Tech Titans Boost Market Confidence Amid AI Gains
Futures linked to the S&P 500 and Nasdaq hit record highs, driven by strong earnings from tech giants Meta and Microsoft. Meta's revenue outlook and Microsoft's spending plans bolstered confidence in AI investments. Wall Street indexes signal gains amid easing trade tensions and upcoming economic data releases.
Futures connected to major indices such as the S&P 500 and Nasdaq reached unprecedented levels on Thursday. This surge was fueled by impressive earnings from tech behemoths Meta and Microsoft, reinforcing investor optimism that AI investments are delivering tangible benefits.
Meta Platforms saw an 11.5% increase in premarket trading after projecting third-quarter revenue significantly above expectations, thanks in large part to AI enhancements in its core advertising sector. Meanwhile, Microsoft announced a historic $30 billion capital spending forecast for the current quarter and reported better-than-anticipated sales growth in its Azure cloud division. Microsoft's stock surged by 8.3%.
Other tech giants, including Amazon and Nvidia, witnessed gains as well, increasing by 3.2% and 1.6%, respectively. Microsoft's market capitalization is on course to reach $4 trillion for the first time. At 05:53 a.m. ET, key indices, including Dow E-minis, Nasdaq 100 E-minis, and S&P 500 E-minis, all showed positive trajectories.
(With inputs from agencies.)
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