Major United States benchmarks finished higher on Thursday (Friday AEST), lifted by better-than-expected earnings from Nvidia, though broader gains were held back by renewed uncertainty over U.S. trade policy linked to President Donald Trump's tariffs.
The Dow Jones Industrial Average rose 117.0 points, or 0.3%, ending the session at 42,215.7. The S&P 500 closed up 23.6 points, or 0.4%, at 5,912.2, while the Nasdaq Composite added 74.9 points, or 0.4%, to reach 19,175.9.
Investor sentiment was tempered by legal developments concerning Trump’s tariffs, after a U.S. trade court ruled that Trump had exceeded his authority in imposing the levies, ordering the contested measures to be vacated.
However, the Trump administration quickly appealed, and a higher court reinstated the tariffs on Thursday afternoon. Officials also signalled they could seek an emergency stay from the Supreme Court as early as Friday.
Despite the trade-related headwinds, Nvidia offered a bright spot. The semiconductor giant’s surged 3.3% after it reported first-quarter earnings that beat expectations, driven by a 73% year-over-year increase in its data centre segment.
All three major indices are on pace to close both the week and the month in positive territory. The S&P 500 has gained 1.9% this week, while the Dow is up 1.5%. The Nasdaq has outperformed with a 2.3% weekly rise.
Monthly performance has been even more robust: the S&P 500 is up 6.2% in May, the Dow has climbed 3.8%, and the Nasdaq is leading with a nearly 10% jump.
On the bond markets, yields declined slightly, with the 10-year Treasury yield down 1.1% to 4.426% and the 2-year yield falling 1.3% to 3.939%.
