Stocks Gain on Tech Results, Tariff Shock Easing: Markets Wrap

(Bloomberg) — Wall Street traders are piling into US stocks on strong tech earnings, with major indexes close to erasing losses sparked by the tariff shock that rattled markets just weeks ago.

The S&P 500 and the Nasdaq 100 gained as Microsoft Corp. and Meta Platforms Inc. jumped on strong results. Treasuries rallied after weekly data showed jobless claims jumped to the highest level since February. A dollar index rose.

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Tech earnings are largely driving optimism in the markets along with expectations that trade deals will offer many countries a reprieve from the highest tariffs first unveiled April 2. Traders also sought reassurance in bets on Federal Reserve easing after the US economy contracted for the first time since 2022. National Economic Council Director Kevin Hassett saying the Trump administration is making progress in tariff talks — and that he expects news by the end of the day — boosted sentiment as well. 

“So far we’re seeing big tech companies deliver on earnings, which is reassuring, and it’s this reassurance which is supporting equity market futures,” said Georgios Leontaris, chief investment officer for EMEA at HSBC Global Private Banking. “The other element of the story beyond earnings is obviously the ongoing debate as to whether we’ve seen peak tariff noise or not.”

Analysts will be watching Apple Inc. results due after the market close closely for any further detail on how the company, whose supply chain is reliant on China, Vietnam, and India, views the impact of tariffs.

General Motors Co. cut its full-year profit outlook citing exposure to auto tariffs, among the biggest financial hits revealed by any company so far to the trade tumult. McDonald’s Corp. shares fell after the burger chain’s first quarter sales missed estimates.

Despite some lackluster earnings, sentiment remained upbeat after a report that the US has been pro-actively reaching out to China through various channels. At the same time, US President Donald Trump remained defiant, saying Wednesday he would not rush deals to appease nervous investors and that market volatility has “nothing to do with tariffs.”

Most markets in Europe and many in Asia are shut for holidays.  

The yen fell after the Bank of Japan said it will take longer than it previously thought to hit the inflation target.

In commodities, brent crude slipped as signs of more supply from the Saudi-led OPEC+ alliance and concerns about a slowdown in the world’s two largest economies combined to drag prices toward a four-year low.

Gold fell for a third day on signs of potential trade-talk progress between the US and several other nations, quelling demand for havens.

The US and Ukraine reached a deal over access to the country’s natural resources, offering a measure of assurance to officials in Kyiv who had feared Trump would pull back his support in peace talks with Russia.

Some of the main moves in markets:

Stocks

• The S&P 500 rose 1% as of 9:30 a.m. New York time
• The Nasdaq 100 rose 1.5%
• The Dow Jones Industrial Average rose 0.5%
• The Stoxx Europe 600 was little changed
• The MSCI World Index rose 0.6%

Currencies

• The Bloomberg Dollar Spot Index rose 0.3%
• The euro was little changed at $1.1321
• The British pound was little changed at $1.3317
• The Japanese yen fell 1.1% to 144.66 per dollar

Cryptocurrencies

• Bitcoin rose 2.1% to $96,562.42
• Ether rose 3.1% to $1,849.45

Bonds

• The yield on 10-year Treasuries declined two basis points to 4.14%
• Germany’s 10-year yield declined five basis points to 2.44%
• Britain’s 10-year yield declined one basis point to 4.43%

Commodities

• West Texas Intermediate crude fell 0.5% to $57.93 a barrel
• Spot gold fell 2% to $3,221.59 an ounce

This story was produced with the assistance of Bloomberg Automation.

–With assistance from Richard Henderson, Margaryta Kirakosian and John Viljoen.

©2025 Bloomberg L.P.