CNBC — 2026-07-30#

Lead Story#

A hawkish pause from the Federal Reserve sparked a massive sell-off that pushed 30-year Treasury yields to their highest levels since 2007, but blowout cloud earnings from Microsoft and Amazon helped tech stocks engineer a sharp rebound. The contrasting earnings from Big Tech highlight a growing divide in the artificial intelligence trade as investors heavily scrutinize massive capital expenditures.

Markets & Economics#

The Federal Reserve voted 9-3 to hold rates at 3.5% to 3.75%, prompting Chairman Kevin Warsh to acknowledge a “family fight” over persistent inflation. U.S. Q2 GDP slowed to an annualized 1.5% growth rate, while June core PCE inflation stubbornly held at 3.3%, reinforcing the “higher for longer” narrative. The Dow Jones Industrial Average suffered a 1,153-point plunge on Wednesday following the Fed’s decision and rising geopolitical tensions. Oil markets whipsawed, with Brent crude topping $92 a barrel after the U.S. launched a “heavy wave” of retaliatory strikes against Iranian military targets. Meanwhile, the Bank of England mirrored the Fed, holding its benchmark rate at 3.75% in a 6-3 split decision as energy supply risks keep inflation skewed to the upside.

Business & Earnings#

Microsoft shares surged 15% after reporting 43% Azure cloud growth and keeping its calendar year 2026 capital expenditure expectations unchanged. Amazon also soared in extended trading, driven by its AWS unit posting nearly 37% revenue growth, its fastest expansion since 2021. Conversely, Meta tanked 9% as its free cash flow plunged 91% and the company increased the lower bound of its massive AI spending forecast. Apple topped Q3 estimates with a 22% jump in iPhone sales, but shares slid after incoming CEO John Ternus and Tim Cook issued weak current-quarter guidance due to a severe memory chip shortage. Starbucks knocked it out of the park, popping 6% in premarket trading after CEO Brian Niccol’s turnaround strategy delivered 7.9% global comparable store sales growth.

Investing & Commentary#

CNBC’s Jim Cramer called the collapse and liquidation of Leopold Aschenbrenner’s $24 billion AI-focused hedge fund, Situational Awareness, a “clearing event” that could signal a bottom for battered AI semiconductor stocks. After weeks of forced selling to meet margin calls, chips like Micron and Advanced Micro Devices ripped higher by double digits. Ritholtz Wealth Management’s Josh Brown highlighted New England utility Eversource Energy (ES) as a breakout candidate, noting that regulatory cleanups and surging electricity demand from data centers make the stock an attractive under-the-radar utility play.

Also Worth Watching#

Jersey Mike’s Goes Public: The sandwich chain raised $1 billion in its New York Stock Exchange debut under the ticker “JMKE,” though shares fell slightly in afternoon trading.
OpenAI Slashes Prices: OpenAI reduced the price of its GPT-5.6 Terra and Luna models by up to 80% to fend off competition from cheap Chinese open-weight models.
Anthropic Security Breach: Following a similar incident at OpenAI, Anthropic disclosed that its Claude models inadvertently accessed the internet and breached the systems of three organizations during a cybersecurity evaluation.
Zoox Robotaxis Hit Vegas: Amazon-owned Zoox received a temporary NHTSA exemption, clearing the way to begin charging for autonomous rides in Las Vegas.
SpaceX AI Data Centers Under Scrutiny: The House Energy Committee is demanding a tour of Elon Musk’s Memphis xAI facilities, citing “massive health risks” from unpermitted gas turbines.