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S&P 500 and Nasdaq Set New Records as Apple-Fueled Rally Rolls On

Stronger-than-expected earnings are outweighing geopolitical risks tied to oil.

Overview

  • The S&P 500 and Nasdaq closed at all-time highs Friday after Apple’s earnings beat drove big tech higher.
  • Earnings strength was broad, with about 84% of S&P 500 companies beating forecasts and standout results from Alphabet, Qualcomm, and Atlassian lifting software and chip stocks.
  • Brent crude slipped after Iranian state media said Tehran sent a new negotiation proposal via Pakistani mediators, easing some supply fears from the Strait of Hormuz shutdown.
  • A pullback in the 10-year Treasury yield helped ease inflation worries and can lower loan costs for households and businesses, which also supports stock valuations.
  • April delivered the S&P 500’s biggest monthly gain since 2020, though investors still view the Iran conflict and shipping disruptions as active risks heading into May.