They're down AH around 2.5%. The street was building for a blow out QTR from INTC and it will get hammered tomorrow. CAPEX doesn't look promising either from the big gorilla. Still believe this sector is way out of balance relating to the supposed uptick in sales. INTC was supposed to be in an under capacity mode, I guess that isn't the case. TXN got slammed and they moved forecasts to their upper range. Big downdraft tomorrow but expect the institutions to get involved in a rally on Mon. Nat gas prices are at all time highs and temps across the country are seeing all time lows, not a good combo. Consumer spending will dry up. The fed will come into play on Tues and throw cold water on the parade.
Did intc lowered capex? From what previous number to today's number? "capital spending is expected to be below the midpoint of the previous expectation of $5.9 billion, plus or minus $200 million." That says intc is narrowing the figure rather than lowering, bashers.
This is from the street.com, bottom line is that the equip sector trades on spending patterns of the big end users, aka INTC. When they drop their expected CAPEX, when the market is "betting" they raise, these stocks follow suit. Its reality, not bashing, just stating facts. If these users don't have need for added capacity that results in fewer equip purchases. INTC was talking about tight supplies of its motherboards last QTR and now they are in the mid range of their sales, aka, potentially less computer purchases perhaps. Read what you want from the tea leaves, long and short will each have their takes on it. The stocks price will eventually reflect reality, is that reality 40 or 30 and how much of a premium are you willing to pay to own or short the stock.
Intel also said capital spending is expected to be below the midpoint of its previous expectation of $5.9 billion, plus or minus $200 million. The company left all its other expectations unchanged.