On July 29, 2026, following a Federal Open Market Committee (FOMC) meeting, Federal Reserve Chairman Kevin Warsh addressed the market as U.S. stock futures saw a rise, partly buoyed by results from major tech companies and the Fed’s decision to maintain interest rates. Futures linked to the Dow Jones increased by 158 points or 0.31%, while the S&P 500 and Nasdaq 100 rose by 0.35% and 0.61%, respectively.
Despite this positive outlook in futures, the Dow Jones experienced a significant fall, plunging 1,153.18 points (2.19%), marking its largest decline since April 2025. The S&P 500 and Nasdaq Composite also saw declines of 1.52% and 1.74%, with the latter closing over 10% below its peak.
In pre-market trading, Microsoft shares surged by 8.3% due to strong growth in its Azure business, while Meta Platforms’ shares dropped 9% after reporting a 91% decrease in free cash flow. Analysts noted a contrast in investment strategies between the two companies, with Microsoft’s spending leading to profitability, and Meta needing better cost control for credibility.
Chipmakers faced pressures as Qualcomm and Arm shares decreased by 5.1% and more than 7%, respectively. The week continued to be significant for corporate earnings, with companies like Bristol Myers Squibb, Amazon, and Apple expected to report.
Traders were also responding to the Fed’s decision to hold interest rates steady, which led to a spike in long-term Treasury yields, including a rise in the 30-year U.S. Treasury yield above 5%. The Fed’s cautious stance indicates potential action in September to address inflation concerns.
Across Europe, stocks saw a slight increase, with the European Stocks 600 benchmark up 0.30%, largely due to corporate earnings. Meanwhile, various Asian markets showed mixed results, with South Korea’s Kospi declining by 1.23% and Japan’s Nikkei gaining 0.71%. Upcoming economic indicators, including jobless claims and inflation rates, were also highlighted as key focuses for traders.
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