US benchmark equity indexes were higher intraday as major banks reported stronger-than-expected bottom-lines, while markets tracked tariff updates.

The Nasdaq Composite was up 1% at 16,545.3 after midday Friday, while the S&P 500 rose 0.9% to 5,314.3. The Dow Jones Industrial Average increased 0.8% to 39,908.1. All sectors were higher, led by materials.

In company news, JPMorgan Chase (JPM) and Morgan Stanley's (MS) first-quarter top- and bottom-line results surpassed Wall Street's estimates, while Wells Fargo (WFC) exceeded earnings views.

JPMorgan shares rose 3.4%, the top gainer on the Dow, while Morgan Stanley increased 0.5%. Wells Fargo shares were down 1.3%.

JPMorgan Chief Executive Jamie Dimon said the economy is facing "considerable turbulence" due to tariffs and trade volatility. Separately, Wells Fargo CEO Charlie Scharf called for a quick resolution to trade issues. Morgan Stanley said the US economy is unlikely to slip into a recession.

China on Friday reportedly raised its tariffs on US imports to 125%, in response to US President Donald Trump's move to hike duties on Beijing to 145%. Earlier in the week, Trump announced a 90-day pause for certain tariffs for non-retaliating countries.

"Even if the US continues to impose higher tariffs, it will no longer make economic sense and will become a joke in the history of world economy," CNBC reported Friday, citing a translated statement from the Chinese finance ministry.

US Treasury yields were higher intraday, with the 10-year rate rising 11.9 basis points to 4.51% and the two-year rate adding 10.2 basis points to 3.95%.

In other economic news, US producer prices turned negative last month for the first time since October 2023, the Bureau of Labor Statistics reported Friday. On Thursday, BLS data showed that consumer inflation unexpectedly turned negative in March in what was its first monthly decline since May 2020.

US consumer sentiment soured in April as year-ahead inflation expectations reached the highest point since 1981, according to preliminary survey results from the University of Michigan.

Five-year inflation projections advanced to 4.4% from 4.1%, something that "should catch" the Federal Reserve's attention, Oxford Economics said. "Keeping inflation expectations anchored is critical for the Fed and one reason we don't anticipate the central bank cutting interest rates until December," the brokerage said.

Higher tariffs are likely to increase 2025 inflation to between 3.5% and 4%, New York Fed President John Williams said.

"Although the economic outlook for this year is coming into better focus, what happens after that remains unclear," Williams said. "A key question is the extent to which this year's higher inflation spills over into subsequent years and how that may affect expectations."

West Texas Intermediate crude oil was up 1.9% at $61.22 a barrel intraday.

Texas Instruments (TXN) shares fell 5.5%, the steepest decline on the S&P 500, as Citigroup adjusted its price target on the stock to $210 from $235.

Gold was up 2.1% at $3,244.90 per troy ounce, while silver jumped 3.6% to $31.88 per ounce.