US Stocks Advance Amid Tech Earnings and Apple Anticipation
US stock indices gained on Thursday afternoon as investors digested corporate earnings from technology giants and awaited Apple's results for insights into the health of the tech sector.
* The S&P 500 (^GSPC) rose 0.61%.
* The Dow Jones Industrial Average (^DJI) climbed 0.43%.
* The Nasdaq Composite (^IXIC) advanced 1.26%.
Just before the market's close, President Donald Trump hinted at possible 25% tariffs on imports from Mexico and Canada. This news sent the US dollar (DX=F) index rising, initially erasing earlier losses.
Following the Federal Reserve's decision to hold interest rates steady as expected, investors have been scrutinizing company earnings reports. They have paid particular attention to the wave of financial results from the "Magnificent Seven" companies that have driven broader market gains.
Tesla (TSLA) stock ticked higher despite missing its earnings estimates as investors placed trust in its promise to resume growth in 2025. Meta (META) outperformed with positive quarterly earnings lifting its shares, while Microsoft (MSFT) stumbled, falling 6% after its cloud revenue failed to meet expectations.
With Big Tech under scrutiny following the introduction of DeepSeek, a more affordable AI model, the focus shifted to the rationale behind companies' substantial investments in AI.
Additional Market Highlights
* The US Bureau of Economic Analysis reported a slower-than-expected 2.3% annualized growth in the US economy for the fourth quarter.
* American Airlines CEO Robert Isom expressed condolences following the mid-air collision between an American passenger jet and a US army helicopter on Wednesday night.
* After the market's close, Apple (AAPL) released its first-quarter fiscal results, beating expectations for earnings and revenue but falling short on iPhone sales.