Stock market today: Dow, S&P 500, Nasdaq rise to cap volatile July as Big Tech AI spending ramps up

Grace O'DonnellFri, July 31, 2026 at 8:12 AM UTC

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US stocks capped a volatile month on Friday, after the 10-year Treasury yield (^TNX) jumped to its highest level since January 2025 and Big Tech giants reported continued investments in artificial intelligence.

The tech-heavy Nasdaq Composite (^IXIC) rose roughly 1%. The Dow Jones Industrial Average (^DJI) rose 0.5%, while the S&P 500 (^GSPC) also added 0.7%.

All three major averages posted gains for the week, and the Dow also recorded a 0.7% gain for the month of July.

Stocks wavered earlier in the trading day as investors sold 10-year Treasurys, pushing the 10-year yield (^TNX) to 4.73%, its highest in over a year, as investors continued to assess the Fed's decision to hold rates steady with a lack of forward guidance.

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Amazon (AMZN) stock jumped 15% after the e-commerce giant's earnings beat expectations and its chip business expanded. Apple (AAPL) stock fell 7%, as the iPhone maker's Services and China revenue came up short. The results followed Microsoft's (MSFT) historic 15% stock rally on Thursday.

The latest quarterly results from the "Magnificent Seven" companies showed that Big Tech continues to invest in AI, reassuring tech investors who had grown fearful of a slowdown in AI and higher interest rates. The four hyperscalers (Amazon, Microsoft, Meta (META), and Alphabet) forecast spending $720 billion to $745 billion cumulatively on capital projects in 2026.

Oil prices turned higher as traffic in the Strait of Hormuz began to falter following a recent reescalation in hostilities. US benchmark WTI crude futures (CL=F) last traded at around $85 per barrel, and global benchmark Brent (BZ=F) futures rose to $90 per barrel.

Higher energy and gas prices have weighed on consumers' budgets, contributing to depressed sentiment. However, the latest check on how Americans are feeling from the University of Michigan showed a broad pickup in sentiment.

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Source: “AOL Money”