Amazon, Microsoft Earnings Reignite AI Trade, Spark Global Rally
MSFT sits 28% above its 52-week low of $349.2 on elevated volume (2.7× avg).
Summary
Microsoft and Amazon earnings are driving a global stock rally, reviving the AI trade after recent selloffs. Microsoft's forecast of generating cash throughout fiscal 2027, revealed in its earnings call, directly addresses investor concerns about AI spending sustainability. Amazon followed with its strongest cloud growth in over four years, confirming that hyperscaler AI investments are translating into revenue. The Nasdaq 100 futures jumped 1.07% on the news, and South Korea's KOSPI surged nearly 18% in a record comeback. This follows Microsoft's blowout Q4 results two days ago, which showed Azure growing 43% and AI Copilot surpassing 30 million users. The market is now refocusing on capital efficiency and long-term AI economics, with the sector poised to regain leadership.
At the time of this announcement, MSFT was trading at $447.94 on NASDAQ in the Technology sector, with a market capitalization of approximately $3.3T. The 52-week trading range was $349.20 to $555.45. This news item was assessed with positive market sentiment and an importance score of 8 out of 10. Source: Reuters.