Oracle Earnings Kick Off a Shortened Week 08/09/2026
Market Wrap
U.S. stocks ended lower on Friday after a much stronger-than-expected August employment report revived expectations that the Federal Reserve could raise interest rates at its September meeting.
The Dow Jones Industrial Average fell 272 points, or 0.5%, to 53,414.25. The S&P 500 declined 0.4% to 7,718.60, while the Nasdaq Composite slipped 0.3% to 26,506.99.
The U.S. economy added 162,000 jobs in August, more than triple the 53,000 economists had expected. The unemployment rate held steady at 4.1%, while payroll figures for June and July were revised higher.
Treasury yields jumped following the report, with the 2-year yield reaching its highest level since January 2025. Fed-funds futures moved to price in a 58% probability of a September rate hike, up from about 49% a day earlier.
The stronger labor data puts even greater emphasis on upcoming inflation figures. With Fed Chair Kevin Warsh maintaining a hawkish tone at Jackson Hole, signs that inflation remains persistent could strengthen the case for another increase in borrowing costs.
Tesla (TSLA) was among the notable laggards, dropping more than 6% after its highly anticipated Cybercab launch left some Wall Street analysts questioning the company's strategy and outlook.
Attention now shifts to this week's inflation data, which could provide the next major signal for the Fed ahead of its Sept. 15-16 policy meeting. On the earnings front, Oracle (ORCL) and Adobe (ADBE) will be among the major tech names reporting Thursday after the closing bell.
Trump's Trade Threat Adds New Pressure to Fed Debate
President Donald Trump intensified pressure on the Federal Reserve following Friday's stronger-than-expected jobs report, threatening to halt trade with countries running surpluses with the U.S. unless interest rates are lowered.
Markets largely shrugged off the comments, with little immediate impact on stocks, Treasury yields, the dollar or expectations for the Fed's September decision. Evercore ISI analysts said investors appeared to view the remarks as political venting rather than a credible policy threat.
Economists warned, however, that actually restricting trade on that scale could create a significant supply shock for the U.S. economy, potentially adding to inflation pressures at a time when the Fed is already debating whether rates need to move higher.
The comments also complicate the outlook for Fed Chair Kevin Warsh. Evercore argued that political pressure for lower rates could make a hike slightly more likely rather than less, as policymakers seek to preserve the Fed's independence. Upcoming inflation data remains the key factor for the September decision.
Stocks on the Move
- Rare Earth Stocks: Shares moved higher after reports that some Chinese rare-earth producers halted shipments to the U.S. amid geopolitical concerns. USA Rare Earth (USAR) and Critical Metals (CRML) gained about 4%, while MP Materials (MP) and Energy Fuels (UUUU) rose roughly 3%.
- Smith & Wesson (SWBI): Shares surged nearly 12% after quarterly earnings and revenue topped expectations. The company reported earnings of 6 cents per share on $112.6 million in revenue, beating forecasts for a 6-cent loss and $98.7 million in sales.
- Samsara (IOT): Shares jumped 15% after the software company issued a stronger-than-expected outlook. Full-year revenue is projected at $2.04 billion to $2.05 billion, while adjusted earnings guidance of 76 to 78 cents per share also came in above expectations.
- UiPath (PATH): Shares dropped more than 7% following its latest outlook. The company expects current-quarter revenue of $440 million to $445 million and adjusted operating income of about $100 million.
- Oxford Industries (OXM): Shares plunged 17% after the apparel company cut its full-year outlook. Adjusted earnings are now expected at $1.60 to $2 per share, while revenue guidance was lowered to $1.43 billion to $1.47 billion.
Watchlist: TSLA, XOM, COIN, MSTR, ADBE, ORCL, SNDK, MRVL, AAPL, UNFI, SPCX
Key Economic Events Today
Economic Data (EST)
- 06:00 AM — USD NFIB Small Business Index
- 03:00 PM — USD Consumer Credit
Earnings
Before Market Open: ABM Industries (ABM), United Natural Foods (UNFI)
After Market Close: Casey's General Stores (CASY), GameStop (GME), Braze Inc. (BRZE)
