Mag 7 Momentum: Stocks Up on Earnings, Data, Oil

April 30, 2026 Joe Mazzola
Solid earnings from four of the Magnificent Seven provided fresh energy, while oil prices slipped. Inflation data was mostly in line with expectations, and Apple reports later.

Published as of: April 30, 2026, 9:19 a.m. ET

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The markets Last price Change % change
S&P 500® Index 7,135.95 -2.85 -0.04%
Dow Jones Industrial Average® 48,861.81 -280.12 -0.57%
Nasdaq Composite® 24,673.24 +9.44 +0.04%
10-year Treasury yield 4.39% -0.02 --
U.S. Dollar Index 98.46 -0.49 -0.50%
Cboe Volatility Index® 17.77 -1.04 -5.53%
WTI Crude Oil $105.59 -1.29 -1.21%
Bitcoin $76,635 +$860 +1.13%

(Thursday market open) Major indexes gathered steam early, taking their cue from mostly solid Magnificent Seven earnings and a slight drop in crude oil and Treasury yields. This morning's data showed inflation mainly in line with expectations and economic growth slightly below, while investors await word from Apple (AAPL) later today.

In a bittersweet moment, longtime Federal Reserve Chairman Jerome Powell took the podium one last time yesterday after another rate pause. Powell's term ends May 15 after many trials and tribulations but with the stock market performing third best for him of all Fed chairs in history at an average annual S&P 500 return of 12.9%. He's staying as governor. With three policymakers objecting to what they see as the Fed's "easing bias," it appears there's healthy debate and a possible turn to more hawkish views on the board as Kevin Warsh, Powell's likely successor, prepares to take the reins.

Stocks finished mostly down Wednesday, though the Nasdaq Composite edged up on a rebound in chips after Tuesday's Open AI-fueled selloff. The Fed's pause didn't have much impact on stocks, though Treasury yields hit one-month highs. Four of the Magnificent Seven reported late Wednesday, playing to mixed reviews. "While the results were mostly strong, especially in cloud metrics, the post-earnings reaction to the 'Fab 4' shows that results were largely expected by investors," said Nathan Peterson, director of derivatives research and strategy at the Schwab Center for Financial Research, or SCFR.

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Three things to watch

  1. PCE and GDP—a deeper dive: The March Personal Consumption Expenditures (PCE) price index rose 0.7%, a bit above consensus, but core PCE excluding food and energy rose 0.3%, as expected. PCE is the Fed's favored inflation reading. The government also pegged first quarter gross domestic product (GDP) growth at 2% on an annualized basis, below the 2.1% Briefing.com consensus. Annual PCE of 3.5% for headline and 3.2% for core were largely in line but well above the Fed's targets. "I think a higher-for-longer inflationary environment is largely expected given the spike in energy," my colleague Peterson said. He added that a 2% GDP reading reaffirms the notion of a resilient economy. "This follows strong retail sales and ISM manufacturing data, though perhaps some war-induced inventory building is contributing to the strength," Peterson said.  In other data, employment costs rose 0.9% sequentially in the first quarter, a bit above the 0.8% consensus, while weekly initial jobless claims descended to a new cycle low of 189,000. This could reflect a smaller supply of workers due to tighter immigration enforcement.
     
  2. Powell's Fed swan song: Though few expected four dissents, including one from a policymaker who wanted to cut rates, the main Fed surprise Wednesday was Powell's decision to remain as governor after his chairmanship ends. Powell said he'd keep a low profile but will stay until he's convinced the administration's criminal investigation into him is over. His term as governor ends in early 2028. This has market implications, "pushing back the potential for the committee to run a bit more dovish when the administration would prefer to replace him with someone who prefers lower rates," said Collin Martin, head of fixed income research and strategy at SCFR. The hawkish dissents may make that a moot point for now, as the committee already has a large hawk contingent. Those dissents "suggest that there is chatter about potential rate hikes, despite what the statement says," Martin said.
     
  3. CEO change puts Apple's call in spotlight: Apple approaches earnings after announcing longtime CEO Tim Cook will step down later this year and be replaced by hardware chief John Ternus. One question is whether Ternus will join the company's earnings call, providing initial perspectives. The CEO change announcement fueled ideas that Apple would report a strong quarter, especially after analysts noted signs of solid iPhone demand in the key China market following strength there the prior quarter. Like other mega caps reporting this week, guidance could be key, especially with shares near all-time highs. Analysts expect earnings per share of $1.95, up 18% from a year earlier, and revenue of $109.7 billion, up 15%. That would represent the second straight quarter of double-digit revenue gains after a 16% rise last time, a sign that growth might rebounding.

Crypto currents

Signs of an end to 'crypto winter': As bitcoin's (mostly) sideways consolidation nears the three-month mark, bulls and bears are anticipating the next big move up or down. So far it's been something of a standoff. The price has risen about 20% from the February low, for now, but has so far failed to top $80,000. Many metrics point to improving sentiment. Spot markets have begun to see more buyers emerge, though volumes remain low, and there has been rising on-chain activity from corporate treasuries, spot exchange-traded products (ETP), and digital natives, said Jim Ferraioli, director of crypto research and strategy at SCFR. Meanwhile, balances held at crypto-native exchanges have been falling, which may indicate seller exhaustion. But perpetual futures funding rates still indicate more demand for shorts than longs and options show demand for downside protection. So while early signs of stabilization point to the "crypto winter" being over, the market remains in a fragile position and lacks a clear fundamental catalyst, Ferraioli said. Lacking a catalyst, any recovery is likely to be uneven, narrative driven, and constrained by slower adoption growth.

Signs of an end to 'crypto winter': As bitcoin's (mostly) sideways consolidation nears the three-month mark, bulls and bears are anticipating the next big move up or down. So far it's been something of a standoff. The price has risen about 20% from the February low, for now, but has so far failed to top $80,000. Many metrics point to improving sentiment. Spot markets have begun to see more buyers emerge, though volumes remain low, and there has been rising on-chain activity from corporate treasuries, spot exchange-traded products (ETP), and digital natives, said Jim Ferraioli, director of crypto research and strategy at SCFR. Meanwhile, balances held at crypto-native exchanges have been falling, which may indicate seller exhaustion. But perpetual futures funding rates still indicate more demand for shorts than longs and options show demand for downside protection. So while early signs of stabilization point to the "crypto winter" being over, the market remains in a fragile position and lacks a clear fundamental catalyst, Ferraioli said. Lacking a catalyst, any recovery is likely to be uneven, narrative driven, and constrained by slower adoption growth.

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Signs of an end to 'crypto winter': As bitcoin's (mostly) sideways consolidation nears the three-month mark, bulls and bears are anticipating the next big move up or down. So far it's been something of a standoff. The price has risen about 20% from the February low, for now, but has so far failed to top $80,000. Many metrics point to improving sentiment. Spot markets have begun to see more buyers emerge, though volumes remain low, and there has been rising on-chain activity from corporate treasuries, spot exchange-traded products (ETP), and digital natives, said Jim Ferraioli, director of crypto research and strategy at SCFR. Meanwhile, balances held at crypto-native exchanges have been falling, which may indicate seller exhaustion. But perpetual futures funding rates still indicate more demand for shorts than longs and options show demand for downside protection. So while early signs of stabilization point to the "crypto winter" being over, the market remains in a fragile position and lacks a clear fundamental catalyst, Ferraioli said. Lacking a catalyst, any recovery is likely to be uneven, narrative driven, and constrained by slower adoption growth.

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Signs of an end to 'crypto winter': As bitcoin's (mostly) sideways consolidation nears the three-month mark, bulls and bears are anticipating the next big move up or down. So far it's been something of a standoff. The price has risen about 20% from the February low, for now, but has so far failed to top $80,000. Many metrics point to improving sentiment. Spot markets have begun to see more buyers emerge, though volumes remain low, and there has been rising on-chain activity from corporate treasuries, spot exchange-traded products (ETP), and digital natives, said Jim Ferraioli, director of crypto research and strategy at SCFR. Meanwhile, balances held at crypto-native exchanges have been falling, which may indicate seller exhaustion. But perpetual futures funding rates still indicate more demand for shorts than longs and options show demand for downside protection. So while early signs of stabilization point to the "crypto winter" being over, the market remains in a fragile position and lacks a clear fundamental catalyst, Ferraioli said. Lacking a catalyst, any recovery is likely to be uneven, narrative driven, and constrained by slower adoption growth.

On the move

  • Meta Platforms (META) plunged 9% even though first-quarter earnings easily topped consensus estimates, and revenue rose more than 33% year over year. Investors appeared to zero in on the company's increased full-year estimate for capital expenditures, which raised spending concerns.
     
  • Alphabet (GOOGL) rose 8% early today. The firm easily beat expectations, reporting earnings of $5.11 per share, versus a consensus estimate of $2.62, on revenue of $109.9 billion, a 22% increase year over year. Google Cloud revenue rose 63% to $20 billion after Alphabet committed up to $185 billion to its artificial intelligence capital spending program.
     
  • Microsoft (MSFT) slipped 2% despite beating consensus on earnings and revenue. In a metric closely watched by investors, Azure cloud revenue grew 40% year over year in the latest quarter, or 39% on a constant-currency basis. That exceeded the firm's guidance for 37% to 38% constant-currency growth and may reassure investors who worried about cloud performance the prior quarter. Total revenue rose 18% annually.
     
  • Amazon (AMZN) rose nearly 3% as the company topped consensus earnings and revenue estimates. The closely watched cloud business performed well, with revenues rising 28% year over year to $37.6 billion. But it might not have been enough for investors, who were expecting higher growth figures, according to whisper numbers. Free cash flow also declined significantly amid rising AI investments and net income guidance came in slightly below estimates.
     
  • Eli Lilly (LLY) spiked nearly 7% in early action after quarterly results topped consensus. Sales of diabetes drug Mounjaro rose 125% year over year and sales of obesity drug Zepbound rose 80%. The company raised its guidance for fiscal 2026 to ranges mostly above the FactSet average estimate.
     
  • Qualcomm (QCOM) surged 11% in early trading, though its guidance for the current quarter came in below consensus due in part to memory supply constraints and pricing. Earnings per share topped consensus and revenue came in as expected. Investors seemed intrigued by the company's release noting that "a leading hyperscaler custom silicon engagement is on track for initial shipments later this calendar year," MarketWatch reported, a sign of the company capitalizing on AI opportunities.
     
  • Merck (MRK) popped 3% after beating analysts' quarterly estimates. Strong sales of cancer drug Keytruda bolstered results, though the company offered narrowed guidance for the fiscal year.
     
  • Ford (F) plunged 5% as the company beat analysts' earnings expectations but fell short on revenue. The company raised its profit forecasts amid strong sales of luxury trucks, but investors appeared concerned about higher costs the company reported.
     
  • Caterpillar (CAT) climbed 5.6% as earnings and revenue topped analysts' average estimates. In its release, the company cited "resilient end markets" and a "record backlog."
     
  • ConocoPhillips (COP) dropped 2% despite the oil company exceeding analysts' earnings and revenue estimates. Production fell during the quarter, and the company excluded Qatar from production guidance given Middle East uncertainty.
     
  • GE HealthCare (GEHC) plummeted 13.2% Wednesday after missing analysts' earnings estimates and slashing its profit outlook. The medical technology company faced pressure in the first quarter from rising memory chip, oil, and freight costs, according to CEO Peter Arduini.
     
  • The PHLX Semiconductor Index (SOX) rose more than 2% Wednesday after its 3% slide Tuesday. "I think the news out of OpenAI was mostly dismissed," my colleague Peterson said. "The AI capex binge appears to be the dominant focus from investors, meaning, as long as AI capex is on the rise, the ripple effects will provide a foundation to economic stability." Intel (INTC) was among the biggest gainers, up 12% yesterday.
     
  • Memory chip names like SanDisk (SNDK) and Western Digital (WDC) resumed their surge this morning, while optical networking firm Lumentum (LITE) climbed 4%.
     
  • In the wake of yesterday's surprising dissents in the Fed's pause decision and this morning's data, chances for a rate cut in June stayed extremely low near 3%, according to the CME FedWatch Tool. For the full year, futures trading suggests rates will stay right where they are between 3.5% and 3.75%, with just 8% chances of a cut and 8% chances of a hike. The odds of a hike rose from zero before the Fed meeting.

More insights from Schwab

Fed meeting redux: While the Fed left rates unchanged at its meeting yesterday, a read between the lines shows heightened uncertainty. The dissents "could represent an acknowledgment that the risks to higher inflation are greater than the statement implies," Schwab's Martin said in his Fed meeting wrap-up. "With inflation above the Fed's 2% target for five years and counting, the committee can't be complacent."

Fed meeting redux: While the Fed left rates unchanged at its meeting yesterday, a read between the lines shows heightened uncertainty. The dissents "could represent an acknowledgment that the risks to higher inflation are greater than the statement implies," Schwab's Martin said in his Fed meeting wrap-up. "With inflation above the Fed's 2% target for five years and counting, the committee can't be complacent."

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Fed meeting redux: While the Fed left rates unchanged at its meeting yesterday, a read between the lines shows heightened uncertainty. The dissents "could represent an acknowledgment that the risks to higher inflation are greater than the statement implies," Schwab's Martin said in his Fed meeting wrap-up. "With inflation above the Fed's 2% target for five years and counting, the committee can't be complacent."

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Fed meeting redux: While the Fed left rates unchanged at its meeting yesterday, a read between the lines shows heightened uncertainty. The dissents "could represent an acknowledgment that the risks to higher inflation are greater than the statement implies," Schwab's Martin said in his Fed meeting wrap-up. "With inflation above the Fed's 2% target for five years and counting, the committee can't be complacent."

Inflation tips: Treasury Inflation-Protected Securities, or TIPS, can help buffer a portfolio against inflation since their principal values are indexed to the CPI. When considering TIPS, however, it's important to understand their unique characteristics and complex nature.

Crypto check: Bitcoin has gained more than 20% from its early February low, climbing above its 50-day moving average and testing the $78,000 level. But a look at investment flows reveals that while the price is slowly recovering, many investors who exited during the roughly eight-month decline remain on the sidelines. Get a closer look in our latest cryptocurrency update.
 

Chart of the day

Brent crude oil futures rose about 6% Wednesday to about $111, approaching the multi-year high set in the early days of the war in Iran in March above about $115 after it rose from below $75.

Data sources: CME Group. Chart source: thinkorswim® platform.

Past performance is no guarantee of future results.

For illustrative purposes only.

Brent crude oil (/BZ—candlesticks), the global benchmark, rose about 6% Wednesday, breaking above a short-term trend line (white line), and was set to close at the highest level since March 20. The Relative Strength Index (RSI) (lower pane) is turning up but remains below the overbought level.

The week ahead

Check out the investors' calendar for a summary of the top economic events and earnings reports on tap this week.

May 1: April ISM Manufacturing PMI® and expected earnings from Exxon-Mobil (XOM), Chevron (CVX), and Colgate-Palmolive (CL). Earnings from Berkshire Hathaway (BRK.B) are expected on Saturday, May 2.
May 4: Expected earnings from Palantir (PLTR), Vertex Pharmaceuticals (VRTX), and Tyson Foods (TSN).
May 5: ISM April Services PMI® and expected earnings from Advanced Micro Devices (AMD), Arista Networks (ANET), Lumentum (LITE), Strategy (MSTR), Eaton (ETN), Shopify (SHOP), Pfizer (PFE), Anheuser-Busch Inbev (BUD), and Duke Energy (DUK).
May 6: ADP April employment and expected earnings from Walt Disney (DIS), Uber Technologies (UBER), Novo Nordisk (NVO), CVS Health (CVS), Marriott International (MAR), Apollo Global Management (APO), Medline (MDLN), Arm Holdings (ARM), AppLovin (APP), DoorDash (DASH), and Warner Bros. Discovery (WBD).
May 7: February construction spending and expected earnings from Shell (SHEL), McDonald's (MCD), Gilead Sciences (GILD), McKesson (MCK), CoreWeave (CRWV), Coinbase Global (COIN), and Airbnb (ABNB).

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