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U.S. stock futures signaled a weaker start on Thursday, suggesting markets may surrender some of the gains notched in the previous session.

Oracle (NYSE:ORCL) is expected to be a major headwind at the open, with shares tumbling 13.1% in premarket trade after the tech firm delivered mixed quarterly results — earnings ahead of expectations but revenue coming up short.

The slide spilled over into other artificial intelligence–linked names. Nvidia (NASDAQ:NVDA) and Advanced Micro Devices (NASDAQ:AMD) were both under pressure before the bell, hinting at renewed caution over lofty AI-related valuations.

Investors are also recalibrating expectations for interest rates following the Federal Reserve’s latest policy announcement. While the central bank cut rates by 25 basis points on Wednesday, as anticipated, policymakers were divided over the outlook for additional easing, injecting fresh uncertainty into the market.

Stocks drifted for much of Wednesday’s session before turning higher late in the afternoon after the Fed’s decision. All three major indices finished the day in positive territory, reversing Tuesday’s hesitant performance.

The Dow surged 497.46 points, or 1.1%, to 48,057.75. The S&P 500 gained 46.17 points, or 0.7%, to 6,886.68, while the Nasdaq advanced 77.67 points, or 0.3%, to close at 23,654.16.

Markets reacted to the Fed’s announcement that it had approved a third consecutive quarter-point rate cut, reducing the federal funds target range to 3.50%–3.75%. However, the decision exposed significant divisions on the Federal Open Market Committee — the first time three dissents have surfaced since September 2019.

Fed Governor Stephen Miran pushed for a 50-basis-point reduction, while Chicago Fed President Austan Goolsbee and Kansas City Fed President Jeffrey Schmid preferred to maintain current rates.

The Fed’s economic projections signaled similarly uneven views, with the median forecast calling for one more rate cut in 2026, but the so-called dot plot showing widely varied expectations — ranging from rates as low as 2.0%–2.25% to estimates above the current level.

Those contrasting viewpoints highlight the challenge the Fed faces in balancing its mandate for maximum employment and stable 2% inflation.

Despite the policy split, some traders are positioning for a more dovish environment ahead — particularly as markets anticipate a leadership shift under President Donald Trump.

“We’re not surprised to see near term optimism in the markets given that the Fed continues to cut rates even though the economy is growing,” said Chris Zaccarelli, Chief Investment Officer for Northlight Asset Management.

He continued, “However, we think the rose colored glasses may come off once investors realize that the path to lower interest rates may take longer – or may not materialize at all – to the extent that they believe it will.”

Rate-sensitive stocks jumped after the Fed’s announcement. Housing names rallied sharply, lifting the Philadelphia Housing Sector Index 3.1%. Transportation stocks also showed notable strength, with the Dow Jones Transportation Average rising 2.7%.

Banks, hardware makers, and pharmaceuticals also traded higher, while software names lagged and moved broadly lower.

European equities saw modest gains on Thursday after opening on a subdued note, with traders continuing to assess the Federal Reserve’s latest rate cut and Chair Jerome Powell’s cautious tone during his post-meeting remarks.

As anticipated, the Fed trimmed its benchmark interest rate by 25 basis points on Wednesday. Powell later emphasized that policymakers will need to “wait and see” before deciding on additional action. While Fed officials penciled in only one more rate cut in their 2026 projections, market participants continue to wager that the risks lean toward more aggressive easing.

In Switzerland, the Swiss National Bank opted to keep its main policy rate at 0%. The decision follows November inflation data showing price growth at zero, the bottom of the SNB’s target range of 0%–2%.

Against this backdrop, major European benchmarks moved higher in early trading. France’s CAC 40 rose 0.6%, Germany’s DAX advanced 0.3%, and the UK’s FTSE 100 hovered marginally above the flat line.

UK Market Movers

The top performer in the FTSE 100 was The Magnum Ice Cream Company (LSE:MICC), jumping 4.8%. Ashtead Group (LSE:AHT) climbed 4%, while Convatec Group (LSE:CTEC), Berkeley Group Holdings (LSE:BKG), Weir Group (LSE:WEIR), Whitbread (LSE:WTB), Pearson (LSE:PSON), Sainsbury (J) (LSE:SBRY), Diageo (LSE:DGE) and Metlen Energy & Metals (LSE:MTLN) posted gains between 1.5% and 2.4%.

Entain (LSE:ENT) slid 3.7%, making it one of the session’s weakest names. Associated British Foods (LSE:ABF) and Informa (LSE:INF) declined 2.1% and 1.2%, respectively. Lloyds Banking Group (LSE:LLOY), NatWest (LSE:NWG), The Sage Group (LSE:SGE) and Smith & Nephew (LSE:SN.) saw moderate declines.

Germany’s DAX Movers

Daimler Truck Holding, Merck, Munich RE, Heidelberg Materials, Siemens, Deutsche Post, Brenntag, Rheinmetall, Commerzbank, BASF, Continental and Beiersdorf all traded higher, advancing between 1% and 3%.

Symrise slipped about 3%, while Deutsche Börse, E.ON and SAP fell 2.2% to 2.7%. BMW also retreated, losing around 1.4%.

French Market Highlights

Schneider Electric was among the strongest performers, rising roughly 3%. The move followed the company’s announcement of a planned share buyback totaling €2.5–€3.5 billion and a divestment program of €1.0–€1.5 billion in revenues, both to be completed by 2030.

Teleperformance (TP) gained 3.5%. Saint-Gobain, Capgemini and Carrefour advanced 2.3% to 3%. VINCI, Pernod Ricard and AXA also recorded notable increases.

On the downside, Stellantis, Renault and Legrand fell 3.2%, 2.5% and 2.1%, respectively. STMicroelectronics dipped by around 1.6%.

Power Probe PLC (LSE:PWR), a manufacturer of automotive electrical diagnostic equipment, began trading on London’s AIM on Thursday after securing roughly $15 million (£11.2 million) through the placement of 13.7 million new ordinary shares priced at 82 pence each.

The company, headquartered in North Carolina, listed under the ticker “PWR” with an initial market value of about £60 million. Shore Capital served as both nominated adviser and sole bookrunner for the offering.

Established in 1992, Power Probe develops and distributes more than 120 products spanning seven categories, including powered circuit probes, testing kits, and precision measurement tools. Its product lineup is designed to operate with all major vehicle engine types and manufacturers.

The IPO proceeds will be used to build a new U.S. production facility, expand its engineering workforce, grow its geographic footprint—including the enhancement of its UK distribution hub in Nuneaton—and support general working capital needs.

“Our IPO is a major milestone and exciting moment for Power Probe,” said Chief Executive Officer Chema Garcia in a press release. “Our admission to AIM marks a new chapter in that journey and will enable us to deliver on our ambitious growth plans.”

The company highlighted that revenue increased from approximately $25.0 million in 2022 to $31.3 million in 2024, a compound annual growth rate of 12%. For the first six months of 2025, Power Probe reported revenue of $20.5 million and underlying EBITDA of $5.3 million.

Looking ahead, management intends to introduce a progressive dividend strategy, aiming for a payout ratio of roughly 50% of profit after tax, with initial distributions planned for 2026.

Brunello Cucinelli (BIT:BC) rose 2.9% on Thursday after the Italian luxury label unveiled a stronger revenue outlook for 2025 and reaffirmed expectations for 2026.

The company, headquartered in Solomeo, now anticipates sales growth of 11% to 12% at constant exchange rates for 2025—comfortably above its earlier forecasts. At current rates, growth is expected to come in around 10%, supported by “healthy profit growth” and “very solid margins.”

Management highlighted “excellent sales throughout the year” alongside a “very, very positive” fourth quarter, during which the business expects double-digit revenue expansion at constant exchange rates. This follows a 12.5% rise in the third quarter, despite facing tougher year-on-year comparisons, especially in retail.

For 2026, Brunello Cucinelli confirmed its expectation of roughly 10% revenue growth, underpinned by strong Spring/Summer 2026 orders and robust winter sell-out trends.

The brand also noted that it has completed its 2024–2026 Made in Italy investment program a full year early. The initiative included doubling production capacity at its Solomeo site and opening additional outerwear facilities in Penne and Gubbio.

Founder Brunello Cucinelli recently received the prestigious “Outstanding Achievement Award” from the British Fashion Council, an accolade previously granted to industry legends such as Karl Lagerfeld, Ralph Lauren, and Giorgio Armani.

Looking ahead, the company plans to debut an AI-enhanced e-commerce platform in mid-January 2026, describing it as a “true invention” that will elevate the customer experience.

Bram Goorden, CEO of IXICO (LSE:IXI), recently provided an update on the company’s financial performance and strategic vision following the release of its financial results for the year ending September 30, 2025. The interview highlighted IXICO’s continued focus on AI-driven neuroimaging and its commitment to scalable, technology-led solutions for neurological diseases.

Setting the Stage for Sustainable Double-Digit Growth

IXICO, which specializes in AI-driven imaging analysis as a service for pharma and biotech companies developing novel drugs, reported a strong financial turnaround. Goorden noted a 13% growth for the past year and is predicting at least 15% for the upcoming year. He emphasized that the primary business objective is to expand the market and achieve “double digit growth numbers and that we make them sustainable.”

Leveraging Technology for Margin Expansion

A key component of IXICO’s forward-looking strategy is scaling its AI-driven analytics to expand margins. Goorden described this as a “very exciting” second phase, which will involve “leveraging our technology and partnering our technology also with some of these other service providers in the ecosystem.”

Over the next 12 to 24 months, the company plans to not only grow its core CRO (Clinical Research Organization) services but also collaborate with external partners to maximize the use of its proprietary technology, thereby achieving greater profitability.

Dominance in Neurodegenerative Disease

When addressing the competitive landscape in neuroimaging, Goorden clearly defined IXICO’s strategic differentiator: a deep and long-standing focus on neurodegenerative diseases—specifically Alzheimer’s, Parkinson’s, and rare CNS (Central Nervous System) conditions.

After 20 years in the field, Goorden stated that IXICO is an “absolute leader” in this niche. By focusing on neurology, the company is deliberately “staying away… from that red ocean which oncology or cardiology could represent.” This specialized approach is reinforced by a continuous commitment to investing in novel algorithms on their platform, which serves as a core competitive advantage in supporting research for CNS diseases.

Strategic Market and Disease Prioritization

Geographically, IXICO remains a global business, serving the development programs of major pharmaceutical and biotech firms worldwide. While “most of our revenues are coming from the other side of the pond… so in the US,” the company anticipates further expansion, particularly in the biotech arena along the Northeast coast of the US, alongside continued strength in Europe.

In terms of therapeutic areas, the company is committing to going “much deeper” into the dementia space, especially Alzheimer’s, citing a clear unmet need and a place where pharma is “really doubling down their investments.” Furthermore, IXICO plans to maintain its traditionally strong position in rare CNS diseases like Huntington’s disease, where they believe they “own that market.”

In summary, Goorden concluded that IXICO’s strategy involves “expanding further but always in that neurodeenerative disease space which we do believe is very fertile ground.”

U.S. stock futures slipped early Thursday, suggesting a pause in momentum after the previous day’s rally. Investors continued to parse the Federal Reserve’s latest rate cut while weighing fresh concerns raised by Oracle’s (NYSE:ORCL) underwhelming forecast. Adobe (NASDAQ:ADBE), meanwhile, provided a bright spot with annual guidance that exceeded expectations.

Futures soften ahead of the open

Futures signaled a weaker start as traders digested the Fed’s third rate reduction since September together with mixed corporate news.

At 02:04 ET, Dow futures were down 213 points (–0.4%), S&P 500 futures declined 59 points (–0.9%), and Nasdaq 100 futures dropped 308 points (–1.2%).

The previous session had seen broad gains after the Fed trimmed rates by 25 basis points and Chair Jerome Powell delivered a more even-toned message than markets anticipated.

By Wednesday’s close, the S&P 500 had climbed 0.67% to 6,886.68, the Dow Jones advanced 1.05% to 48,057.75, and the Nasdaq Composite rose 0.33% to 23,654.16.

Dollar retreats as markets digest Fed stance

The U.S. dollar remained on the back foot after touching a seven-week low, pressured by Powell’s remark that he does not believe “a rate hike is anyone’s base case” in the near term.

Traders increased bets on additional policy easing in 2026, dragging the greenback lower. By 03:13 ET, the U.S. dollar index slipped 0.1% to 98.65.

Although the Fed lowered rates to a 3.50%–3.75% range, policymakers were notably divided. With earlier cuts already delivered in September and October, many officials signaled they prefer to wait for more clarity on weakening labor conditions and “somewhat elevated” inflation before acting again.

Fresh economic projections showed expectations for stronger U.S. growth in 2026—but also substantial disagreement about the path of interest rates as the administration pursues sweeping trade changes and AI continues to drive investment flows.

Attention is now turning to the White House’s upcoming decision on the next Fed chair, with Kevin Hassett viewed as the favorite. Analysts widely expect he could support the aggressive rate-cutting approach long emphasized by the president.

As ING’s James Knightley and Padhraic Garvey wrote, “Current Fed members suggest just one further cut is their 2026 central projection, but with changes coming and the jobs market cooling the risks are skewed towards them cutting by more.”

Oracle stumbles on guidance

Oracle’s shares plunged more than 12% in after-hours trading after the company issued revenue and profit projections that fell short of expectations.

Management also revealed that capital spending will rise by an additional $15 billion, intensifying concerns that massive AI-related investments are not yet converting into returns.

The company sees adjusted earnings of $1.64–$1.68 a share this quarter—below forecasts of $1.72—and expects slower-than-anticipated revenue growth of 16–18%.

The latest earnings also disappointed across key metrics, including revenue, operating income, and upcoming cloud commitments.

Adobe shines amid broader tech caution

Adobe delivered a stronger-than-expected annual outlook, suggesting the company’s AI-powered features are beginning to drive sustained demand.

Revenue for the year is projected at $25.90–$26.10 billion, above expectations. Adjusted earnings are also forecast to top street estimates.

CFO Dan Durn told Reuters that monthly active users of Adobe’s freemium tools surged 35% from a year earlier to over 70 million.

Trump calls for CNN sale

In a new twist to the ongoing media-sector drama, President Trump stated that CNN should be sold as part of any transaction involving Warner Bros Discovery (NASDAQ:WBD).

According to the president, it is “imperative that CNN be sold”, regardless of the ultimate buyer of Warner.

His comments surface as Paramount pursues a $77.9 billion hostile takeover bid for Warner, a deal that would include CNN.

European equities moved within narrow ranges on Thursday as traders assessed the impact of the U.S. Federal Reserve’s latest rate cut and grappled with renewed uncertainty surrounding the artificial intelligence trade.

By 03:05 ET, Germany’s DAX was down 0.3%, the UK’s FTSE 100 slipped 0.1%, and France’s CAC 40 edged up 0.1%.

Fed cuts rates but signals a cautious path ahead

The Federal Reserve lowered its benchmark interest rate by 25 basis points on Wednesday to a range of 3.5%–3.75%, in line with expectations. However, policymakers also indicated that additional cuts may be put on hold as they await clearer signs on inflation and labor-market trends.

During the post-meeting press conference, Chair Jerome Powell noted that the reductions delivered so far have pushed policy rates into “a range of plausible estimates of the neutral rate and leave it well positioned to determine the extent of further changes to rates based on incoming economic data.”

The decision revealed widening divisions within the central bank—three members dissented, with two preferring no cut at all and one advocating a larger, 50-basis-point reduction.

Analysts at Vital Knowledge cautioned that, “Two of the biggest market tailwinds in 2025 (global monetary policy easing and a unified AI momentum trade) won’t be in place in 2026, creating a much more uncertain landscape for stocks.”

Oracle disappoints, dragging on sentiment

Doubts around AI profitability deepened after Oracle (NYSE:ORCL) released results following Wednesday’s U.S. market close. The company offered weaker-than-expected guidance on both revenue and profit, and said capital spending would rise by $15 billion compared with prior projections—highlighting that heavy AI-related investments are not yet translating into the earnings growth many had hoped for.

“Despite management’s commitment to its IG (investment-grade) debt rating, AI debt funding concerns were unresolved,” Jefferies analysts wrote.

Light European earnings; Munich Re and Drax in focus

European earnings were relatively sparse, though Munich Re (TG:A289EQ) guided for €64 billion in insurance revenue for 2026, topping the €62 billion consensus and indicating stronger growth ahead. The reinsurer released the forecast alongside a new five-year strategic plan stretching to 2030, replacing its previous three-year cycle.

In the UK, Drax Group (LSE:DRX) said full-year 2025 earnings should land near the upper end of consensus expectations thanks to strong operational performance.

SNB expected to hold rates

Thursday’s European economic calendar is quiet, but markets are watching the Swiss National Bank closely as it sets policy later in the day. Analysts widely expect rates to remain at 0.0%, despite recent underwhelming inflation and GDP readings.

“The bar to a negative policy rate is high,” Nomura analysts said, suggesting the current stance could persist for some time.

Oil retreats after vessel seizure

Crude prices slipped, giving back part of Wednesday’s gains. Concerns over supply disruptions resurfaced after the U.S. seized a sanctioned tanker near Venezuela.

Brent crude fell 0.7% to $61.78 a barrel, while West Texas Intermediate dropped 0.7% to $58.05.

Oil had initially climbed after the seizure, which highlighted risks to Venezuelan exports and introduced a fresh supply premium. Investors remain attentive to Ukraine peace negotiations and the Fed’s policy outlook, as lower rates can stimulate economic activity and, in turn, bolster oil demand.

UK equities were largely unchanged on Thursday, with the pound edging lower and European indices delivering a mixed performance as investors digested the Federal Reserve’s latest interest rate reduction.

By 08:18 GMT, the FTSE 100 was fractionally lower at –0.02%, while the pound eased 0.1% against the dollar, trading just above 1.33. Elsewhere in Europe, Germany’s DAX slipped 0.2%, whereas France’s CAC 40 inched up 0.08%.

UK roundup

Fresh data from the Royal Institution of Chartered Surveyors (RICS) pointed to mounting strain in the UK housing market in November. The latest Residential Market Survey showed all near-term indicators turning negative, with nationwide house prices coming under gentle downward pressure. Analysts observed that estate agents showed little enthusiasm following the government’s recent Budget statement.

In corporate news, FirstGroup PLC (LSE:FGP) has purchased the UK sightseeing bus operations of RATP Développement SA for about £17 million, bolstering its First Bus network in both London and Bath. The assets include 63 buses split between the two cities, a freehold depot in Wandsworth, a leased facility in Keynsham, and around 190 employees.

Workspace Group PLC (LSE:WKP), the capital’s leading provider of flexible offices, said it has agreed to sell two lower-conviction properties for £11.8 million, consistent with their September 2025 valuation and reflecting a net initial yield of 5.7%.

Workspace Group PLC (LSE:WKP), London’s largest provider of flexible office space, announced Thursday that it has agreed to sell two lower-conviction assets for a combined £11.8 million.

The transaction aligns with the September 2025 valuation and reflects a net initial yield of 5.7%.

The properties being divested are Peer House, a 10,000 sq. ft. office building near Gray’s Inn Road, and Blocks A and B at Parkhall Business Centre in Dulwich, which total 23,000 sq. ft. of light industrial and office accommodation.

Workspace will continue to own the remaining portion of Parkhall Business Centre—comprising 99,000 sq. ft. of office, studio, and workshop space—which it classifies as a conviction asset under the portfolio strategy it introduced in June.

With this latest transaction, the company has now exchanged or completed £106 million of low-conviction asset sales, moving it closer to its two-year goal of realising £200 million from such disposals.

Chief Executive Officer Lawrence Hutchings said: “Today’s disposals are another disciplined step towards optimizing our portfolio through our conviction-led approach. Recycling capital out of lower-conviction assets sharpens our focus on the buildings where customer demand and returns are strongest.”