Today's US stock market summary: Microsoft and Amazon's financial reports have exploded, and the market has rebounded from extreme oversold in a V-shaped pattern Geopolitics: Further escalation of US Iran conflict After the US military launched attacks on Iranian targets, Iran retaliated by claiming to have attacked US air bases in Jordan and Bahrain, as well as striking related facilities in Kuwait. The situation in the Middle East continues to have a significant impact on the commodity and energy sectors, and there is no real sign of cooling down in the short term. Microsoft's daily market value surged by $480 billion, setting a record in US stock history After Microsoft's financial report, it surged 15% to 16%, setting a record for its best single day performance since 2008. Its market value increased by $480 billion in a single day, making it the largest single day market value growth in US stock history. The core drivers are Copilot subscription revenue, which surged by 60% quarter on quarter, Azure cloud business growth of 43% (exceeding expectations of 41%), the company maintaining its $185 billion CapEx guidance for the 2026 fiscal year, and promising not to experience negative free cash flow in the 2027 fiscal year, directly dispelling the CapEx shadow left by Google's financial report in the market. Driven by the synchronized rebound of chip stocks such as Micron and SanDisk, technology giants collectively led the gains. Amazon also submitted explosive financial reports, with a 6% surge after hours. Q2 revenue exceeded $200 billion (exceeding expectations of $196 billion), with EPS reaching $5.75, far surpassing expectations of $1.81. AWS revenue of $42.2 billion exceeded expectations. Although the guidance for the third quarter was weak, the strong profitability dispelled investors' doubts. Apple's revenue and profits also exceeded expectations. The revenue of iPhone increased by 22%, with overall revenue reaching 109 billion US dollars. However, the service business revenue of 30.7 billion was lower than the expected 31 billion. In addition, the tight supply chain of advanced chips and memory suppressed the gross profit margin, resulting in relatively poor post market performance, falling by 2.5% to 8%. Reddit plummeted 11% to 12% after hours due to poor daily active user data. The essence of this round of skyrocketing: Gamma squeezing and deleveraging are coming to an end. Whether there will be a reversal depends on whether it will happen, and it is estimated that it will take some time to build a bottom at the bottom. After the bottom is built, it will continue to be bullish from October to December Approaching Friday's option settlement, multiple stocks' opening prices directly penetrated the key option defense structure, triggering the largest Gamma squeeze for market makers in nearly four months. Market makers were forced to buy a large number of stocks during trading to maintain Delta neutrality, driving this surge. Situational Awareness Fund's liquidation has become a signal of a temporary bottom Situational Awareness, a hedge fund founded by former OpenAI researcher Leopold Aschenbrenner, once expanded its asset size to $45 billion (with annual returns reaching as high as 450%). Due to the high leverage of long positions in AI infrastructure stocks (such as Bloom Energy) and short positions in software stocks (such as Adobe), the AI adjustment in mid July was squeezed in both directions, leading to severe margin calls. Eventually, Citadel took over and purchased the vast majority of its public stock positions, with an estimated liquidation size of over 100 billion US dollars. The liquidation of such highly leveraged funds, coupled with large-scale consolidation by Korean retail investors, usually represents the formation of a periodic extreme bottom. Retail investors' selling is equally extreme. According to Vanda Track data, retail investors sold individual stocks on a large scale at the fastest speed since the 2020 pandemic on Tuesday. The extreme panic combined with institutional consolidation triggered a violent reaction, and this kind of sharp rise and fall is a typical short squeeze and high volatility market. Macro data: GDP slowdown, overall moderate inflation and employment The GDP growth rate in the second quarter was 1.5%, lower than the expected 1.8% to 2.1%, indicating that economic growth is indeed slowing down. But the inflation side is relatively warm, with the core PCE monthly rate rising by 0.1%, which is in line with or slightly lower than expectations, at 3.7% year-on-year, far lower than last month's 4.1%; The number of initial jobless claims has increased to 197000, and the overall labor market remains operational. This combination of "slowing growth rate+cooling inflation" provides some macro support to the market. Market trend: Strong rebound from extremely oversold areas The Nasdaq surged 3.36% in a single day, the S&P 500 surged 1.68%, and the VIX plummeted 17%. Technically speaking, this is a strong rebound triggered by the RSI falling to the oversold area around 30. The Nasdaq has fallen for six consecutive trading days, with only 13 occurrences since 1986. Historically, the probability of short-term rebound after such continuous declines is high. However, after the rebound, there may be another round of market washing, completely clearing out the last bull and bear chips. Don't think that everything is fine after the rise, there may be a second dip, gradually forming a higher and lower point, and then there will be another unilateral upward trend in Q4 of November and December. SPY is about 2.46% away from its historical high, with resistance of 744 above and stable support of 732-736 below. The expected fluctuation range for tomorrow is roughly between 750.35 and 733.00. The core GEX extreme values are concentrated around 7500, while the overall GEX is mainly distributed between 7400 and 7600, limiting the S&P oscillation box in recent months. After exploring the middle track of the weekly channel, QQQ has left a long shadow line, with 700 being the current strong ceiling. The previous support has turned into resistance, and bulls need to push QQQ to stabilize at 700-710 in order to resolve the risk of a second downward trend of 650-655. The expected fluctuation range for tomorrow is roughly 697.54 to 669.56. The dark pool data also confirms the participation of institutions. When QQQ 660 and SOXX 460 touched the key Put Wall support area, the dark pool detected a huge amount of institutional buying, driving QQQ to quickly bottom out and rebound at 660 and S&P at 7300. On the 4-hour chart, VIX broke the upward channel of the previous high and low points, falling back to around 17. The 1-hour chart is oversold, and may fluctuate and rebound in the short term. Bulls need to ensure that VIX is suppressed below the resistance of 18-18.5.