Microsoft's stock is up 2.5% in Friday morning action and leading Dow Jones Industrial Average gainers. The rally in Microsoft shares is adding about 65 points to the Dow, which itself is up about 80 points.

Wall Street marched higher on Friday, after earnings from tech behemoths Microsoft (MSFT) and Alphabet (GOOG) (GOOGL) reignited the artificial intelligence (AI) craze. Moreover, traders bracing for another hotter-than-expected reading on inflation were calmed after the Federal Reserve's preferred price gauge largely matched estimates.

Strong gains for Alphabet and Microsoft have the U.S. stock market on track for its first winning week in the last four. The S&P 500 rose 0.6% early Friday. The Dow Jones Industrial Average was flat,

Sticky core inflation, as reflected in Friday's PCE data for March, underscores Vanguard’s view that the Federal Reserve may be unable to cut interest rates this year, according to Roger Aliaga-Diaz,