9am Hour: Mega-Tech Earnings Week, Stocks Jump, Oil Prices Tumble 7/27/26

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**Carl Quintanilla** (0:45)
Market Moving Insight and Analysis join Jim Cramer, David Faber and me, Carl Quintanilla on the opening bell hour of CNBC Squawk on the Street.
Good Monday morning. Welcome to Squawk on the Street. I'm Carl Quintanilla with Jim Cramer. David Faber is back at Post 9 of the New York Stock Exchange. Final week of July. Once again, the bulls ask whether this bounce can hold as the president pauses strikes on Iran for a second day. Big week of earnings, Fed decision, PCE oil might have its biggest one day drop since 2020 after Brent got to 101 last week. Robat begins with this major test ahead for the markets. Apple, Amazon, Microsoft, Meta all report this week.

**David Faber** (1:30)
Plus, speaking of tech, Nvidia is in talks with OpenAI to help it fund the latest and the largest, I should say as well, announced data center project that we've seen and Paramount, well, it's going to hold off on closing that deal to acquire Warner Bros. Why? Because it's going to have to go to trial against those state AGs. We need to get some more details on the timing there.

**Carl Quintanilla** (1:51)
Let's begin with this big week for Megacap Tech Earnings, including Apple. Stocks up 15% so far for the month, bucking the July market downtrend and outpacing its US trillion dollar tech counterparts. On the flip side, SpaceX 113 pre-market, the worst performer in that group, about a third of its value gone. Jim, over the weekend, Barron says it's one of the worst post-IPO performances from a major listing since the financial crisis.

**Jim Cramer** (2:16)
I think a lot of people are trying to come to a defense now, saying, look, let's not forget this successful launch. A lot of people, Subrosa is, yes, they could buy Tesla. I would say that it's rather shocking that a lot of people are focused on that, but since so many people are in it, I know they've got to talk about it, but what I was most shocked by was what happened, and I think most colored, with Alphabet. Last week, Alphabet unraveled the entire trip. I mean, this is an Alphabet, you know, look at Nvidia, it was up three and a half when I woke up, and again, it's all about how if you spend, your stock is in the penalty box, and Alphabet spent, you know, the loss in market cap, 255 billion, from, because of a raise of 180 to 190 billion in spend, 195 to 205, David, you got a clear head on this, you know that there's 17 times the incremental of 15 billion they lost, which basically just said, guys, we don't believe anymore.
There's no ROI, or if you spend a lot, we're not interested in you.

**David Faber** (3:20)
No, listen, we've been talking about the possibility one of the most profitable companies the world has ever seen would go negative free cash flow, and it happened. That said, they also had an incredible quarter. I mean, just because I was at doesn't mean I can't read, and obviously, I'm like everybody else, it's amazing, 82 percent year over year growth.

**Jim Cramer** (3:36)
But some of it was, we know some of it was investment oriented.

**David Faber** (3:39)
We do, but this gets to the heart of the question that we will continue to ask and ask every day, and we'll be asking for so long to come. And of course, in a moment, guys, we're going to talk a lot more about this journal story around Nvidia and OpenAI, which is what is the ultimate return going to be on all of this avalanche of capital? And that's the same question for Google. But what we clearly know, and we've been saying this, is it's not going to stop. It's not going to stop. It's only going to continue and grow, Jim, because they're in a race with each other, and we're in a race with China.