U.S. stocks moved higher in early Friday trading, with the S&P 500 and Nasdaq Composite indices reaching new all-time highs. The gains followed a better-than-expected U.S. April jobs report, while traders also monitored the latest developments in U.S.-Iran relations. After a clash in the Strait of Hormuz, U.S. President Donald Trump stated that a ceasefire agreement remained in effect.

The Dow Jones Industrial Average rose 64.21 points, or 0.13%, to 49,661.18. The Nasdaq Composite gained 312.10 points, or 1.21%, to 26,118.29. The S&P 500 increased by 50.24 points, or 0.68%, to 7,387.35.

Both the S&P 500 and Nasdaq Composite indices rebounded on Friday, setting new record highs.

Data released Friday by the U.S. Bureau of Labor Statistics showed that nonfarm payrolls increased by 115,000 in April, surpassing the 55,000 expected by economists surveyed by Dow Jones. The U.S. unemployment rate held steady at 4.3%, matching expectations.

Markets continued to focus on the latest developments between the U.S. and Iran. Following the clash in the Strait of Hormuz, oil prices edged higher, with West Texas Intermediate crude futures rising 0.1%.

Both the U.S. and Iran accused the other of firing first. U.S. Central Command stated that as three U.S. Navy destroyers transited the waterway, U.S. forces "intercepted an unprovoked Iranian attack and responded in self-defense."

U.S. President Donald Trump posted on Truth Social Thursday evening, stating, "Three destroyers suffered no damage, but the Iranian attackers suffered significant losses." He was also reported to have said the ceasefire agreement remained valid, calling the strikes on Iranian targets "just a light reminder."

According to Iranian state media, a senior Iranian official said Iran would not allow the U.S. to reopen the Strait of Hormuz through "unrealistic plans." The official added that Iran would not allow the U.S. to exit the conflict without paying war reparations.

U.S. Secretary of State Marco Rubio told reporters Friday that the U.S. "should get some news today" regarding Iran's response to a peace proposal. This followed reports from Iranian state media that Iran was reviewing a message from the U.S. received through a Pakistani mediator but had not yet reached a conclusion.

Driven by a strong earnings season, U.S. stock markets have continued to advance in recent sessions, with all three major averages on track for weekly gains. Strong tech earnings have put the Nasdaq on pace for a 2.8% weekly increase. The S&P 500 is projected to rise 1.5%, while the Dow Jones Industrial Average has gained only 0.2% so far this week, lagging behind.

Ma Yongyu, Chief Investment Strategist at PNC Asset Management, expects this robust earnings momentum to continue. He noted that the breadth of the gains is particularly noteworthy. Looking ahead to the second, third, and fourth quarters, the market and analysts still anticipate year-over-year earnings growth of approximately 20% or higher for these periods, suggesting the momentum is not expected to fade.