The S&P 500 climbed to another record high on Thursday (Friday AEDT), buoyed by United States President Donald Trump's calls for lower interest rates and reduced oil prices.
The Dow Jones Industrial Average advanced 408.3 points, or 0.9% to close at 44,565.1, achieving a four-day winning streak, the S&P 500 gained broad market index added 32.4 points or 0.5% to close at record highs of 6,118.7, while the Nasdaq Composite added 44.3 points or 0.2% to 20,053.7.
Stocks experienced an additional boost after Trump addressed the World Economic Forum virtually, urging an immediate drop in interest rates.
Trump also stated his intention to request Saudi Arabia to reduce oil prices, which led crude oil into negative territory. Following his comments, short-term Treasury yields also fell.
Investor sentiment has been bolstered this week by optimism surrounding potential tax cuts, deregulation, and signs of continued economic resilience. While concerns about tariffs persist, the absence of formal action on trade levies since Trump's return to the White House has reassured market participants.
The ongoing fourth-quarter earnings season has further supported markets, with Netflix and major banks starting the season with strong results.
However, American Airlines tempered enthusiasm, plunging over 8.7% on Thursday following weak forward guidance.
On the bond markets, 10-year rates lifted 0.7% to 4.646%, while 2-year rates were down 0.3% to 4.289%.
