US Open: Selling pressure on Wall Street 📉Oracle down 4% amid Rotschild & Co Redburn report

U.S. indices are falling as the dollar strengthens, driven by robust GDP growth, firm durable goods orders, and lower jobless claims. Investors are questioning whether the Fed will really continue monetary easing this year at the previously expected “fast pace.”

• US500 down more than 0.9%, US2000 drops nearly 2%

• Lithium Americas rallies on speculation of a potential U.S. government stake

• Oracle shares react negatively to a Rothschild & Co Redburn report

• The U.S. dollar gains and Treasury yields climb after Q2 GDP came in at 3.8% YoY, beating forecasts of 3.3%

• Jobless claims fell to 217K, compared with expectations of 233K and 233K previously

• Consumer spending rose 2.5% in Q2, well above the 1.6% forecast and just 0.5% previously

US500 Technical View (D1)

The US500 is trading nearly 1% lower today. Key support appears near 6,500 points, where the 50-day EMA (orange line) is located. The index has tested this level three times in recent months. On the upside, resistance is defined by the recent price reaction around 6,800 points.

Source: xStation5

Source: xStation5

Company News

• Immuneering Corp. (IMRX) down ~15% after reporting an 86% overall survival rate at nine months in pancreatic cancer patients treated with atebimetinib plus mGnP. The positive news triggered profit-taking.

• Jabil (JBL) falls nearly 9% even though the manufacturing services company posted Q4 results that beat analyst estimates.

• Lithium Americas (LAC) jumps almost 12% following reports the Trump administration is considering taking a stake in the company.

• Oracle (ORCL) drops nearly 5% amid broader tech sector weakness. Rothschild & Co Redburn initiated coverage with a sell rating, arguing the market is significantly overestimating the value of the company’s cloud revenues. Shares remain well above the 50-day EMA but are testing recent local lows below $300.

Sources: xStation5