Microsoft stock price dips 0.9% as OpenAI partnership concerns shake investor sentimen
Price now tests support near the 50 EMA
Microsoft stock began the week with a strong bullish impulse.
The tech stock surged to another all-time high during Monday’s session. Price jumped by 1.15% to reach $480.8, slightly above last week’s peak of $480.5. That new high marked a continuation of the stock’s broader uptrend, but profit taking set in later during the session. Microsoft stock then closed Monday at $477.17 per share, posting a 0.83% gain for the day and signalling a minor cool-off in momentum.
- Microsoft hit a new all-time high at $480.8 before cooling on Monday.
- Tuesday's 0.9% premarket dip followed news of internal tensions with OpenAI.
- Price now tests support near the 50 EMA amid sentiment-driven pullback.
However, the tone changed significantly on Tuesday, June 17. In the premarket session, Microsoft stock dropped 0.9% to a low at $474.8, fully reversing Monday’s upside move. The pullback was triggered by news reports highlighting rising tensions between Microsoft and OpenAI. The two companies are reportedly facing internal disputes over contractual terms, potential restructuring stakes, and intellectual property access tied to OpenAI’s acquisition of Windsurf, a coding startup. Speculation around a possible regulatory review has also added to investor concerns.
Microsoft stock price dynamics (May - June 2025). Source: TradingView
This tension has dented Microsoft’s positioning in the artificial intelligence space, which had been a major driver of its stock’s bullish momentum over the past year. The partnership with OpenAI had given Microsoft early leverage in the generative AI race. A potential breakdown of that relationship introduces strategic risks and could reshape investor expectations about Microsoft’s AI advantage.
Microsoft's RSI stays bullish as price approaches order block support
Technically, the price has now dropped into a key demand zone that supported the earlier rally to record highs. This zone is reinforced by the 50-day exponential moving average on the hourly chart. A breakdown below this base could expose the next area of technical support, near the top of a bullish order block at $471.2. However, the broader trend context is still positive. RSI readings show that momentum is still in bullish territory, suggesting that the current decline may be more sentiment driven than structural.
From a fundamental standpoint, Microsoft’s long-term outlook continues to benefit from strong quarterly reports and ongoing cloud expansion. The premarket dip may present a test of investor confidence in the face of temporary partnership strain. If buyers step back in during regular trading hours, the stock could recover early session losses and stabilize above the demand zone. Holding this area will be key for resuming the broader uptrend toward 480 and beyond.
Microsoft eased slightly after hitting a record high but stayed strong above $473 support. Premarket gains near $478 pointed to renewed momentum backed by a three-week bullish streak.
