The S&P 500 ended the session mixed on Thursday, with sector divergences shaping investor sentiment. While strength in technology names such as Intel provided some support, weakness in consumer and software stocks—including CarMax and Oracle—dragged on overall performance. Investors continue to balance corporate earnings with broader economic signals, as Treasury yields and inflation expectations influence market direction.

CarMax Struggles on Earnings Miss

CarMax Inc. shares dropped sharply after the used-car retailer reported weaker-than-expected quarterly earnings and revenue. Higher borrowing costs and tightening consumer credit weighed on sales volumes, underscoring how rising interest rates are impacting discretionary purchases in the U.S. auto market. The stock fell nearly 7% intraday, making it one of the S&P 500’s notable laggards.

Analysts noted that CarMax’s struggles reflect broader pressure on the U.S. consumer, particularly for big-ticket financed purchases. This dynamic may be closely watched by investors in Israel and Europe, where consumer credit trends often mirror U.S. patterns with a lag, influencing global auto and retail sentiment.

Oracle Pulls Back After Rally

Oracle Corp. shares retreated more than 3% as investors took profits following a strong run earlier this month. Despite healthy fundamentals and demand for cloud infrastructure, the company has faced questions about its ability to compete at scale with Microsoft and Amazon Web Services in the artificial intelligence race.

The pullback highlights the volatility in software and cloud stocks, where valuations remain elevated compared to historical averages. For global markets, including Tel Aviv’s technology sector, the performance of U.S. software giants often sets the tone for investor appetite toward growth-oriented equities.

Intel Gains on Semiconductor Optimism

In contrast, Intel shares rose around 4% after analysts issued more bullish forecasts for chip demand linked to AI applications and data center expansion. The rebound is significant given Intel’s recent struggles to keep pace with rivals such as NVIDIA and AMD. Investors welcomed signs of progress in its manufacturing turnaround and strategic positioning for next-generation semiconductors.

The positive move in Intel underscores how investor sentiment is pivoting back toward semiconductors as a critical driver of equity market performance. Israeli chipmakers and global suppliers tied into the AI and cloud computing value chain could also benefit from this shift, given their integration with U.S. technology firms.

The S&P 500’s mixed performance reflects a market still navigating earnings surprises and sector-specific risks while responding to macroeconomic signals such as interest rate trajectories. Investors will closely monitor upcoming economic data releases, including inflation prints and consumer spending figures, alongside third-quarter earnings reports from major corporations. These indicators will be critical in determining whether the index can sustain upward momentum into year-end or faces renewed volatility.