The beat on earnings from both Microsoft and Meta is helping to lift the broader market mood as we get into the new day. It’s another anecdote that AI-driven stocks continue to outperform and keeps the run higher going as we look to wrap up July trading. S&P 500 futures are up 1.0% with Nasdaq futures up 1.4% on the day currently.
And the gains in tech shares are also reverberating elsewhere with the Dow up 0.5% while in Europe, we are seeing major indices post modest gains as well. The DAX is up 0.5% and CAC 40 up 0.2% with the former poised to close out the month with near 2% gains while the latter is posting gains of just under 3% in July.
The Fed was not as dovish yesterday but it is clear which is the more important driver of the market mood. And that’s a precursor ahead of the US jobs report tomorrow as well, unless we do get some major surprise that alters the Fed narrative.
But otherwise, the focus will stay on big tech earnings with more to come after the close today. Apple and Amazon are the two big names up next and I’ll get more into that in a separate post later on.
This article was written by Justin Low at investinglive.com.
