Closing Bell: Stocks Soar, Lifted by Chip Stocks and Microsoft Earnings as Oil Recedes

Stocks finished sharply higher Thursday as investors cheered earnings from Microsoft (MSFT) and the semiconductor trade revived. 

Technology led the advance, with the tech-heavy Nasdaq-100 (NDX) climbing 3.36% to 28,106.35, supported by a more than 8% surge in the PHLX Semiconductor Sector Index (SOX). The S&P 500 (SPX) rose 1.67%, and the Dow Jones Industrial Average ($DJI) advanced 1.19%. Small caps also participated, lifting the Russell 2000 (RUT) 1.37%. 

Markets were unphazed by Commerce Department data Thursday that showed U.S. GDP slowed to 1.5% in the second quarter, below the 1.8% economists expected and less than the 2.1% growth in the first quarter, according to reports. The latest economic data released Thursday showed inflation remaining above the Fed’s target. Bottom line: with the Federal Reserve holding rates steady, risk appetite was strong Thursday. 

Here are three things to watch from Thursday's markets: 

Microsoft Earnings Infuse the Market: Microsoft shares soared 15.5% following a blowout earnings report, with Azure and other cloud services revenue increasing 43% and Copilot subscribers surging to more than 30 million paid seats in the fourth quarter. But Meta Platforms, Inc. (META) shares sank about 8% after missing investor expectations on earnings and issuing weaker-than-expected revenue guidance. In addition, it reported steep decline in free cash flow as AI spending rose. Amazon.com (AMZN) shares rose nearly 4% in regular trading and were up post close on an earnings beat, strong revenue and cloud growth, and plans for higher capital spending, according to reports. Watch more on the tech rally following MSFT earnings.  

Apple (AAPL) Versus Chips: Shares of Apple were down 1.4% on the day and were under pressure after the close. The company reported third quarter earnings and revenue that beat analyst expectations. But shares fell due to Services disappointments, according to reports. During regular trading chip-related names surged including Micron Technology (MU), up18.3%, and Advanced Micro Devices (AMD), up 13%. Nvidia (NVDA), Broadcom (AVGO), Applied Materials (AMAT), Lam Research (LRCX), KLA Corp. (KLAC), and Intel (INTC) also traded higher as investors rotated into AI and data-center beneficiaries following the latest earnings-driven enthusiasm 

Oil Prices Retreat Before Exxon Mobil (XOM) and Chevron (CVX) Earnings: Despite heightened U.S-Iran conflict and broadening Middle East tensions, the U.S. benchmark crude oil futures (/CL) are near $83.96 per barrel, down 0.6%. The international Brent oil price fell 1% to $87.21. Exxon and Chevron report results premarket Friday. On Monday, U.S. energy names report results including The Williams Companies (WMB), OneOK (OKE), and Diamondback Energy (FANG). For more on ceasefire hopes and the energy outlook, watch Ryan Kelly talk about INTC foundry, Big Tech's energy needs and the U.S.-Iran Outlook. 

Economic Events/Data Friday, July 31st, 2026 (ET) 

08:30 AM: Employment Cost Index (QoQ) (Q2)  

09:45 AM: Chicago PMI (Jul)  

10:00 AM: University of Michigan Consumer Sentiment, Final (Jul)  

Friday, July 31, 2026 

Premarket: Exxon Mobil (XOM), Chevron (CVX), AbbVie (ABBV), Colgate-Palmolive (CL), Linde (LIN), Cboe Global Markets (CBOE) 

Postmarket: N/A 

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