Price Action
Advanced Micro Devices (AMD) reported better-than-expected fourth-quarter results and issued upside guidance for the current quarter, yet the stock sold off sharply. The reaction highlighted a disconnect between earnings strength and price behavior as investors reassessed near-term conviction.
Sector
Microsoft (MSFT) and Nvidia (NVDA) moved lower as investors rotated away from technology stocks, reflecting growing caution around software valuations, AI competition risks, and the durability of recent earnings momentum across the sector.
Earnings
Merck (MRK) and Pfizer (PFE) reported fourth-quarter results that beat earnings expectations, but below-consensus 2026 guidance weighed on sentiment, producing diverging stock reactions and highlighting ongoing transition risks across big pharma.
Earnings
Teradyne (TER) shares surged after the company reported fourth-quarter results that exceeded expectations across earnings, revenue, and forward guidance, highlighting strong demand in semiconductor testing tied to artificial intelligence workloads.
Macro
Oil prices fell sharply as easing U.S.–Iran tensions, unchanged OPEC+ output, and a U.S.–India trade agreement tied to oil purchases reshaped expectations around global supply and geopolitical risk.
Earnings
Disney exceeded first-quarter earnings and revenue expectations, driven by strong streaming profitability and solid parks performance, but shares fell as investors weighed leadership succession uncertainty and near-term pressures across key businesses.
Innovation & Tech
A small group of AI-linked companies now drives most U.S. market returns, according to a JPMorgan outlook, raising questions about capital concentration, power constraints, and geopolitical dependencies shaping today’s market context.
Earnings
Apple reported a strong fiscal first quarter, led by record iPhone revenue, broad geographic growth, and better-than-expected earnings, while margin guidance and supply constraints shaped the market’s reaction.
Earnings
Deckers shares jumped after the footwear maker delivered record fiscal Q3 earnings, driven by strong HOKA and UGG demand, raised full-year guidance, and outlined plans to exceed $1 billion in share repurchases in fiscal 2026.
Earnings
Verizon shares climbed after the carrier beat fourth-quarter estimates, posted a major postpaid subscriber gain, and announced a new $25 billion share repurchase authorization alongside 2026 EPS guidance.
Earnings
Southwest Airlines reported solid fourth-quarter results and issued 2026 earnings guidance well above expectations, as its shift to assigned seating and new fees reshapes the airline’s revenue model.
Earnings
Caterpillar posted stronger-than-expected fourth-quarter earnings as demand tied to AI data center power needs drove sales, with investors weighing solid results against cautious 2026 margin guidance.