Weekly forecast: Microsoft stock rises after antitrust deal, eyes Fed boost

Weekly forecast: Microsoft stock rises after antitrust deal, eyes Fed boost
Can Microsoft stock climb higher with Fed rate cut?

Microsoft shares closed Friday up nearly 2% at $509.90, turning the weekly performance positive. The gain followed the resolution of a long-running antitrust dispute with the European Commission over separating Teams from the Office suite.

The EC stated that Microsoft’s commitments, including further adjustments after market testing in May and June, were sufficient to address competition concerns. The complaint was originally filed by Slack Technologies, which claimed Microsoft bundled Teams with its widely used Office suite, including Word, Excel, and Outlook.

The resolution signals Microsoft’s flexibility and willingness to avoid regulatory conflicts and fines, a move welcomed by investors.Meanwhile, Microsoft’s policy of bringing more employees back to offices has received mixed reactions: it may face employee resistance but also reflects efforts to boost internal efficiency.

Although earnings are expected late next month, investors this week will closely monitor news related to Microsoft’s cloud infrastructure and AI. Positive updates could lift MSFT stock by 2–5%, while stronger preliminary data could fuel even larger gains.

Fed decision sets the tone

TradingView’s technical analysis currently suggests a buy for MSFT, though the daily chart shows the 20-day SMA crossing above the 50-day SMA — typically a bearish signal. The 50-day SMA ($506) is acting as strong support, while the 20-day SMA ($510) is resistance. RSI sits in neutral territory at 53.36.

MSFT daily chart. Source: Trading View

The bullish scenario for next week looks more likely given the expected Fed rate cut, which would benefit tech stocks, Nasdaq, and the S&P 500. In this case, MSFT could rise toward $514–$520. If rates remain unchanged, sideways movement or a pullback toward $490–$500 could follow, though the market sees this as less likely.

As we wrote, Microsoft price news: Faces resistance at $509.75 after major AI deal with Nebius Group boosts long-term outlook

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