Stock Market Rally Continues as Big Tech Earnings Loom
U.S. stock futures hold steady as investors prepare for a major week of earnings reports from tech giants like Microsoft, Amazon, and Meta. The April rally has been strong with the S&P 500 up over 9% and Nasdaq surging over 15%.
Market Overview
Strong Month for Equities: April is shaping up as a strong rebound month with major indices at all-time highs. Key figures: The S&P 500 is up more than 9%, while the Nasdaq has surged over 15%. The blue-chip Dow has gained more than 6% month to date.
Tech Earnings Week
The "Magnificent Seven" companies face elevated expectations this week. Alphabet, Amazon, Meta Platforms and Microsoft are set to report on Wednesday, while Apple reports Thursday. Shares have already surged ahead of results, with these companies up more than 10% this month.
Analysts expect strong revenue growth to validate heavy spending on artificial intelligence. "Next week is a monster week for Big Tech earnings," according to Wedbush analysts.
Fed Policy Meeting
Attention will also turn to the Federal Reserve's policy decision on Wednesday, which could mark Jerome Powell's final meeting as chair before Kevin Warsh is expected to take over in May. Traders are pricing in a 100% chance the Fed will leave rates unchanged.