Why Microsoft and Meta Platforms Are Soaring

After falling around 2% on Wednesday and recovering, Nasdaq (QQQ) is poised to rise again today. Microsoft (MSFT) and Meta Platforms (META) posted strong quarterly earnings. The S&P 500 (IVV) will also rise today.Investors put aside concerns about Meta losing Chinese retail advertising revenue this morning. Despite Asia-based e-commerce exporters cutting their digital ad spending on Meta, shares will gain around 5%. Meta posted GAAP earnings per share of $6.43 on revenue of $42.31 billion (+16.0% Y/Y). Advertisers paid an average of 10% more Y/Y per ad. The firm increased its staff by 11% Y/Y to 76,834.Meta expects to spend up to $118 billion in 2025, down from up to $119 billion. In Q2, revenue of up to $45.5 billion demonstrates that the business is running on strong momentum.Microsoft will gain nearly 7% after posting a 33% increase in Azure revenue. In its fiscal third quarter, the company posted $3.46 in EPS. Total revenue rose by 13% Y/Y to $70.1 billion. In Q4, Azure revenue growth will be 34% to 35%. CEO Satya Nadella continued to show why he is one of the best CEOs today.The strong results suggest that Nvidia (NVDA), which sells chips for the AI market, will more than offset lost revenue from export restrictions to China.