Major indexes recovered from midweek losses after strong Microsoft results offset Apple’s weaker-than-expected sales forecast.
US equities reversed early-week declines, closing higher as Microsoft’s earnings and capital spending boosted sentiment. The S&P 500 and Nasdaq rallied Thursday despite Meta Platforms’ post-earnings drop, while surging bond yields and oil prices had pressured markets earlier in the week.
Apple shares fell Friday after the company warned of slowing growth due to chip shortages, missing September-quarter sales expectations. The tech giant’s cautious outlook contrasted with Microsoft’s positive reception, which drove a broader rebound in megacap stocks.
The Fed’s recent policy meeting and rising Treasury yields remained key headwinds, though earnings momentum helped stabilize investor sentiment. Oil prices and AI-related volatility continued to influence sector rotations.