# Amazon jumps 15% as Apple falls 7%, oil lifts inflation worries

**Published:** 2026-08-02T09:50:06.341Z  
**Topic:** Inflation  
**Sentiment:** neutral  
**Publisher:** TrendWatcher — https://www.trendwatcher.in/article/bb7758db-378e-42c7-b7c9-b04b4882def3

Amazon up 15.3% on strong quarterly profit, Apple down 7.4% on revenue forecast miss; S&P 500 +0.7%, 10‑yr Treasury yield 4.71% as oil hits $87.93.

**LEDE**  
U.S. stocks closed Friday higher as the S&P 500 rose 0.7% to 7,489.72, driven by a 15.3% surge in Amazon after it posted profit more than triple year‑over‑year, while Apple slid 7.4% on a revenue‑growth forecast that fell short of expectations.  

**At a glance**  
| At a glance | |
|---|---|
| S&P 500 | +0.7% to 7,489.72 |
| Amazon stock | +15.3% |
| Apple stock | –7.4% |
| 10‑yr Treasury yield | 4.71% (up from 4.68%) |

## Earnings and sector reactions  
Amazon’s earnings beat analysts’ forecasts, with quarterly profit more than three times the prior‑year level, helped by accelerated growth in its cloud‑computing division. The beat prompted analysts to view the result as evidence that the company’s heavy AI spending is beginning to pay off, and Amazon lifted its investment‑spending outlook for the year. The same AI‑related optimism had lifted Microsoft’s shares the day before, marking a back‑to‑back rally for big‑tech names tied to artificial‑intelligence demand.  

In contrast, Apple reported profit that exceeded expectations but delivered a revenue‑growth outlook for the current quarter that missed consensus. Executives blamed the shortfall on a component supply crunch intensified by the AI boom, sending the stock down 7.4% despite the earnings beat. Chip makers that supply “hyperscalers” such as Amazon and Microsoft saw volatile moves, with Micron swinging from a 6.4% gain early in the session to a 5.9% loss by close.  

## Inflation, oil and bond market impact  
Oil prices rose again as the war in Iran kept crude supplies uncertain, with Brent settling at $87.93 per barrel, up 1.2% on the day. Higher oil costs pushed the national average gasoline price to nearly $4.11 a gallon, up from $3.85 a month earlier, and added pressure on broader consumer prices. The inflation backdrop lifted the 10‑year Treasury yield to 4.71%, a rise from 4.68% the previous day and well above the 3.97% level recorded before the Iran conflict escalated. The yield increase has already nudged the average long‑term mortgage rate to its highest point in a year.  

Federal Reserve Chairman Kevin Warsh reiterated the commitment to bring inflation back to 2% but offered no concrete plan, and the Fed kept its policy rate unchanged. Market participants noted that without a clear path, the Fed could face credibility challenges, especially as inflation remains above target.  

## What to watch  
- Upcoming U.S. CPI release (date not specified) for further clues on inflation trends.  
- Federal Reserve policy meeting later this month; any shift in rate stance could move yields and equities.  
- Amazon’s next quarterly earnings report, which will test whether AI‑driven growth sustains the recent profit surge.  

The market’s split performance underscores how earnings surprises and macro‑level inflation pressures can coexist, leaving investors to balance corporate‑specific news against broader economic headwinds.

## Sources
1. Los Angeles Times — [Stocks rise to finish a wild July as Amazon soars, Apple sinks and inflation worries worsen](https://www.latimes.com/business/story/2026-07-31/stocks-rise-to-finish-wild-july-as-amazon-soars-apple-sinks-inflation-worries-worsen)
2. AP News — [US stocks rise to finish a wild July as Amazon soars, Apple sinks...](https://apnews.com/article/stock-markets-rates-korea-ai-oil-e31b3a442bcb957a53f1823ef21e73e8)

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Cite as: TrendWatcher, "Amazon jumps 15% as Apple falls 7%, oil lifts inflation worries", https://www.trendwatcher.in/article/bb7758db-378e-42c7-b7c9-b04b4882def3