🇺🇸 USA Stock Market News Today — April 24, 2026
"Tesla Beats But Shocks With $25 Billion Spending Plan, IBM and ServiceNow Crash, and Oil Climbs Back — Wall Street's Rollercoaster Continues"
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Hello MoneyMindfull family! 👋
Happy Friday and welcome to your end-of-week USA stock market roundup! This week has been an absolute whirlwind — records broken, records surrendered, Tesla delivering one of the most fascinating earnings calls in years, IBM and ServiceNow making investors very unhappy, oil climbing back toward uncomfortable territory, and the Iran ceasefire situation keeping everyone on their toes every single day.
Let us walk through everything that happened — from Tesla's big beat and even bigger spending bombshell, to the software sector getting punished, to what lies ahead in what promises to be one of the most critical weeks of the entire year on Wall Street. Chai ready? Let us go. ☕🚀
📊 Where Markets Closed Thursday — The Numbers First
Let us get the scoreboard on the table before we dive into the stories.
Stocks pulled back on Thursday, led by a drop in software and higher oil prices, as investor uncertainty toward the trajectory of the Iran war hovered over the market. The S&P 500 traded down 0.41% to close at 7,108.40, after earlier hitting a new all-time intraday high. The tech-heavy Nasdaq Composite declined 0.89% to finish at 24,438.50. The Dow Jones Industrial Average lost 179.71 points, or 0.36%, to finish at 49,310.32. [NewsX]
Here is what makes Thursday's session genuinely interesting — the S&P 500 and Nasdaq both hit fresh all-time intraday highs during Thursday's session before selling off and closing lower. [INVC] Think about that. Record highs in the morning — losses by the close. That kind of intraday reversal tells you markets are dealing with real tug-of-war forces — strong earnings on one side, Iran war uncertainty and oil prices on the other. Neither side is winning decisively right now.
But step back and look at the weekly picture and it feels much more positive. Of the 87 S&P 500 companies that have reported so far, 81% have beaten earnings estimates and 76% have topped revenue expectations. [INVC]( More than four out of every five companies beating estimates is genuinely exceptional — and it is the main reason markets have stayed near record levels despite all the geopolitical noise.
🚗 Story 1 — Tesla Earnings: The Good, The Great, and The Expensive
This is the earnings story everyone was waiting for all week — and Tesla delivered one of those classic Elon Musk earnings calls that leaves investors both excited and anxious at exactly the same time. 😅
Let us start with the actual numbers. Tesla reported first-quarter earnings that beat analysts' estimates on the bottom line. Earnings per share came in at 41 cents adjusted versus 37 cents expected — a solid beat. Revenue was $22.39 billion versus $22.64 billion expected — a slight miss on the top line. [TRADING ECONOMICS]
Total revenues grew 16% year-over-year. Gross margin expanded to 21.1% — up nearly 5 percentage points from a year ago. Free cash flow came in at $1.44 billion and the company's cash pile grew to $44.74 billion. [Trendlyne] A 21% gross margin at an electric vehicle company is genuinely impressive — and shows that Tesla is becoming more profitable per car even as it faces intense competition globally.
So far so good, right? Now here comes the part that sent the stock sliding after hours.
Tesla's CFO stated during the earnings call that "a very significant capital investment phase is starting now and will last for several years," revealing plans to raise 2026 capital expenditure from the January forecast of $20 billion to over $25 billion. [Yahoo Finance]Five billion dollars more than previously guided — in a single year. That is a jaw-dropping number even for a company as ambitious as Tesla.
Musk said on the earnings call, "We're going to be substantially increasing our investments in the future," referring to the $25 billion the company plans to spend this year alone on AI software and chips, as well as more traditional manufacturing and design costs. "I think it's going to pay off in a very big way." [Business Today]
What is all this money going toward? Three massively ambitious bets that Musk is making simultaneously. The massive investment is intended to simultaneously advance several ambitious projects — the expansion of Full Self-Driving autonomous driving technology, the start of mass production for the Robotaxi service "Cybercab" and the large EV "Semi," and the establishment of a production line for the Optimus humanoid robot. [Yahoo Finance]
Tesla announced that preparations for its first large-scale Optimus factory will begin shortly in Q2, with a plan for the first-generation line to build 1 million robots a year. Tesla also launched unsupervised robotaxi rides in Dallas and Houston in April and received approval for FSD in the Netherlands. [TRADING ECONOMICS]
One million Optimus robots per year. Unsupervised robotaxis already running in Texas cities. FSD approved in Europe. If even a fraction of these bets work out, Tesla could transform from an electric vehicle company into something far more powerful — a physical AI company that generates recurring software and services revenue. Musk said, "As you've heard me say a few times, I think Optimus will be our biggest product. I remain convinced of that conclusion." [Business Today]
Tesla's stock initially rose about 4% in extended trading but gave up those gains after the company disclosed its massive spending increase on the earnings call. [TRADING ECONOMICS] Classic Tesla — exciting vision, expensive reality. The stock fell about 3.5% Thursday. Patient long-term believers will stay. Short-term traders took profits. The company's $1.45 trillion market cap means investors are still paying a massive premium for the Optimus and robotaxi dream. Time will tell if that dream delivers.
💻 Story 2 — IBM and ServiceNow Get Punished Hard. Here Is Why
While Tesla dominated the conversation, two other major tech names had genuinely ugly sessions on Thursday — and the reasons behind their falls are important to understand.
Shares of IBM tumbled more than 8% and ServiceNow crashed almost 18% after the companies posted their latest quarterly results. While IBM beat on the top and bottom lines, the company maintained its full-year guidance, disappointing investors. For ServiceNow, the company's subscription revenue growth was hindered by the Middle East conflict. [NewsX]
IBM's situation is a perfect reminder of something we have said many times in our market updates — beating earnings is not enough. Markets are forward-looking. IBM reported strong Q1 numbers and then told investors that its full-year outlook remains exactly the same as before. In a market environment where AI excitement is at fever pitch, investors wanted IBM to upgrade its guidance — to say "AI is driving so much new business that we are raising our expectations for the full year." When it did not, the disappointment was immediate and severe. An 8% single-day drop for a company the size of IBM is genuinely significant.
ServiceNow's situation is even more instructive because it reveals a real, tangible way the Iran war is damaging American businesses. ServiceNow's subscription revenue growth was hindered by the Middle East conflict [NewsX] — because many of ServiceNow's enterprise clients in the region have delayed or cancelled technology spending decisions amid the uncertainty. When a war halfway around the world slows down software subscription renewals in America, it shows just how interconnected the global economy truly is. ServiceNow crashing 18% in a single day is a shocking move for a large-cap software company — and it will have investors looking very carefully at all other enterprise software names next week.
✈️ Story 3 — Airlines Are Feeling the Oil Pain Directly
One sector that has been caught firmly in the crossfire of the Iran war and oil price spike this week is aviation — and Thursday brought some very honest earnings commentary from the carriers.
American Airlines said surging fuel costs are weighing on its full-year outlook. The carrier now expects an adjusted full-year loss of 40 cents per share to earnings of $1.10 per share — significantly lower than its forecast for earnings of $1.70 to $2.70 per share in January. Shares of American Airlines are down more than 8% since the start of the US-Iran war. [NewsX]
That revised guidance tells you everything about the oil shock's real-world impact. In January — before the war — American Airlines was expecting to earn up to $2.70 per share for the full year. Today — with oil above $96 a barrel — the best case scenario is only $1.10. The worst case is an actual loss. High jet fuel costs are directly eating into airline profitability — and unless oil falls meaningfully, this pain will continue through Q2 and Q3. If you hold airline stocks, this is important context for managing your expectations.
🌟 Story 4 — The Bright Spots: Texas Instruments Surges 18% and GE Vernova Soars
Not everything was red on Thursday — and some of the positive stories deserve proper attention.
Texas Instruments surged 18% on Thursday — its best one-day performance since October 19, 2000, when it rallied 24.1%. [NewsX] An 18% single-day gain for a company of Texas Instruments' size is extraordinary — and the reason is strong earnings that significantly beat expectations. Texas Instruments makes analog semiconductors — the unglamorous but absolutely essential chips that go into industrial equipment, automotive systems, and factory automation. Strong TI results signal that industrial and manufacturing activity is holding up better than feared, which is genuinely encouraging economic news.
GE Vernova soared 8% in early trading Wednesday after earnings and revenue surpassed consensus estimates and the company raised its fiscal 2026 guidance. The strength reflected heavy demand by data centres for power equipment. [Business Today]GE Vernova makes power generation and grid equipment — and with AI data centres consuming enormous amounts of electricity, demand for GE Vernova's products is accelerating dramatically. This is one of the most important but least-discussed investment themes of 2026 — the power infrastructure buildout required to support the AI revolution. Companies that make the electricity systems feeding AI data centres are seeing demand they have never seen before.
🛢️ Story 5 — Oil Climbs Back and Iran Talks Stall
The geopolitical backdrop continues to shape everything on Wall Street — and Thursday brought an unwelcome development on the energy front.
A fresh bout of volatility rattled markets as stocks fell and oil rose on concern about an escalation of the conflict in the Middle East that could prolong the Strait of Hormuz closure, worsening energy disruptions. Brent crude broke above $105 on worries that peace talks have stalled, rhetoric is increasing and military threats are escalating. [Business Today]
Oil prices spiked in midday Thursday trading. West Texas Intermediate crude futures jumped nearly 4%, crossing $96.50. [NewsX]
The direction of oil is the single most important variable for US markets right now — even more important than individual earnings reports. Every dollar increase in oil pushes inflation higher, keeps the Fed on hold, squeezes corporate margins in energy-intensive industries, and weighs on consumer spending. Every dollar decrease does the opposite — relieving inflation, opening the door to Fed rate cuts, and lifting market sentiment broadly.
The Iran situation remains genuinely binary — peace means lower oil and market rally, no peace means higher oil and market pain. Tech stocks have been the primary driver of the market's rebound since the conflict, accounting for roughly 57% of the rally even though tech represents just a 35% weight in the index. This is mainly because technology is relatively insulated from the oil shock compared to other sectors. [NewsX] In other words — the market's resilience right now is resting on tech's shoulders. If tech stumbles — and ServiceNow's 18% crash is a warning about that possibility — the broader market becomes vulnerable.
📅 The Biggest Week of the Year Is Coming — Next Week's Preview
Here is the absolutely critical information for every investor to carry into the weekend — next week is without question the most important week of the entire earnings season.
April 29 brings the FOMC interest rate decision and earnings from Microsoft, Amazon, Alphabet, Meta, AbbVie, and Qualcomm all on the same day. [Business Today]Let us appreciate how extraordinary that is — four of the five largest technology companies in America all report earnings on the same day as the Federal Reserve announces its rate decision. No single day in 2026 will be more consequential for markets than Wednesday, April 29.
Microsoft's Azure cloud revenue will signal whether enterprise AI spending remains strong. Amazon's AWS numbers will do the same. Alphabet's Google Cloud growth will reveal competitive dynamics. Meta's Q1 results will show whether its advertising business is holding up and what the $25 billion AI investment strategy is delivering. And the Fed decision — while widely expected to be a hold — will be scrutinised word-by-word for any hints about the rate cut timeline.
April 28 also brings earnings from Coca-Cola, Visa, Starbucks, UPS, Spotify, and Sherwin-Williams among others. [Business Today]That is a full cross-section of the consumer economy — from payments to beverages to coffee to logistics — giving investors the clearest picture yet of how ordinary American consumers are coping with inflation, high fuel costs, and geopolitical anxiety.
In short — stay informed and stay ready. Next week could be the week that defines the direction of US markets for the rest of 2026.
💡 MoneyMindfull's Weekend Takeaway — The Honest Full Picture
Here is our completely transparent, balanced assessment as we close out this extraordinary week on Wall Street.
The bull case remains powerful. Tech stocks have been the primary engine of the market's recovery, driven by concentrated earnings momentum — 78% of the 4.2 percentage point increase in US earnings revisions is attributable to technology. [NewsX] With Microsoft, Amazon, Alphabet, and Meta all reporting next week — the sector that has carried this market now needs to justify its leadership with real numbers. If they deliver, the S&P 500 could make new highs. If they disappoint — expect a meaningful pullback.
The bear case is real too. Oil at $96+ is uncomfortable. The Iran ceasefire remains fragile. ServiceNow's 18% crash is a warning about what happens when reality meets elevated software expectations. Consumer confidence at record lows eventually shows up in spending data. And the Fed cannot cut rates in this environment.
The smartest thing any investor can do this weekend is simple — review your portfolio, make sure you are diversified across sectors, and ensure your investments match your personal risk tolerance and time horizon. Do not make large changes based on any single week's earnings results. And absolutely do not make concentrated bets ahead of next week's flood of major reports.
The greatest companies — Apple, Microsoft, Amazon, Alphabet — have survived every crisis, every war, every recession in their history and come out stronger. Short-term volatility is the price of long-term wealth creation. Pay the price. Collect the reward. Stay MoneyMindfull. 💚
⚠️ Important Regulatory Disclaimer: This blog post is published strictly for educational and informational purposes only. MoneyMindfull does not provide investment advice, financial planning services, or securities recommendations of any kind. All information is sourced from publicly available news sources and official company filings including SEC EDGAR reports. All investments carry risk, including the possible loss of principal. Past performance is not indicative of future results. Readers are strongly encouraged to consult a qualified, registered financial advisor before making any investment decisions. MoneyMindfull is not registered with the SEC, FINRA, or any other regulatory body. This content complies fully with applicable fair-use and copyright standards and does not reproduce proprietary content from any single source.
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