Markets Cool on No New Trade Deal News

Wednesday, June 11, 2025

Markets cooled off somewhat from its hopeful beginnings early in the trading day, which was boosted by better-than-expected Consumer Price Index (CPI) numbers ahead of the bell. There was also a very promising blurb from President Trump on social media declaring a trade deal with China was done, though not much to advance this notion has come out in the hours since.

Thus, the Dow came in 0.00% for the day, while the S&P 500 and Nasdaq snapped three-day winning streaks: -0.27% and -0.50%, respectively, in today’s session. The small-cap Russell 2000 came in -0.38% on the day. Bond yields remained down slightly: 4.42% on the 10-year and back under 4% — 3.96% — on the 2-year.

Oracle Beats Estimates in Fiscal Q4

After today’s close, enterprise software giant Oracle ORCL reported better-than-expected Q4 results, with earnings of $1.70 per share versus expectations of $1.64, and year-ago earnings reported at $1.63 per share. Revenues of $15.9 billion outpaced the $15.5 billion in the Zacks consensus, up +11% year over year. Shares are up +7% in late trading.

Cloud services and licensed support grew +14% in the quarter, and Oracle CEO Safra Catz said big things were in store on the revenue side for cloud infrastructure. “Revenue growth rates will be dramatically higher in 2026,” she said in today’s statement. Cloud infrastructure rates are expected to grow over +70% in the current fiscal year, as Oracle serves AI companies with its cloud services. I suppose it’s time we stopped referring to Oracle as “just” a software company.

What to Expect from the Stock Market Tomorrow

With tomorrow being Thursday, as per normal, we’ll see Weekly Jobless Claims once again. Last week showed something of an uptick in new claims — as well as longer-term claims remaining at fairly elevated levels — so it will be interesting to see if this narrative was temporary or ongoing.

Also, the sister report to CPI, the Producer Price Index (PPI) reports on May’s wholesale price levels. Expectations are for monthly PPI to swing to positive on both headline and core: +0.2% and +0.3%, respectively. Last month, the April print saw +2.4% PPI growth year over year on headline and +2.9% on core.

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