Oracle Corp (NYSE: ORCL) shares dipped 0.82% to $136.18 on Thursday, erasing an earlier pre-market rise of nearly 2%. The reversal followed reports of a major leasing agreement with Tencent Holdings Ltd (OTC: TCEHY), which failed to sustain buying interest amid broader market weakness.

Tencent lease details drive initial move

The Financial Times reported that Tencent locked in a five-year lease spanning several Oracle data centers across Southeast Asia. The arrangement is valued at roughly $7 billion, with close to a third due upfront. Under the terms, Tencent would gain access to about 100,000 cutting-edge AI chips that are otherwise restricted within China due to U.S. export controls. Neither company confirmed the deal details. The agreement highlights the ongoing scramble by Chinese tech firms for overseas computing capacity as domestic supply remains constrained.

Technical indicators signal bearish momentum

Despite the news catalyst, Oracle's longer-term chart remains under pressure. Shares trade well beneath key trend lines, indicating persistent selling pressure into rallies.

The 50-day average has remained below the 200-day average since a death cross formed in January. Momentum readings reflect this trend: the MACD sits under its signal line with a negative histogram, suggesting fading upward momentum unless significant buying pressure emerges.

Key support and resistance levels

Traders are watching $153.50 as a primary resistance point, where longer moving averages cluster and past rallies have stalled. On the downside, $135 marks a nearby support zone that has previously attracted buyers. With the stock trading just above this level, the balance between these technical markers will likely dictate near-term price action.

Oracle Corp (NYSE: ORCL) shares declined 2.2% to $134.09 on Monday after Alphabet Inc.'s cybersecurity unit, Mandiant, disclosed that hacking group ShinyHunters resumed mass exploitation of a flaw in Oracle's PeopleSoft software.

The decline coincides with broader market weakness in growth stocks. Brent crude climbed toward $108 a barrel after Iran refused to soften demands regarding the Strait of Hormuz, while Treasury yields rose across the curve. The five-year yield increased 7 bps to 5.06% as traders anticipated further rate hikes ahead of the upcoming PCE inflation reading.

Macro headwinds weigh on tech sector

Nasdaq 100 futures dropped 1% as oil and yield movements negatively impacted growth-oriented names. Oracle sits within the Technology sector, which ranked seventh out of 11 S&P sectors, falling 0.82%. While Oracle remains up 4.38% over the past month and 2.17% over the past 90 days, it underperformed the sector today.

Market leadership shifted toward defensive and commodity-linked areas such as Energy, Healthcare, and Consumer Staples, signaling softer risk appetite for discretionary and communication services stocks.

Mandiant flags new PeopleSoft exploitation

Company-specific pressure intensified after Mandiant reported that ShinyHunters adjusted to guidance published after an earlier wave of attacks. The hackers targeted organizations that implemented web application firewall rules but skipped the security update Oracle released to fix the vulnerability.

The latest activity reached dozens of systems worldwide across higher education, technology, healthcare, agriculture, transportation, and government sectors. This follows an initial intrusion wave from May 27 through June 9, which primarily affected universities before Oracle issued a security advisory on June 10. Google noted that most potentially vulnerable endpoints were in the U.S., with 68% located in higher education institutions.

FBI data claims add to scrutiny

The timing of these findings aligns with claims by ShinyHunters that they stole FBI personnel data via a separate PeopleSoft vulnerability. Reuters reported it could not corroborate this claim, though it partially authenticated some files allegedly containing psychiatric and medical records of bureau staff. The FBI stated it was "aggressively investigating" the reported breach. Oracle did not respond to requests for comment.

Stock performance and market context

Oracle shares were already under pressure prior to Monday’s decline. In late June, the stock logged its worst week since 2001, dropping 19% amid investor concerns over debt loads and heavy AI infrastructure spending tied to OpenAI commitments. The current price reflects a drop of roughly 10.8% over the past week and places shares approximately 58% below their 52-week high.

What the numbers show

The convergence of macroeconomic pressure and company-specific security failures highlights a dual challenge for Oracle. The stock's 58% decline from its 52-week high suggests investors are pricing in both financial leverage concerns and operational risks. While the Technology sector fell 0.82%, Oracle's steeper 2.2% drop indicates idiosyncratic risks, particularly regarding patch compliance and data security, are amplifying broader market sentiment against growth stocks.