Highlights
Another rally in technology stocks, led by chipmakers, and hopes for a settlement of the Iran war powered equities again on Friday. The Dow Jones industrial average was flat, the S&P 500 gained 0.8 percent, and the Nasdaq was up 1.7 percent. Oil prices were nearly flat while the dollar and bond yields fell after President Trump downplayed the latest clashes between the US and Iran, calling it a trifle.
Trump's comment kept the market hoping for progress toward an end to the war and a reopening of the Strait of Hormuz. Risk appetite was also bolstered by a surprisingly positive employment report showing jobs grew by 115,000 in April while unemployment was stable.
Among stocks, Intel had a huge day on reports of an Apple chip purchase deal. Dell was a big winner after Trump said people should buy its equipment, and Corpay, the financial firm, jumped after positive earnings.
Definition
Market Reflections track market reaction to the trading day's major events. Economic data, policymaker speeches, and company news are featured in this report as well as key indexes and financial instruments.
Description
Understanding why markets respond as they do is fundamental for an investor. Market Reflections help explain how the day's events, news, and data impact the outlook for the economy and for market prices.