Fed Rate Decision and Big Tech Earnings Set Stage for Market Volatility
Wall Street paused on July 29 as investors waited for two major market movers: the Federal Reserve's interest rate decision and earnings reports from Microsoft and Apple. The Fed's two-day FOMC meeting concluded, with the rate announcement and Chairman Kevin Warsh's press conference scheduled for 2:00 p.m. and 2:30 p.m. ET respectively.
The consensus expectation is that the Fed will keep the federal funds rate at 3.5% to 3.75%, the same level set after the previous meeting in mid-June, which was seen as hawkish. Investors will be closely watching Warsh's words for any hints of a change in the committee's stance on inflation concerns.
Microsoft and Apple are set to report earnings, with Microsoft expected to post $4.21 per share. Both reports come amid heightened scrutiny over AI spending, with Alphabet already reporting earlier in the cycle.