Semis are bleeding out and the Nasdaq is pointing lower — that's your morning in one line.

Semis are bleeding out and the Nasdaq is pointing lower — that's your morning in one line.

AMD down 8.15%, at 454.62. Earnings hangover. Intel down 5.86%, at 86.30. Following AMD straight into the drain. Semis are getting hit hard and the QQQ is down nearly a percent pre-market — those two facts are connected.

Salesforce up 4.55%, at 181.50. Enterprise software catching a bid. Google up 2.19%, at 333.71. Ad revenue holding up. The divergence between software and chips this morning is sharp — pay attention to that spread.

Netflix up 2.83%, at 72.39. Subscriber momentum still carrying. UNH up 2.67%, at 428.79. Healthcare acting like a safe harbor. Eli Lilly up 1.93%, at 1220.66. GLP-1 demand isn't slowing. Costco up 1.58%, at 966.58. Consumer staples holding steady. Walmart up 1.22%, at 113.10. Same story — defense buying into a tech selloff.

Futures: SPY plus 0.24, QQQ down 0.97. That split tells the whole story — broad market is fine, tech is the problem. VIX at 18.34, not panicking but not sleeping either. Gold up 1.36%, someone somewhere is nervous. IWM plus 0.16, DIA plus 1.08 — small caps and Dow holding. The rotation out of mega-cap tech and into everything else is real this morning.

Asian markets data unavailable. Nothing on the economic calendar today.

Earnings: Apple reports after the close — consensus at 1.93 per share. That's the number. Everything else today trades around it. AAMI reports before the open, est 1.05. ACCO after the close, est 0.27. ABUS and ACIU are both expected negative. ACCS est 0.08.

Semi weakness is the headline. Apple after the bell is the event. Watch QQQ closely — if it can't recover that gap, the afternoon gets ugly fast.

Numbers don't lie. People do. Trade accordingly.