Key Points
- U.S. stocks rose on Friday, with the major indexes on pace for weekly gains.
- A very strong corporate earnings season is helping to boost investor confidence.
- President Trump appointed his economic adviser, Stephen Miran, to a vacant seat on the Federal Reserve’s board.
- Weak economic data has increased expectations that the Fed will cut interest rates in September.
U.S. stocks climbed on Friday, with major indexes on track for weekly gains as investors balanced a surprisingly strong corporate earnings season against ongoing worries about the economy and trade. The market also digested President Trump’s latest pick for a seat on the Federal Reserve’s board.
At 9:58 AM (ET), the S&P 500 is currently trading at 6,375.91 USD, showing a positive change of 0.57%. Meanwhile, the Nasdaq 100 stands at 23,503.37 USD, with an increase of 0.49%. The Dow 30 is also up by 0.43%, reaching 44,158.34 USD, reflecting overall gains across these major market indices.
The second-quarter earnings season has been a bright spot, helping to overcome concerns about new U.S. tariffs that went into effect on Thursday. Roughly 80% of S&P 500 companies have beaten profit estimates, nearly double what Wall Street initially expected.
Online travel agent Expedia saw its stock soar after raising its forecast, though retailers like Under Armour and Wendy’s struggled.
Meanwhile, a recent rise in jobless claims and a weak jobs report from last week have fueled expectations that the Federal Reserve will cut interest rates in September.
Adding to the Fed drama, President Trump announced Thursday he is appointing his top economic adviser, Stephen Miran, to fill a vacant seat on the Fed’s board. Miran is a known Trump loyalist who has argued that U.S. tariffs will not cause a major spike in inflation.
Trump said Miran’s appointment is temporary, but hinted that the permanent replacement could be the person who eventually succeeds Jerome Powell as Fed chair next year.
Oil prices rose on the day but were still headed for a big weekly loss, dragged down by fears that new U.S. tariffs will hurt global demand and by OPEC’s recent decision to increase supply.
