Oracle surge lifts S&P 500 to record high

Oracle jumped 36% on Wednesday, its largest one-day rise since 1992, lifting its market value to $922 billion and helping the S&P 500 close at a record high of 6,532.04. Nvidia gained 3.8%, Broadcom rose 10% and AMD advanced 2.4%, while Apple fell 3.2% for a fourth straight session. Gold eased to $3,632 per ounce after touching a record $3,674 earlier in the week, and Brent crude slipped to $67.38 a barrel after US inventories showed a surprise build.

Equities

On Wednesday, the FTSE 100 closed 0.2% lower while the mid-cap FTSE 250 slipped 0.3%, as several high-profile UK stocks came under pressure following earnings updates. Associated British Foods slumped 13.2%, its sharpest fall since 2016, after the company warned that underlying sales at its Primark clothing business would decline in the second half. Marks & Spencer dropped 3% and Diageo shed 1.3%, dragging the consumer staples sector lower.

In travel and leisure, British Airways owner IAG slipped 4.1%, Wizz Air declined 2.6% and EasyJet fell 2.2%. Among industrials, RELX dropped 4.2% and Experian lost 1.1%. Technology stocks weakened too, with Sage reversing early gains from Oracle’s upbeat results to close 1% lower.

Medical equipment names were also weaker, with Smith+Nephew down 1.5% and Convatec off 1.8%. In contrast, banking shares offered some support, with HSBC closing 1.8% higher. Defence stocks advanced, with BAE Systems up 2.2% and Rolls-Royce adding 1.2%. Life insurers moved higher, led by Prudential, which rose 3.4% to the top of the FTSE 100. Vistry slipped 5.7% after warning that economic uncertainty would weigh on demand, with half-year profit down by a third.

Anglo American added 1.6%, building on a 9.1% jump the previous session after announcing a $53 billion merger with Canada’s Teck Resources, a move that prompted Berenberg to lift its rating to “hold”. Haleon rose 1.4% after Goldman Sachs upgraded the consumer healthcare group to “buy”, while Serica Energy dropped 14.5% after cutting its 2025 production outlook. London Stock Exchange Group eased 1% after a sharp fall the previous day linked to competition concerns.

In the United States, the S&P 500 closed 0.3% higher at 6,532.04, its second record in as many days, while the Nasdaq edged up 0.03% to 21,886.06. The Dow fell 0.48% to 45,490.92. Oracle surged 36% in its largest one-day rise since 1992 after issuing a forecast highlighting strong demand from AI companies for its cloud services. That lifted its market capitalisation to $922 billion, ahead of Eli Lilly, JPMorgan Chase and Walmart, and nearing Tesla’s $1.12 trillion valuation.

Nvidia rose 3.8%, Broadcom jumped 10% and AMD climbed 2.4%, driving the PHLX chip index to a record high. Data-centre power suppliers also gained, with Constellation Energy, Vistra and GE Vernova all closing more than 6% higher. Apple fell 3.2%, its fourth straight daily loss, as investors questioned its AI position. Synopsys tumbled 36% after missing revenue estimates, while rival Cadence Design Systems fell 6.4%.

Forex & Commodities

The US dollar was mixed after fresh inflation data gave further weight to expectations of a Federal Reserve rate cut next week. The currency slipped against the yen to 147.3 and was flat against the euro at $1.171. The dollar index, which tracks the greenback against six peers, edged lower to 97.74 and has now fallen 10% this year. The euro also gained against the Polish zloty, rising to 4.259 after Poland said it had shot down drones entering its airspace during a Russian attack on western Ukraine.

Gold was steady near record levels, with spot prices down 0.2% early Thursday at $3,632 per ounce, just below Tuesday’s all-time peak of $3,674. Silver was also lower at $41.07, while platinum eased to $1,383 and palladium ticked up to $1,176.

Oil prices retreated slightly on Thursday morning, with Brent crude at $67.38 a barrel and US West Texas Intermediate at $63.54. The pullback followed a three-day rally but came after US inventory data showed a rise of 3.9 million barrels in crude stocks and 1.5 million barrels in gasoline, stoking concerns about oversupply. Markets are also weighing OPEC+’s decision to raise output from October.