Mega-Cap Week as Tech Sell-Off Bites

Earnings Season Peaks

The heaviest earnings week of the year is underway. Procter & Gamble, Boston Scientific, Humana, and GE HealthCare all report today. Later this week, Meta Platforms, Microsoft, and Apple drop results. Their AI spending guidance will dominate market sentiment. One analyst flagged MSFT as a potential "value trap" — arguing the real battle with AI is just beginning and earnings alone won't tell the story.

Tech Sell-Off Deepens

The Nasdaq 100 briefly fell into correction territory ahead of Big Tech results. Chip stocks led the decline. NVDA sits at RSI 42, up just 5.4% year-to-date. Bearish options flow is clustering in semiconductors. TSLA carries the weakest RSI among large-caps at 27.3 — down 31% this year and deep in oversold territory.

Short sellers are pressing bets too. CHWY short interest hit 81.2% of free float. Wolfspeed sits at 80.8% SI with near-zero borrow availability.

Oil Slide Adds Macro Pressure

Brent crude tumbled 6% after the US and Iran paused strikes over the Strait of Hormuz. Oil had topped $100 a barrel during two weeks of escalating tension. The reversal removes one inflation risk — but adds pressure on energy stocks.

Europe: Ferrovial Under Pressure

Spanish infrastructure group Ferrovial enters today's earnings having dropped 11% over the past month. Analysts will watch closely for margin updates on its major highway and airport projects.

UBS delivered a brighter note from Europe. The Swiss bank posted Q2 net profit of $2.8bn and $5.8bn for the first half of 2026. Group invested assets reached $7.3 trillion — a sign of continued wealth management strength.