Microsoft Corp. Surge Drives Wall Street Rebound Amid Fed Signals

Wall Street experienced a powerful rebound on Thursday, July 30, 2026, driven by a surge in technology and growth-oriented shares. Microsoft Corp. led the rally, with its stock jumping 16% after reporting higher-than-expected profits and significant growth in its Azure cloud business. The Nasdaq Composite surged 2.78% to close at 25,122.18, while the S&P 500 rose 1.67% and the Dow Jones Industrial Average climbed 1.19%.

Other semiconductor companies, including Micron Technology and Lam Research, posted significant gains. Conversely, Meta Platforms Inc. shares fell up to 10% after missing profit expectations and providing weak revenue guidance.

Investors also reacted to dovish signals from the Federal Reserve System. Chairman Kevin Warsh reaffirmed a 2% inflation target while the bank maintained benchmark interest rates for a fifth consecutive meeting. President Donald Trump lobbied for lower rates despite inflationary risks. This sentiment contributed to a broad slump in the U.S. dollar, which fell sharply against the Japanese yen following a surprise policy intervention by Japanese authorities.

Outside of financial markets, U.S. forces conducted strikes on Iran in response to attacks on American forces in the Middle East. The Islamic Revolutionary Guards Corps Research and Self-Sufficiency Jihad Organization threatened further escalation, though Brent crude oil prices retreated 1.4% to $86.88 per barrel. Market participants are now awaiting Friday's nonfarm payrolls report for clarity on the U.S. labor market.