Stock Market Highlights: Alphabet and Microsoft Lead AI Rally, Intel and Oil Giants Slide

The stock market saw a mix of gains and losses on Friday as various companies reported their quarterly earnings. Alphabet and Microsoft led an AI rally, boosting the market with strong earnings reports. Amazon surged 3.4% after being influenced by Alphabet and Microsoft’s success. Microsoft gained 1.8% after topping earnings estimates and reporting strong demand for its cloud services. Chevron ticked up 0.3% after reporting a decline in first-quarter profit as expected.

However, Intel tumbled 9.2% after forecasting lower-than-expected revenue for the current quarter, leading to a decrease in share prices. In the S&P 500, ResMed led the index higher by climbing 18.9% after topping quarterly earnings estimates. Alphabet soared 10.2% to close with a market cap of over $2 trillion for the first time, driven by strong earnings reports. DexCom tumbled 9.9% despite beating earnings estimates, while AbbVie slid 4.6% after warning of a sales decline for its blockbuster drug Humira.

In the Nasdaq 100, the AI rally sparked by Alphabet and Microsoft’s earnings lifted semiconductor stocks like Broadcom, Micron, and Advanced Micro Devices. Atlassian tumbled 9.6% after announcing the departure of its co-CEO, while Tesla slid 1.1% following investigations into its recall of 2 million cars in December.

Overall, the market showed resilience with companies reporting strong earnings, despite concerns about inflation and rate cuts. The path forward may be bumpy, but continued economic expansion and growth in corporate profits are expected to drive stock prices to new highs. Investors remain optimistic about the market’s future performance.