markets

Luke Kawa4/27/26

AI data center and networking stocks take a breather after parabolic run

AI infrastructure and data center stocks are swooning on Monday after an exceptionally hot run, with the likes of Applied Optoelectronics, Lumentum, Astera Labs, Coherent, Marvell Technology, Nebius, IREN, and Applied Digital all off at least 3% as of 1:08 p.m. ET.

Most of these names didn’t fall in tandem on news of the amended agreement between Microsoft and OpenAI, but rather began to sharply extend losses shortly ahead of the open (by which time the Copilot creator was already well off its lows).

So it’s tough to cite that as a catalyst for the group. If you wanted to try to pigeonhole that as a cause of the decline: Microsoft and OpenAI’s simplified relationship points to a world where AI spend is increasingly rationalized by the underlying economics, with cash-burning behemoths forced to stand on their own two feet. That may ultimately restrain what appears to be the present eye-popping demand for AI infrastructure.

On the other hand, there have been myriad signs in recent weeks of just how intense supply crunches are across networking, CPUs, and AI accelerator chips as well as elevated end user appetite, so it’s difficult to suggest this is something fundamental as opposed to the space taking a breather ahead of hyperscalers’ earnings reports on Wednesday.

The capex budgets for Meta, Amazon, Microsoft, and Google effectively serve as sales guidance for the rest of the AI ecosystem.

For some parts of the AI trade, Monday’s tape may be a reminder that parabolic moves don’t end by going sideways. For other core contributors to the 2025-26 advance, the skyward marches are still intact: Sandisk and Micron are zooming higher.

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Meet the newly public, Bezos-backed company that’s recreating the sun and stars

General Fusion CEO Greg Twinney spoke with Sherwood News from the Nasdaq during the stock’s first day of trading.

Web Summit Vancouver 2026 - Day Three

markets

J. Edward Moreno7/7/26

SpaceX gets a wave of bullish ratings from Wall Street analysts

SpaceX received more than a dozen positive analyst calls on Tuesday — including from major Wall Street banks — as they initiate coverage on Elon Musk’s space and AI company.

SpaceX went public on June 12 at a $2.2 trillion valuation, the largest debut in history. While the company hasn’t yet posted a profit, it seems to have convinced Wall Street that it will get there and grow its valuation on the way.

Of the at least 17 analysts that gave a rating on Tuesday, all but one gave it a “buy” or “outperform” rating. MoffettNathanson was "neutral."

The ratings come as SpaceX joined the Nasdaq 100 index, a benchmark tech-heavy basket of companies that underpins millions of portfolios. The inclusion adds built-in demand for the stock from index funds and ETFs.

Still, SpaceX fell more than 5% on Tuesday amid a broader sell-off, and is currently effectively flat from its opening price of $150 a share.

US job growth falls far short of estimates in June; unemployment rate unexpectedly dips to 4.2%

Job growth was 57,000. Analysts foresaw job growth of 113,000; prediction markets were more optimistic, looking for job growth above 125,000 but below 150,000.

Floridians Seek Employment Opportunities At Job Fair In Sunrise

Meta surges on report it’s starting a cloud business to sell excess AI compute

The story of the hyperscalers in 2026 has largely been “the beatings will continue until the cash flow outlook improves;” this could help change the story for Meta. Or not.

Meta CEO Mark Zuckerberg visits U.S. Capitol for Senate meetings

markets

Paige Oamek6/30/26

Nike sinks to lowest level since 2014 after warning of “challenged” sales environment in Q4 report

Did Nike do it?

Investors had a mixed reaction after the global sports apparel company reported its fourth quarter earnings on Tuesday after the bell. Shares initially rose 5% as Nike beat out Wall Street expectations amid a hefty tariff refund bonus. However, the stock then sank to its lowest level since August 2014 in postmarket trading.

Here are the Q4 numbers:

Revenue of $11.0 billion (estimate: $10.8 billion).
Adjusted earnings per share of $0.20 (estimate: $0.12).

Ahead of this report, Nike warned that results would be flattered by a one-time tariff refund (now estimated at roughly $0.52 per share for the bottom line). That gave the company an extra cushion in snapping its streak of seven quarters of year-over-year profit declines.

Over the past year, the company had been punished by tariffs on imported goods, stagnant consumer spending, and increasing competition from other footwear brands like New Balance, Adidas, and Hoka.

Outgoing CFO Matthew Friend deemed it an “increasingly challenging operating environment, where sell-through remains challenged.”

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