Amazon Surge Leads US Stocks Higher Despite Oil Price Worries

US stocks experienced a wild July, marked by frequent swings and uncertainty. The month ended on a positive note, however, as the S&P 500 rose 0.7% to finish its first winning week in three.

The Dow Jones Industrial Average added 276 points, or 0.5%, while the Nasdaq composite rallied 1%. Amazon led the market with a 15.3% surge after reporting stronger-than-expected profits and increasing its investment forecast for the year.

Chip companies like Micron Technology saw significant swings due to their ties to AI-related investments, with some rising sharply before plummeting. Apple's stock dropped 7.4% despite beating profit expectations, while its revenue growth forecast fell short.

Rising oil prices and concerns about inflation put downward pressure on the market. The price of Brent crude increased by 1.2%, settling at $87.93 per barrel. Higher oil costs have contributed to higher gasoline prices, with the average US regular gasoline now costing nearly $4.11 per gallon.

The Federal Reserve's inaction on interest rates has been met with skepticism from some economists, who worry about inflation and the Fed's credibility.