Oil jumps as Alphabet and Tesla reset the tech morning

Macro overnight

Risk appetite split overnight. Reuters reported broad gains across Asia after Alphabet and Tesla disclosed another heavy quarter of infrastructure investment, with South Korean chipmakers leading. By the European open, major regional indexes had softened, and a 4:02 a.m. ET Yahoo Finance check showed S&P 500, Nasdaq-100 and Dow futures all below their prior settlements. These are moving premarket readings, not Thursday’s regular-session prices.

Oil moved higher as the conflict around Iran and Red Sea shipping widened, while gold eased from a two-week high. Reuters also described safe-haven support for the U.S. dollar and a yen still near multi-decade lows. The clean takeaway is not a single trade signal: energy inflation, a firmer dollar backdrop and fragile risk sentiment can pull in different directions across sectors.

The official Treasury curve entered Thursday with the two-year yield at 4.31% and the ten-year at 4.67%. Reuters linked the renewed oil advance to inflation concern and pressure on short-dated rates. For growth stocks, that means strong revenue can coexist with a tougher valuation backdrop when capital spending and financing needs are rising.

Your tickers

GOOGL — growth accelerated, but so did the cash commitment. Alphabet’s official filing showed $119.8 billion of revenue, $24.8 billion of Cloud revenue and a 34% operating margin. Purchases of property and equipment reached $44.9 billion in the quarter, leaving free cash flow at negative $5.9 billion. Google said Cloud demand was strong and that parts of its AI capacity remained supply-constrained; Nasdaq showed the shares down 3.39% in premarket trading at 4:16 a.m. ET.

TSLA — record revenue did not prevent margin compression. Tesla reported $28.2 billion of revenue, up 26% year over year, while operating income fell 57% to $398 million and operating margin narrowed to 1.4%. Capital spending rose 142% to $5.79 billion and free cash flow was negative $1.09 billion. Nasdaq showed the shares down 5.15% premarket at 4:16 a.m. ET. The facts point to a quarter where delivery growth and investment intensity both rose; they do not settle the long-term return on those projects.

MU and MRVL — a spending read-through, not separate company news. Nasdaq’s same-time snapshot showed Micron up 1.81% and Marvell up 2.10%. The overnight connection was Alphabet’s data-center buildout and the market’s expectation that memory and networking suppliers are paid earlier in the investment cycle. That inference remains weaker than an issuer filing, so it is labeled as a sector read-through rather than a fresh company catalyst.

INTC — the next confirmed event. Nasdaq’s official earnings calendar lists Intel’s June-quarter report for after the U.S. close on Thursday, July 23. The premarket quote was up 1.00% at 4:16 a.m. ET, but no new quarter had been reported yet. Any options or valuation comparison made before the release would be working with an unresolved event window.

What to watch today

The morning starts with two competing forces: strong AI demand is supporting parts of the chip supply chain, while oil, yields and expensive infrastructure plans are raising the hurdle for future cash returns. The 4:16 a.m. ET quotes can change materially before 9:30 a.m.; the regular session and Intel’s after-close report will provide the next controlled checkpoints.