, positioning had a positive skew going into the print but this was still better than what bulls had hoped for - feedback was generally positive. This continues to be a tough stock, but a better print + continued momentum from OpenAI should help keep the bears away for now. Oct 28th investor day next catalyst