U.S. stocks closed higher on Friday, with the S&P 500, Dow Jones Industrial Average and Nasdaq Composite all notching weekly gains despite a sharp surge in Treasury yields. Technology stocks, led by Meta Platforms, drove much of the week's advance.
The S&P 500 climbed 0.51% to close at 7,743.41 on Friday, while the Nasdaq Composite gained 0.5% to 27,068.72. The Dow Jones Industrial Average advanced 478.64 points, or 0.93%, to end at 51,828.62, capping a volatile week of trading.
Tech stocks power the weekly gain
For the week, the Dow rose 0.3%, the S&P 500 added 1.2% and the Nasdaq climbed 2%. Technology names led the advance, with Meta Platforms popping nearly 13% on the week amid enthusiasm over its new AI agent, Muse. The information technology sector rose 3.1%, the most of any S&P 500 group.
Akamai Technologies also stood out, rising 3% Friday after announcing a multiyear computing deal with Anthropic. That followed a premarket jump of over 21% Thursday tied to the same $11.6 billion, seven-year agreement.
Treasury yields keep climbing
The rally came against a backdrop of surging bond yields. The 10-year Treasury yield climbed to its highest level since 2007, while the 30-year yield reached its highest level since 2004, with the two last seen up slightly at 5.163% and 5.488%, respectively. Hawkish comments from Federal Reserve Governor Michael Barr, persistently high energy prices tied to the Iran war, and a hot purchasing managers' report fueled this week's ascent.
As a result, fed funds futures now show a roughly 64% likelihood of a rate hike in October, according to the CME FedWatch tool.
Eric Diton, president of The Wealth Alliance, said investor sentiment has weakened sharply over the past two weeks as yields have risen. Still, he noted the market has held up, with the S&P 500 and Nasdaq trading roughly 1% below their recent highs.
Source: CNBC
Trading involves risk.
Risk Disclaimer
