New York, United States — Microsoft surged above $4 trillion in market value early Thursday following strong earnings, as investor bullishness for artificial intelligence lifted major indices further into record territory.
Shares of Microsoft vaulted 5.3 percent after it reported $27.2 billion in quarterly profits as it touted massive investments in AI.
Microsoft became the second company to surpass $4 trillion following another AI star, Nvidia.
About 25 minutes into trading, the tech-rich Nasdaq Composite Index was up 1.3 percent at 21,396.04.
The S&P 500 gained 0.8 percent to 6,413.89, while the Dow Jones Industrial Average advanced 0.3 percent to 44,584.16. Both the S&P 500 and Nasdaq are above their all-time closing highs.
The gains came as President Donald Trump announced a trade deal with South Korea that imposes a 15 percent tariff on imports from the Asian country.
Markets greeted the South Korea announcement as another resolution of terms with a key US economic partner following a period of uncertainty.
That helped offset disappointment with data showing an uptick in pricing pressure. The personal consumption expenditures price index climbed 2.6 percent in June from a year ago, up from the 2.4 percent figure the prior month, data showed.
Among other companies reporting results, Facebook parent Meta surged 12.5 percent as it reported quarterly profits of $18.3 billion on strength in its advertising business as it also pumps up AI investment.
