New York: The SandP 500 closed higher for the fourth consecutive day, achieving a 4% gain for the week. Investors are steering through a shifting global trade environment, with major technology companies seeing a boost.
According to Azeri-Press News Agency, the broad market benchmark increased by 0.74% to 5,525.21 on Friday. The Nasdaq Composite also rose, adding 1.26% to close at 17,282.94. Meanwhile, the Dow Jones Industrial Average showed a modest increase of 0.05%, or 20 points, ending at 40,113.50.
Alphabet witnessed a 1.5% rise following its better-than-expected financial results for the first quarter. Tesla surged by 9.8%, while other megacap companies such as Nvidia and Meta Platforms advanced by 4.3% and 2.7%, respectively.
The major averages experienced an upward trend this week, marking their second positive week in three. The SandP 500 increased by 4.6%, and the Nasdaq saw a 6.7% rise. Although the Dow has underperformed, it still recorded a weekly gain of 2.5%. Currently, the Nasdaq is slightly positive for the month, whereas the SandP 500 is down 1.5% month to date. The Dow has declined by 4.5% so far in April.
Recent weeks have seen significant market volatility as traders assess the impact of President Donald Trump's tariffs announced on April 2. Mixed messages regarding trade have contributed to this uncertainty.
On Thursday, China stated there were no ongoing talks with the U.S. about a potential trade agreement, following the U.S.'s apparent softening of its stance on trade relations.
Time magazine published comments from Trump on Friday, where he mentioned he would consider high tariffs on foreign countries as a 'total victory' if maintained for a year. He also indicated expectations for new trade deals in the coming weeks.
Adding to the complexity, Trump stated from Air Force One that tariffs on China would remain unless concessions were made.
Jay Hatfield, founder and chief investment officer of InfraCap, remains optimistic despite the tariff-induced uncertainty. He believes that the peak of the trade-related market disruption has passed and expects a more positive outlook.
Hatfield anticipates that earnings reports from major hyperscaler companies like Microsoft and Amazon will be a key market driver next week.