MARKET WRAP

Stocks rallied today after the Fed signaled that rate cuts could be coming.

The S&P 500 was up more than 1.5%, while the Nasdaq Composite rallied 2.64%, marking the best day for both indexes since February. The small-cap Russell 200 was up around 1%.

Technology was the best-performing sector, up 4% after a massive rally in the chips.

Nvidia was up nearly 13%, getting a boost after strong earnings from AMD last night. That stock was up 4% today.

Broadcom, ASML, and Qualcomm were other top performers in the semi-space.

The rally in Qualcomm continued in the after-hours session following a beat on earnings and guidance.

Meta reported its second-quarter earnings moments ago, beating on the top and bottom lines. The stock was higher immediately following the report.

MRKT MATRIX: July 31, 2024

Today’s Top Stories:

• S&P 500 rises as Powell says September rate cut could be on the table (CNBC)

• Powell Says Fed Could Cut Rates ‘As Soon As’ September Meeting (Bloomberg)

• July brought a great stock market rotation. Here’s why it is happening (CNBC)

• Bank Stocks Rally to Two-Year High Amid Sentiment ‘U-Turn’ (Bloomberg)

• Delta CEO says CrowdStrike-Microsoft outage cost the airline $500 million (CNBC)

• U.S. crude oil jumps 4% after Hamas leader killed in Tehran (CNBC)

• Exclusive: New US rule on foreign chip equipment exports to China to exempt some allies (Reuters)

Today’s MRKT Call is Presented by SoFi

Earnings & Powell: How to Trade the Markets

Dan Nathan, Guy Adami and Liz Young break down the top market headlines and bring you stock market trade ideas for Wednesday, July 31st.

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Today’s Okay, Computer. is Presented by RBC and Current

MegaCap Tech Earnings: What We’ve Learned So Far

Dan Nathan and Guy Adami explore the recent broad-based selloff in mega cap tech stocks, particularly focusing on Microsoft, Meta, Amazon, and Apple. They analyze the reactions to Microsoft's earnings report and its implications for the semiconductor sector, they discuss the overall health and future prospects of these tech giants, and delve into the performance of key companies like NVIDIA and AMD. The duo also looks ahead to upcoming earnings reports from other major tech players. Throughout, they highlight the importance of understanding market expectations, the economic environment, and the role of artificial intelligence in shaping tech trends.

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