Major US stock indices closed higher on Friday, with the S&P 500 and Nasdaq Composite setting new all-time highs. Both indices posted gains for the sixth consecutive week. For the week, the Dow Jones Industrial Average rose 0.22%, the S&P 500 gained 2.33%, and the Nasdaq Composite surged 4.51%.
At the close, the Dow was up 12.19 points, or 0.02%, at 49,609.16. The Nasdaq jumped 440.88 points, or 1.71%, to 26,247.08. The S&P 500 advanced 61.82 points, or 0.84%, to 7,398.93.
Micron Technology (MU.US) led the gains, soaring 15.49% and pushing its market capitalization above $840 billion. Intel (INTC.US) surged 13.96%, and Dell (DELL.US) rose 13.05%. The Nasdaq Golden Dragon China Index fell 0.47%, with Alibaba (BABA.US) declining 0.67%.
In Europe, major indices closed lower. Germany's DAX 30 fell 1.30% to 24,350.99, the UK's FTSE 100 declined 0.40% to 10,235.97, and France's CAC 40 dropped 1.09% to 8,112.57.
The US dollar index, which measures the dollar against a basket of six major currencies, fell 0.17% to 97.900. In late New York trading, the euro rose to $1.1778 from $1.1751, and the pound rose to $1.3622 from $1.3583. The dollar traded at 156.71 Japanese yen, 0.7766 Swiss francs, 1.3681 Canadian dollars, and 9.2323 Swedish kronor.
Bitcoin was little changed at $80,240, while Ethereum gained over 1% to $2,308.8.
In commodities, June WTI crude oil rose 0.6% to settle at $95.42 per barrel, while July Brent crude gained 1.2% to settle at $101.29 per barrel. Spot gold rose 0.58% to $4,715.57 per ounce, and spot silver surged 2.49% to $80.339 per ounce.
**Macroeconomic News** The US economy added 115,000 jobs in April, far exceeding expectations, driven by strong corporate profits and companies' effective management of supply chain disruptions related to the conflict in Iran. The unemployment rate held steady at 4.3%, matching economists' forecasts. While challenges from trade, immigration, and tax policy changes persist for businesses, most have avoided large-scale layoffs. Robust consumer demand has meant that despite news of significant job cuts at some well-known firms, low hiring levels have often been accompanied by relatively low levels of layoffs. Data from the Labor Department and ADP earlier this week indicated the job market is stabilizing. Strong hiring in healthcare and social assistance also supported the overall employment figure. The stock market, at or near record highs, has bolstered CEO confidence. The full impact of the conflict with Iran and the resulting rise in energy prices has not yet been fully reflected in the labor market. Rising US oil prices have placed greater pressure on low-income households, potentially curbing travel and service spending and subsequently slowing hiring in sectors like retail and leisure. Airlines are particularly affected by higher fuel costs, but these effects are not yet clearly visible in the monthly employment data.
Chicago Federal Reserve President Austan Goolsbee stated that all interest rate options, including both cuts and hikes, remain under consideration. The Fed held rates steady at the end of April, with three officials dissenting from the statement's implication that the next move could be a cut, arguing that the possibility of a hike should be kept open. Goolsbee's remarks reflect a shift among Fed policymakers away from considering near-term rate cuts, primarily due to energy price shocks from the Iran conflict pushing inflation higher. He reiterated that both rate cuts and hikes are on the table, expressed concern about inflation, and noted that price pressures exist beyond the energy shock.
In a financial stability report released Friday, the Federal Reserve stated that risks to stability from further private credit redemption requests appear "limited and manageable," following recent instances where some prominent firms blocked investors from withdrawing funds from their funds. The Fed noted that while outflows from these funds slightly exceeded inflows in the first quarter of 2026, redemption requests have remained manageable. The Fed cautioned that sustained redemptions and negative sentiment could reduce credit availability for some borrowers, particularly those with relatively higher credit risk. The private credit market exploded after the 2008 financial crisis but has recently faced challenges as some funds grapple with record redemption requests. Media reports previously indicated that after a surge in these requests, the Fed inquired with major US banks about their private credit exposures. Meanwhile, the Trump administration's top regulators are seeking to ease rules for large Wall Street lenders, partly to help traditional lenders better compete with non-bank firms.
According to sources, the Trump administration is preparing to direct US agencies to collaborate with artificial intelligence companies to protect networks from AI-driven cyberattacks. However, the executive order will not require approval for cutting-edge AI models. The draft order would modify an existing cybersecurity information-sharing program to include AI companies and address threats from emerging technologies. These changes are intended to make it easier to identify and patch vulnerabilities in federal, state, and local networks, as well as critical US infrastructure, without imposing new regulations on AI models. It is unclear when President Trump will sign the measure, which could still change.
US consumer confidence has fallen to a new record low in recent weeks as worries about inflation's impact on personal finances and buying conditions intensify. The preliminary University of Michigan consumer sentiment index for May dropped to 48.2 from 49.8 in April. Consumers expect prices to rise 4.5% over the next year, slightly lower than last month, while long-term inflation expectations for the next 5-10 years stand at 3.4%. As Americans' anxiety about the overall cost of living persists, compounded by a sharp rise in gasoline prices, consumer sentiment remains depressed. Data from the American Automobile Association (AAA) shows the US average gasoline price exceeded $4.50 per gallon this week for the first time since July 2022, having risen more than 50% since the outbreak of the Iran conflict. Survey director Joanne Hsu stated, "About one-third of consumers spontaneously mentioned gas prices, and about 30% mentioned tariffs. Taken together, consumers continue to feel the impact of cost pressures, with the primary driver being the surge in prices at the pump." The preliminary current conditions index for May fell to 47.8, a record low, while the expectations index rose for the first time since January. Consumers' assessment of their current financial situation fell to its lowest level since 2009, and buying conditions dropped to a five-month low.
JPMorgan Chase analysts warned that US gasoline prices could "very well" rise to $5 per gallon, as refineries prioritize producing jet fuel at the expense of other products. In a report on Friday, the analyst team noted that in Asia, the region currently hardest hit by the energy crisis, the price shock from the Iran conflict is transmitting through refined product markets like jet fuel and diesel much faster than through the crude oil market. If refinery operations continue to be constrained by limited crude supply, fuel prices could become "the primary channel for demand destruction." "In this scenario, crude oil prices could stabilize around $100 per barrel even with a significant widening of refined product crack spreads. The next phase of the shock would then look less like a traditional crude oil spike and more like a refining and end-fuel supply crisis." The most visibly impacted product currently is jet fuel, prompting refineries to maximize its production, which typically means reduced diesel output. The ripple effects are also spreading to gasoline production. Analysts stated, "This may explain why US gasoline prices have already risen to $4.55 per gallon and illustrates why the risk of prices reaching $5 can no longer be ignored."
**Company-Specific News** Isomorphic Labs, an AI drug discovery company spun out from Google's DeepMind (GOOG.US), is in advanced discussions to raise over $20 billion in a new funding round, according to sources. Venture capital firm Thrive Capital, which led Isomorphic's first funding round last year, is set to lead the new round. One source noted that Alphabet is also participating, but the round has not yet closed. This additional funding would mark another step in Alphabet's long-term plan to spin out its futuristic bets into independent businesses. Alphabet's self-driving unit Waymo raised $160 billion at a $1.26 trillion valuation earlier this year.
Apple (AAPL.US) and Intel (INTC.US) have reached a preliminary agreement for Intel to manufacture some chips for Apple devices, according to a report citing sources. Intensive negotiations between the two companies have been ongoing for over a year, with a formal agreement finalized in recent months. It is unclear which Apple products the chips would be for. Apple ships over 200 million iPhones annually, along with millions of iPads and Mac computers. Intel's main businesses are chip design and foundry services (for itself and external clients). Both segments had been sluggish for years before CEO Pat Gelsinger took over last spring. The Trump administration's conversion of nearly $90 billion in federal grants into a 10% stake in Intel last summer helped facilitate Apple's involvement in the talks. Sources said US Commerce Secretary Dan Lute has met multiple times over the past year with Apple CEO Tim Cook, Tesla CEO Elon Musk, and Nvidia CEO Jensen Huang in an effort to persuade them to partner with Intel. With Apple's participation, Intel has now established partnerships with all three companies.