U.S. stock indices ended mixed on Thursday, after Oracle reported lower-than-expected quarterly revenue and raised its capital spending outlook.
The Dow Jones Industrial Average surged 646.26 points, or 1.34 percent, to an all-time high of 48,704.01. The Standard and Poor's 500 rose 14.32 points, or 0.21 percent, to 6,901, securing its first record close in over a month. The Nasdaq Composite Index fell 60.3 points, or 0.25 percent, to 23,593.86.
Eight of the 11 primary Standard and Poor's 500 sectors advanced, led by materials and financials with gains of 2.23 percent and 1.84 percent, respectively, while communication services and technology declined 1.01 percent and 0.55 percent.
Oracle tumbled nearly 11 percent after reporting fiscal second-quarter revenue below expectations and lifting its annual data-center spending forecast by another 15 billion U.S. dollars.
The development intensified investor concerns over the pace of returns on massive AI investments. Nvidia and Broadcom each dropped more than 1 percent.
The broader market continued to digest Wednesday's Federal Reserve decision to cut the federal funds rate by 25 basis points to 3.5-3.75 percent, while signaling a more cautious easing path ahead and ruling out near-term rate hikes.
After its strong outperformance throughout 2025, the tech-heavy Nasdaq is getting dragged lower as peak-AI fears and elevated valuations lead to a huge shift toward traditional and defensive sectors, noted Elior Manier, market analyst with MarketPulse.
Separately, filings for unemployment benefits in the United States jumped to 236,000, well above forecasts, though analysts attributed the spike largely to seasonal distortions.
Corporate earnings season continues, with Broadcom, Costco and Lululemon scheduled to report results after Thursday's close. Investors anticipate these updates will provide further insights into consumer spending patterns and AI-related capital outlays.
U.S. stocks close mixed as Oracle results weigh on tech sector
China is to use structural monetary policy tools such as the rate cuts to help financial resources flow to key areas, experts said on Thursday following the conclusion of the annual Central Economic Work Conference where Chinese leaders decided priorities for the economic work in 2026.
At this year's Central Economic Work Conference, it was mentioned for the first time that flexible and efficient use of various policy tools, such as reserve requirement ratios (RRR) cuts and interest rate reductions should be employed to maintain ample liquidity.
Dong Ximiao, chief researcher of Merchants Union Consumer Finance Company, said the role of structural monetary policy tools will be leveraged for the development of sci-tech and green industries.
"It is expected that in 2026, deposit rates and policy rates will further decline, and the loan prime rate (LPR) is anticipated to remain stable with a slight downward trend. More emphasis will be placed on leveraging the role of structural monetary policy tools to guide financial resources toward scientific and technological innovation, green development, and boosting consumption," he said.
"Moreover, monetary policy will focus on balancing and managing the relationships between short-term and long-term goals, ensuring growth and preventing risks, and internal and external factors," said Dong.
Zhang Wenlang, a chief macro analyst at China International Capital Corporation Limited, said the employment of various structural monetary policy tools will help guarantee financial support for the country's high quality development.
"What monetary policy emphasizes is the 'flexible and efficient use of various policy tools, such as RRR cuts and interest rate reductions'. That means, in addition to traditional RRR and interest rate cuts, monetary policy will employ various structural tools. Moreover, to meet the needs of economic development, the existing structural toolkit can be further improved and enriched to provide more precise and effective support for high-quality development," said Zhang.
China to use structural monetary policy tools to help resources flow to key areas: experts
