Intel Beats Expectations in Latest Earnings Report | Closing Bell

Summary

US equities sold off on Thursday, pressured by disappointing megacap tech earnings and a surge in oil prices. Intel reported second-quarter results that beat estimates and raised its outlook, with the CEO citing AI-driven demand. Intel shares rallied in after-hours trading, while the semiconductor ETF SMA edged higher, signaling easing fears for the sector.

• S&P 500, Nasdaq, and Dow all closed lower, with communication services and consumer discretionary leading declines.
• Megacap tech selloff followed earnings from Alphabet, Tesla, and IBM after Wednesday's close.
• Oil prices jumped, with Brent briefly above $100 and WTI up more than 5%, stoking inflation concerns.
• Intel Q2 revenue and adjusted EPS beat estimates, and Q3 revenue guidance came in well above consensus.
• CEO Lipton highlighted AI driving unprecedented demand and rapid production improvements in the foundry business.
• Intel shares rose over 8% in the aftermarket, reversing some of the month's steep losses.
• The semiconductor ETF SMA gained about 1%, as investors perceived the worst fears might be off the table for chip stocks.