US Markets Surge: S&P 500, Nasdaq Poised for Records on Strong Meta, Microsoft Earnings

Quick Summary

• Market Movement: S&P 500 and Nasdaq futures climbed considerably on Thursday, buoyed by strong earnings from Big tech companies.
• Big Tech Highlights: Meta Platforms surged 12.3% in premarket trading due to AI-driven advertising, forecasting higher-than-expected revenue for Q3. Microsoft reported strong Azure cloud sales and issued a record $30 billion capital spending outlook, with an 8.8% rise in its stock value before the bell. Amazon and Nvidia rose by 3.4% and 1.9%, respectively.
• Interest Rate Update: federal Reserve Chair Jerome Powell stated it’s too early to predict a September rate cut, citing stronger-than-expected Q2 GDP data maintaining the current policy stance.
• Economic Data Pending: June’s Personal Consumption Expenditure (PCE) inflation data is awaited along with Friday’s jobs report.
• US Trade Deals & Tariffs: Trump announced a lower tariff of 15% on South Korea imports but maintained threats of imposing up to 25% tariffs on India amid ongoing trade negotiations.

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Indian Opinion Analysis

The global growth in artificial intelligence (AI) continues to reshape economies as highlighted by Meta and Microsoft’s stellar performance driven by AI investments-a trend that could have important implications for India’s burgeoning tech ecosystem given its aspirations in AI innovation.

However, trade tensions simmer between India and the US amid tariff threats from former President Trump that would serve as potential headwinds for relations if materialized further during negotiations.

As India’s economy seeks deeper integration into global trade channels while leveraging technological advancements like AI partnerships, maintaining balanced engagements with US markets will be crucial alongside boosting domestic capabilities to become competitive exporters leveraging such technologies-both measurable priorities strategically pending dialog outcomes..