US Market Outlook: Awaiting February CPI Data; Oracle Surges 10% on Strong Earnings.

Market Overview

On Wednesday morning, the market is awaiting the results of the oil reserve release decision and the U.S. February CPI data. The futures for the three major U.S. stock indices showed slight fluctuations. As of the time of writing, the Dow futures are down 0.01%, the Nasdaq futures are up 0.02%, and the S&P futures are up 0.04%.

Pre-Market Movements

Most star tech stocks are up in pre-market trading, with Oracle (ORCL) rising over 10%. Tesla (TSLA), AMD, and Meta Platforms (META) saw minor increases. Among popular Chinese stocks, Li Auto (LI) is up over 3%, while NIO is down more than 2%, and Baidu (BIDU) is down nearly 1%.

Oil Market Updates

Reports indicate that the IEA plans to propose the release of up to 400 million barrels of oil, with Japan and Germany also announcing their intention to release strategic oil reserves. Consequently, international oil prices have seen a narrowing increase. WTI crude futures are up over 2%, priced at $85.4 per barrel, while Brent crude futures are up about 2%, priced at $89.66 per barrel.

Company Highlights

Oracle's Strong Performance

Oracle's stock surged over 10% in pre-market trading after exceeding earnings expectations for the last quarter, driven by strong AI orders. The company reported a 243% increase in AI infrastructure revenue and secured $29 billion in new contracts, alleviating market concerns about debt and SaaS challenges.

Nvidia's Collaboration

Nvidia (NVDA) saw its stock rise over 8% as it announced a partnership with NEBIUS to expand its full-stack AI cloud, with a $2 billion investment.

Uber's New Agreement

Uber (UBER) is up over 3% after reaching an agreement with Amazon's Zoox to provide robot taxi services.

Amazon's Euro Bond Issuance

Amazon (AMZN) is set to launch its first Euro bond issuance, planning to issue eight parts of bonds with maturities up to 38 years, following a $37 billion USD bond issuance.

Tesla's Delivery Growth

Tesla's Shanghai Gigafactory delivered 58,600 vehicles in February, marking a 91% year-on-year increase, with the Model Y being the best-selling passenger car in China for the month.

Market Predictions

Morgan Stanley's Chief Investment Officer, Mike Wilson, predicts a potential 5%-7% decline in the S&P 500 in the short term, but expects a bull market to return later this year, citing reasons such as stabilizing war situations and expanding corporate earnings.

Conclusion

As the market awaits critical economic data and geopolitical developments, investors are closely monitoring stock performances and potential policy responses to the ongoing energy crisis.