Microsoft Q1 FY6/25 Earnings Review
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Where Microsoft Goes, The Market Follows
by Alex King, CEO, Cestrian Capital Research, Inc.
Whether you look at the S&P500, the Nasdaq or the Dow right now, they are in something of a holding, sideways-trending pattern. Markets don’t go sideways forever, they tend to break out of the range and then pursue an actual direction for some time. You can make a bull- or bear- argument for markets right now. You can say well, fundamentals all look good and the Vix is likely to drop post election and so that means stocks up; or you can say, well, there are problems in the real economy, and the Fed cutting rates tells you that, and a recession is coming so, stocks down. And you can use the same charts to make either argument.
The Microsoft chart is the same chart as the Nasdaq. Usually Microsoft leads. So if Microsoft breaks to the upside, likely good things are going to happen in the market, and the converse is also true.
The numbers were good by the way. I don’t think that really matters right now. But for good measure here's the Q1 headlines:
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