The United States witnessed a major financial rally following strong earnings from tech giants Microsoft and Meta. Both companies reported impressive results, pushing U.S. stock futures up more than 1%. As investor sentiment surged, the dollar continued its upward trend.
Microsoft’s share price jumped 9%, while Meta soared 12% in after-hours trading. This rise followed reports of robust cloud revenue and increased artificial intelligence investments. Microsoft now edges closer to a $4 trillion market valuation, marking a new milestone for the tech sector.
The dollar strength also caught global attention. Earlier in the week, the U.S. dollar index hit a two-month high. Investors scaled back expectations for Federal Reserve interest rate cuts, which further lifted the currency.
Meanwhile, the Bank of Japan echoed similar policy signals, slightly cooling the dollar’s overnight surge. However, the dollar remains on pace for its strongest weekly performance in nearly three years. This currency strength continues to impact commodities and global trading dynamics.
While stock futures gained ground in the U.S., European and Japanese markets followed with modest increases. In contrast, Chinese markets declined due to weak business surveys and ongoing trade tensions.
As the U.S. tariff deadline approaches, President Donald Trump announced changes to planned levies. Imports from South Korea will now face a 15% tariff, down from the previously threatened 25%. This rate aligns with deals already made with Japan and Europe.
However, not all countries reached similar agreements. Canada and Mexico are still in negotiations. India faces a 25% tariff, while Brazil must handle 50% duties. Meanwhile, China extended its temporary deal but still faces higher tariffs than other major economies.
Trump also surprised markets by adjusting copper import tariffs. The administration will impose a 50% duty on copper pipes and wiring. Although lower than expected, this move still pushed copper prices down by nearly 20%.
Investors responded quickly to these announcements. Stock futures continued rising, supported by the tech rally and a recalibrated trade outlook. The dollar strength, megacap earnings, and revised tariff plans now shape short-term market sentiment.
The U.S. financial landscape appears driven by megacap momentum and international trade policy shifts. Market watchers remain focused on evolving tariff rules and central bank signals to guide investment strategies.
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