Markets Frame Microsoft's April 29 Earnings as 2026's Top Tech Event

Anticipation builds for Microsoft's FY Q3 earnings on April 29, positioned as 2026's most critical tech event to test if $37.5 billion AI spending in FY Q2 is fueling profitable growth amid Azure's 39% YoY expansion. Last quarter delivered $81.3 billion revenue, up 17% YoY, but an $80 billion Azure backlog within a $625 billion total highlights capacity strains. After shares dropped 25% early 2026 then rebounded 21%, MSFT remains down 8% YTD; strong results could boost AI sentiment and Nvidia, while weakness may pressure tech.