US equity indexes rose in midday trading on Friday, rebounding from a sell-off in the previous session, as semiconductor manufacturers and cyclicals helped offset a slump in communication services.

The Dow Jones Industrial Average jumped 1.8% to 49,775.8, with the Nasdaq Composite up 1.4% to 22,865.2 and the S&P 500 higher by 1.4% to 6,892.4.

All but three sectors, communication services, consumer discretionary, and utilities, advanced. Technology was the standout gainer, followed by industrials, financials, and materials.

Advanced Micro Devices (AMD), Lam Research (LRCX), and Nvidia (NVDA) were the top gainers in a category of stocks with a market capitalization of more than $200 billion. Of the top 10, eight were technology companies, and within those, a majority were from the semiconductor industry, according to data compiled by Finviz.

Shares of Amazon.com (AMZN) sank 7.7%, among the worst performers on the S&P 500, the Nasdaq, and the Dow. The online retailer overnight reported Q4 earnings miss, and its $200 billion capital expenditure guidance towered substantially above market expectations.

In economic news, the University of Michigan's preliminary consumer sentiment index rises to 57.3 in February from 56.4 in January, higher than expectations for a decrease to 55.0 in a Bloomberg-compiled poll. This is the highest reading since August 2025, Michigan said.