S&P 500 Futures Rise After Meta Soars on Earnings, But Microsoft Dive Limits Gain: Live Updates

Tech Leads, But With Mixed Signals
The U.S. stock market’s mood is increasingly tied to Big Tech. This morning, S&P 500 futures rose about 0.2%, while Nasdaq 100 futures gained slightly more. The lift came mainly from Meta Platforms, which beat expectations and offered an upbeat forecast, sending its shares up 7–8% in pre-market trading.
On the other hand, Microsoft’s stock fell more than 6% despite an earnings beat. Weak cloud growth and cautious guidance dampened investor enthusiasm. This contrast shows the market is becoming more selective — not all tech wins are treated equally.
Why Meta Was the Star
Meta’s strong performance reflects two main points:
Digital advertising remains resilient. Meta continues to attract advertisers, even amid global economic uncertainty.
AI investments and user engagement are promising. Management’s forecast for next quarter signals confidence in future growth, which comforted investors worried about rising costs.
In short, Meta not only exceeded revenue expectations but also convinced investors it can sustain growth without overspending.
Microsoft’s Struggle
Microsoft’s decline highlights a different story. While earnings beat estimates, slower-than-expected Azure cloud growth and massive AI-related expenditures raised concerns about profitability. Investors worry about how quickly these investments will translate into revenue.
This shows a broader market trend: growth alone isn’t enough. Investors now reward companies that demonstrate profitable, sustainable growth and carefully manage costs.
The Bigger Market Picture
Despite the tech tug-of-war, the S&P 500 has recently hit record levels, even breaking the 7,000-point milestone. Technology stocks, which dominate the index, have been driving much of the market’s gains.
But the swings in individual stocks illustrate that the market remains sensitive. A few companies can lift the index, yet broader participation from other sectors is needed for long-term stability.
How Investors Are Responding
This week’s earnings show that investors are focusing on both growth and efficiency. Companies like Meta, which show revenue growth and provide clear guidance, are rewarded. Others, like Microsoft, face scrutiny if spending outpaces near-term returns.
Meanwhile, non-tech sectors — including industrials and consumer goods — offered mixed but generally supportive earnings results. These sectors provide balance, helping prevent market gains from being too narrowly concentrated in tech.
Key Factors Moving the Market
Looking ahead, several elements will shape market moves:
More earnings reports: Apple, Amazon, and other tech giants will continue to set the tone.
Economic data: Inflation, employment, and consumer spending figures will influence Fed policy expectations.
Global events: Geopolitical developments can sway investor sentiment, especially in tech-heavy markets.
Each of these factors could either reinforce the mild uptrend in futures or spark volatility.
What This Means for Investors
The mixed reactions of Meta and Microsoft show that investors are becoming more discerning. Simply beating earnings estimates is no longer enough; companies must show sustainable profitability and strategic capital management.
For the S&P 500, this means futures will continue reacting not only to headline earnings but also to underlying signals about growth, spending, and economic health. The tug-of-war between optimism for AI-driven growth and caution over costs will likely shape market behavior in the weeks ahead.
Final Thoughts
Thursday’s market action demonstrates the nuanced nature of modern investing. Meta’s surge proves that companies with solid revenue growth and clear guidance can still inspire confidence. Meanwhile, Microsoft’s decline is a reminder that high spending without immediate returns can be penalized by investors.
As the earnings season continues, keeping an eye on both tech performance and broader economic indicators will be critical. S&P 500 futures may rise or fall, but the key takeaway is clear: in today’s market, quality growth matters just as much as quantity.