The tech sector is trading lower today, trailing losses in the broader market. Semiconductors are also showing relative weakness with the Philly Semi Index trading 1.9% higher. LRCX (-4.2%) is a notable laggard in that chip index. Among other major indices, the SPY is trading 1.2% lower today, while the QQQ and the NASDAQ are trading 1.1% lower on the session. Among tech bellwethers, only FB (+0.7%) is showing strength, while IBM (-1.9%), ORCL (-1.8%), and INTC (-1.8%) are all under notable pressure.
In earnings last night, XRTX (+16.3%) posted a mixed Q2 and guided inline with consensus. Elsewhere, there were several warnings in the tech sector. INFA (-30.2%) issued Q2 guidance that came in well below Street ests. STX (-2.6%) and APKT (-13.6%) also cut guidance. In news, reports suggest that AMZN (-0.1%) is working on an Android-based smartphone. There were no notable analyst upgrades this morning. While in downgrades, INFA (-30.2%) was downgraded at BofA/Merrill, Jefferies, and Deutsche Bank, STX (-2.6%) was downgraded to Neutral at Robert W. Baird and ADP (-1.5%) was downgraded to Outperform at Raymond James.






