Stock Market Update

[BRIEFING.COM] The major averages are now defending their unchanged levels as the market enters the final half-hour of the session. 

Investors will receive a modest batch of earnings reports after the close, including that of Oracle (ORCL 151.05, -0.51, -0.34%). 

Oracle's earnings reaction will likely hinge less on the Q3 results themselves and more on forward commentary around AI demand, CapEx spending, and free cash flow. While strong OCI growth and a massive RPO backlog highlight robust demand for Oracle's AI infrastructure, investors remain uneasy about the pace of spending required to build that capacity. The key debate centers on whether Oracle can generate enough AI-driven revenue to justify the sharp rise in capital expenditures while maintaining balance sheet discipline. As such, guidance for MayQ, along with commentary on CapEx and free cash flow trends, will be the primary catalysts for the stock following the report.

The information technology sector (flat) has spent much of today's session atop the sector leaderboard but is now defending its flatline. Software stocks have been a point of weakness, with the iShares GS Software ETF down 2.3%.