NEW YORK, July 24, 2026, 12:10 p.m. EDT – The Dow gained ground as oil prices pulled back, while the Nasdaq lagged, pressured by declines in AI stocks.
- The Dow rose 0.69%. The S&P 500 advanced 0.62%. The Nasdaq increased 0.26%.
- Brent crude dropped 5% to $95.71, while the yield on the 10-year Treasury remained close to 4.67%.
U.S. equities climbed by midday Friday as oil prices swung higher. Technology stocks underperformed following new earnings reports, increasing focus on AI expenditure.
The distinction is significant as investors differentiate between those spending on AI and those supplying infrastructure. The main focus of the session shifted to cash generation instead of just revenue growth.
The cash market was still operating. Intraday prices were provisional and subject to updates.
| Benchmark | Level | Session change |
|---|---|---|
| Dow Jones Industrial Average | 52,066.16 | up 0.69% |
| S&P 500 | 7,454.25 | up 0.62% |
| Nasdaq Composite | 25,201.80 | up 0.26% |
The readings were taken from 12:03 to 12:04 p.m. EDT.
Momentum picked up following reports that Pakistan was looking into possible fresh U.S.-Iran discussions. Authorities warned significant hurdles still existed. Brent rose to $102 during the night.
Yields kept gains in check. The 10-year yield climbed as high as 4.713% before slipping back to 4.671%. Futures tied to interest rates suggested about a 33% probability of a Fed hike next week.
Company actions revealed the market’s revised focus on cash flow.
| Company | Latest spending or cash signal | Market reaction |
|---|---|---|
| Verizon Communications NYSE:VZ | Raises free cash flow growth outlook to 9%-10%; secures fiber contract valued over $1 billion | +3.22% Reuters |
| Intel NASDAQ:INTC | Ups 2026 capital expenditures to $20 billion; sets Q3 revenue midpoint at $16.3 billion | -3.04% Reuters |
| Alphabet NASDAQ:GOOGL | Reports quarterly capital expenditures of $44.9 billion and negative free cash flow of $5.9 billion | +0.65% Friday SEC |
| Tesla NASDAQ:TSLA | Quarterly capital expenditures at $5.8 billion and free cash flow slips into negative territory | -2.86% Friday The Wall Street Journal |
Alphabet posted a 24% increase in revenue, reaching $119.8 billion. However, capital expenditures surpassed its operating cash flow of $39.1 billion, resulting in negative free cash flow of $5.9 billion for the quarter.
Tesla’s $5.8 billion expenditure also drove free cash flow into negative territory. Shares stayed down following a drop of over 14% on Thursday.
Intel’s shift was also notable. The midpoint of its third-quarter revenue surpassed analyst expectations by about 8%. However, shares declined after it projected capital expenditures would rise to $20 billion.
Verizon offered a contrasting example. The company increased its cash growth outlook and locked in contracted fiber income through a deal with Google. Chief Executive Dan Schulman stated additional agreements could deliver “multiple billions of dollars” across the coming years. Reuters
“Markets are becoming increasingly selective,” said Daniela Hathorn, senior market analyst at Capital.com. According to Hathorn, investors are seeking more explicit links between spending and resulting returns. Reuters
The filter will encounter more significant challenges in the coming week. Microsoft NASDAQ:MSFT, Meta Platforms NASDAQ:META, and Amazon.com NASDAQ:AMZN are scheduled to release their results. The Federal Reserve will announce its rate decision on Wednesday, July 29.
Risks: Oil is still vulnerable to further attacks. Certain investors identify 4.75% as a key threshold for the 10-year yield. Any such shock might undo Friday’s rotation.
At present, the overall recovery is holding steady. The AI trade continues to be divided.
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