Tech Titans Deliver: Microsoft and Meta Spark Rally Ahead of Apple and Amazon Earnings

It’s been a strong start to earnings season for U.S. tech majors. In the last 48 hours, Microsoft and Meta Platforms released robust quarterly reports that beat market expectations and reignited bullish momentum in the Nasdaq 100. With Apple and Amazon set to report next, investors are watching closely to see if the sector can maintain its leadership amid an increasingly complex macro environment.

The market reaction has been swift. Microsoft shares surged over 9% following its results, while Meta climbed more than 6% in early trading, pushing both names closer to all-time highs. The broader Nasdaq Composite and S&P 500 followed suit, driven largely by renewed confidence in tech's fundamentals and continued spending on artificial intelligence infrastructure.

Microsoft (NASDAQ: MSFT) delivered strong Q1 fiscal 2025 results, reporting revenue of $70.1 billion, up 13% year-over-year, and net income of $25.8 billion—a jump of 18%. Earnings per share came in at $3.46, beating consensus forecasts. The Intelligent Cloud segment, led by Azure, posted a 21% increase in revenue, reaching $26.8 billion. AI-related workloads and enterprise demand continued to drive growth, and Microsoft highlighted the integration of Copilot into Office 365 as a key catalyst for product adoption and pricing power.

Meta Platforms (NASDAQ: META) posted revenues of $42.3 billion and EPS of $6.43, both above analyst estimates. Its advertising segment grew 16% year-over-year, boosted by higher engagement across Instagram and Facebook, and improved ad targeting through AI tools. The company raised its capital expenditure guidance to $64–72 billion for the year, focused on AI compute infrastructure and data centers. Despite the high investment, markets responded positively to the long-term monetization narrative.

With Microsoft and Meta now priced in, attention shifts to Apple (AAPL) and Amazon (AMZN), both reporting in the next 24 hours. Apple’s report will be scrutinized for any margin impact from the recent production shift to India, as well as consumer trends in key markets like China. Amazon’s focus will be split between AWS cloud performance and retail profitability following post-holiday logistics challenges.

The Nasdaq 100 and tech-heavy ETFs have gained momentum, and traders are now positioning for either a confirmation or a cap on this rally depending on how the next two giants report.

Tips for Traders

• Trade earnings momentum with CFDs on MSFT and META – Volatility is elevated post-report. Breakout and mean-reversion setups around key levels remain in play.

• Watch the NASDAQ 100 (NAS100) and US Tech 100 – Index CFDs that track tech performance have rallied on strong earnings. Upside could extend if Apple and Amazon impress.

• Prepare for earnings in AAPL and AMZN – Look for pre- and post-market volatility, and consider limit orders or defined-risk trades if trading ahead of reports.

• Monitor XAU/USD and USD/JPY – Risk-on equity sentiment may temporarily weigh on safe havens like gold or the yen. Use caution if equities overextend.

• Stay flexible post-earnings – After big moves, profit-taking or rotation into underperforming tech names is common. Be ready to act on signs of exhaustion or reversal.