Wall Street finished on a high note, with major United States benchmark averages posting multi-week highs on Friday, buoyed by easing trade tensions between the United States and China.
Investors shrugged off disappointing consumer sentiment data and rising inflation expectations, focusing instead on renewed optimism about global trade stability.
The Dow Jones Industrial Average rose 332.0 points, or 0.8%, to close at 42,654.8. The S&P 500 added 41.5 points, or 0.7%, ending the session at 5,958.4, while the Nasdaq Composite advanced 98.8 points, or 0.5%, to settle at 19,211.1.
For the week, the S&P 500 surged 5.3%, the Dow climbed 3.4%, and the Nasdaq soared 7.2%, marking one of the strongest performances in recent months.
Technology stocks were at the forefront of the rally, as NVIDIA surged 16.1% over the week, while Meta Platforms gained 8.1%. Apple shares rose 6.4%, and Microsoft ended the week 3.5% higher.
These gains came despite data from the University of Michigan showing consumer sentiment at its second-lowest reading on record.
The report also revealed rising inflation expectations, with consumers anticipating a 7.3% increase in prices over the next year, up from 6.5% a month ago.
The market's resilience was largely attributed to a breakthrough in trade negotiations earlier in the week. U.S. and Chinese officials agreed to a 90-day halt on new tariffs, alleviating fears of escalating trade conflicts and giving investors hope for improved economic conditions.
Looking ahead, the market is expecting further clarity on trade policy. President Donald Trump stated on Friday that the administration would soon send letters to several countries outlining new tariff proposals, which could replace formal negotiations in cases where time constraints prevent direct talks.
On the bond market, the yield on the 10-year Treasury note stood at 4.445%, while the 2-year yield was at 3.993%.
