Wall Street Climbs on Tech Earnings Despite Inflation Concerns

On Thursday, Wall Street outpaced European equities, buoyed by robust earnings reports from tech giants Microsoft and Meta Platforms, despite investor jitters over rising inflation and impending trade deals as the August 1 deadline approached for U.S. President Donald Trump's tariffs.

The U.S. inflation rate saw an uptick in June, attributed to tariffs inflating some import costs. This aligns with economists' predictions that inflation pressures will mount in the year's latter half. Meanwhile, the Federal Reserve maintained steady interest rates, with chairman Jerome Powell urging patience for more data before any potential September adjustments.

Despite an initial dip following Powell's comments, U.S. stock indexes bounced back on Thursday. In Europe, equities felt the pinch as the Stoxx 600 fell due to a sharp drop in copper futures. Globally, markets like China experienced downturns, with currencies fluctuating amid the economic shifts and new tariffs.

(With inputs from agencies.)