Stock Market Update

[BRIEFING.COM] The major averages have settled into a relatively tight trading range modestly below their baselines.

Select tech stocks continue to provide support, with Accenture (ACN 216.18, +32.82, +17.90%) sharply higher today after beating expectations in its Q4 (Aug) report this morning. EPS of $3.29 beat expectations, while revenue increased 6.2% to $18.68 billion, also nicely above expectations. ACN guided FY27 EPS to $14.39-14.81, roughly in line with expectations, while revenue is expected to increase 3-6% in local currency following 5% growth in FY26. The strong move appears to reflect stronger confidence that AI is becoming a growth driver rather than a disruption risk, supported by accelerating Consulting growth, stronger bookings and progress converting AI demand into revenue.

Meanwhile, Micron (MU 1041.14, -23.97, -2.25%) is trading lower despite a sizable Q4 beat and Q1 guidance that is well above expectations, as investors weigh exceptional AI-driven demand and pricing against a smaller-than-recent earnings surprise and rising investment. Micron's earnings story is shifting from the size of each quarterly beat toward the durability of pricing, margins, and cash generation. Take-or-pay agreements, customer deposits, committed 2027 output, and delayed greenfield capacity provide substantially greater visibility than in prior memory cycles. The Q1 margin decline appears cost-driven rather than demand-driven, but investors still need confirmation that margins turn higher afterward as incentive compensation, R&D, and CapEx increase.

However, the stock is off its session lows, which helps the PHLX Semiconductor Index (+0.6%) move more firmly above its baseline.