Late at night, good news strikes! Tech giants surge! Trump: Military action against Iran is about to end!

U.S. tech giants suddenly soar.

Tonight, after the market opened, large tech stocks in the U.S. collectively strengthened, with American software giant Oracle’s stock price surging nearly 15% at one point. On the news front, the company’s latest financial report exceeded market expectations and raised its full-year revenue guidance for the fiscal year 2027. Additionally, recent comments from Oracle executives eased market concerns regarding the “SaaS apocalypse.”

In terms of macro data, the latest figures from the U.S. Bureau of Labor Statistics show that the U.S. CPI in February rose 2.4% year-on-year, in line with expectations; the year-on-year core CPI growth rate remained at 2.5%, with a month-on-month growth rate slowing to 0.2%, both meeting market expectations. The market generally expects the Federal Reserve to maintain interest rates at next week’s meeting. According to data from the CME Group’s FedWatch tool, the probability of the Federal Reserve holding steady next week is as high as 99.4%.

According to the latest news from Xinhua News Agency, the Axios news website reported on the 11th that U.S. President Trump stated that there are “almost no targets left to strike” within Iran, and that U.S. military action against Iran is “drawing to a close.” However, U.S. and Israeli officials stated that no internal orders to cease military operations have been received as of now. Israeli Defense Minister Katz stated that the joint military operations against Iran with the U.S. “do not have a time limit, until all our goals are achieved.”

Oracle’s Surge

On the evening of March 11, Beijing time, after the U.S. stock market opened, the three major indices showed mixed results; as of 22:30 Beijing time, the Dow was down 0.75%, the Nasdaq was up 0.26%, and the S&P 500 was down 0.13%.

Large tech stocks in the U.S. rose collectively, with Tesla up over 2%, TSMC up over 1%, and Nvidia, Apple, Google, Microsoft, Amazon, Meta, and Broadcom all experiencing slight increases.

Among them, Oracle’s stock price surged nearly 15% at one point, and as of 22:30 Beijing time, the increase still reached 12.44%.

On the news front, Oracle’s latest financial report showed that the performance for the third fiscal quarter of 2026, ending February 28, exceeded market expectations, and it raised its full-year revenue guidance for the fiscal year 2027.

Specifically, Oracle achieved revenue of $17.19 billion in the third fiscal quarter of 2026, a year-on-year increase of 22%, surpassing market expectations of $16.91 billion; net profit was $3.72 billion, up 27% year-on-year; non-GAAP adjusted earnings per share (EPS) were $1.79, exceeding market expectations of $1.70.

In terms of performance guidance, Oracle expects its adjusted earnings per share for the fourth fiscal quarter to be between $1.92 and $1.96, significantly better than the analyst expectation of $1.70; Oracle anticipates revenue growth for the quarter to be between 19% and 20%, also in line with the analyst expectation of a revenue growth rate of 20%.

At the same time, Oracle raised its revenue forecast for fiscal year 2027 by $1 billion to reach $90 billion, compared to the previous market expectation of $86.6 billion. Oracle maintained its guidance for full-year capital expenditures of approximately $50 billion for fiscal year 2026.

Oracle Co-CEO Clay Magouyrk noted during the earnings call that the company has secured over 10 gigawatts (GW) of electricity and data center capacity for the next three years, with “over 90% of the funds for this capacity fully provided by partners.” The company signed over $29 billion in new contracts in the third fiscal quarter, and its remaining performance obligations (RPO) reached $553 billion at the end of the previous fiscal quarter.

Magouyrk stated that in the third fiscal quarter, Oracle delivered over 400 megawatts of capacity to customers, 90% of which was on time or ahead of schedule: “The time from rack delivery to revenue generation has been shortened by 60% over the past few months.” He also emphasized that the gross margin for the AI capacity delivered by the company remained at 32%.

Additionally, Oracle co-founder, Chief Technology Officer, and Executive Chairman Larry Ellison responded during the earnings call that the so-called “SaaS apocalypse” applies to other companies but does not apply to Oracle.

U.S. Key Data Released

On the evening of March 11, Beijing time, the U.S. Bureau of Labor Statistics released the February Consumer Price Index (CPI) report, showing that the U.S. CPI in February rose 2.4% year-on-year, in line with expectations, with a previous value of 2.4%; month-on-month, it rose 0.3%, also meeting market expectations and slightly higher than the previous value of 0.2%.

The report indicated that the year-on-year core CPI growth rate in February remained at 2.5%, the slowest level in five years, with month-on-month growth slowing from 0.3% to 0.2%, both in line with market expectations.

From a structural perspective, core services remain the main driver of inflation, but the related growth rates are clearly slowing. Core commodity prices have remained stable, while energy prices have begun to show signs of increase.

A White House spokesperson stated that the CPI report indicates a strong U.S. economy.

Some analysts pointed out that the slowdown in the month-on-month growth of core inflation in February suggests that price pressures had eased before the escalation of the situation in the Middle East. However, the U.S.-Iran conflict has greatly increased the prices of oil, gasoline, and fertilizers, raising concerns in the market about a resurgence of inflation in the U.S. Federal Reserve officials expect to maintain interest rates at next week’s meeting.

Considering the recent surge in international oil prices and the ongoing blockade of the Strait of Hormuz, the risk of a rebound in U.S. inflation pressure cannot be ruled out. Even though recent non-farm data has significantly underperformed expectations, the market still expects the Federal Reserve may not cut rates again until July this year.

Citigroup believes that the upward pressure on energy prices in the short term is almost certain to be reflected in the March CPI report.

Citigroup’s report indicates that as of March 8, the average retail gasoline price in the U.S. has increased by approximately 17% since the end of February. Based on this, Citigroup has set the average monthly increase in gasoline prices for March at about 15%, which is expected to lead to an approximate 7% month-on-month increase in the overall CPI energy component. The lagging effects of airfares and core goods will reflect the second wave of oil price impacts on inflation in the second quarter. Citigroup expects airfares to rise by about 10% to 15% year-on-year by mid-year, and core commodity prices will also face upward risks in the second quarter.

On the other hand, policymakers still need to weigh the vulnerabilities in the labor market.

Mohamed El-Erian, Chief Economic Advisor at Allianz and former Chief Investment Officer at PIMCO, recently warned that while inflation risks related to Iran are the primary concern for investors, three other market risks are quietly intensifying.

He wrote that as the U.S.-Iran conflict leads to rising oil prices, combined with unexpectedly weak employment reports and recent inflation data, the global economy is experiencing “stronger stagflation winds,” which exacerbates concerns about economic conditions.