[BRIEFING.COM] The S&P 500 (+0.86%) is in second place on Friday afternoon, up about 63 points.

Briefly, S&P 500 constituents Intel (INTC 123.65, +14.03, +12.80%), Dell (DELL 256.79, +26.52, +11.52%), and Corpay (CPAY 339.87, +34.12, +11.16%) dot the top of the standings. INTC rallies on reports of a preliminary Apple (AAPL 292.54, +5.10, +1.77%) chip-making deal that boosts confidence in its foundry turnaround and sparked broad semiconductor sector rotation and short-covering, while DELL rises after President Trump touted the company in an appearance this afternoon saying specifically "go out and buy a Dell," with CPAY rallying after a broad Q1 beat and upbeat FY26/Q2 guidance signaled sustained double-digit organic growth and improving earnings momentum.

Meanwhile, Motorola Solutions (MSI 382.74, -50.46, -11.65%) is one of today's worst laggards, dropping to a near four-month low on valuation-driven profit-taking even after a Q1 beat, raised guidance, and strong backlog, as investors focused on limited upside versus expectations. Into last night's print, shares of MSI were +13.0% YTD vs. +7.2% in the S&P 500.

[BRIEFING.COM] The Nasdaq Composite (+1.53%) is in first place on Friday afternoon, up about 395 points.

Gold futures settled $19.80 higher (+0.4%) at $4,730.70/oz, down then +1.9% on the week, as a softer dollar and easing Treasury yields boosted demand for the precious metal. Ongoing geopolitical uncertainty, expectations for eventual Fed rate cuts, and continued central-bank buying also supported safe-haven flows into gold.

Meanwhile, the U.S. Dollar Index is down about -0.4% to $97.89.

[BRIEFING.COM] The Dow Jones Industrial Average (-0.03%) now sits 14 points lower on the session, well off highs having been up more than 230 points at one point this morning.

A look inside the DJIA shows that Salesforce (CRM 181.23, -5.11, -2.74%), McDonald's (MCD 277.29, -6.41, -2.26%), JPMorgan Chase (JPM 300.91, -5.36, -1.75%) are underperforming.

Meanwhile, Cisco (CSCO 96.79, +4.63, +5.02%) holds firm atop the standings.

The DJIA is poised to end the week +0.67% higher.

Also, at the top of the hour, Baker Hughes (BKR 64.05, +0.52, +0.82%) announced a weekly U.S. rotary rig count of 548, +1 w/w and -30 yr/yr.

[BRIEFING.COM] Stocks are looking to end a record-setting week on a higher note, as solid leadership from semiconductor and mega-cap names pushes the S&P 500 (+0.8%) and Nasdaq Composite (+1.5%) to new record highs. Meanwhile, the DJIA is flat amid mixed strength in the broader market.

The top-weighted information technology sector (+2.2%) is sharply higher, supported by a rebound across semiconductor names after yesterday's weakness. Micron (MU 732.08, +85.46, +13.22%) and Advanced Micro Devices (AMD 442.20, +33.74, +8.26%) both set all-time highs and are just two of many stocks in the PHLX Semiconductor Index (+4.1%) that trade higher.

Software stocks are facing some pressure after yesterday's rally, though Akamai Tech (AKAM 139.39, +22.70, +19.45%) is one of the best-performing S&P 500 components after earnings, and the iShares GS Software ETF (-0.5%) has significantly narrowed its loss for the day.

The consumer discretionary sector (+0.8%) is another outperformer, supported by an extension of recent strength in TSLA. The Vanguard Mega Cap Growth ETF is up 1.1%, and the market-weighted S&P 500 (+0.8%) outperforms the S&P 500 Equal Weighted Index (+0.3%).

Outside of the mega-cap space, the consumer staples sector (+0.7%) is supported by Monster Beverage's (MNST 87.16, +11.20, +14.74%) impressive post-earnings rally, while the materials (+0.7%) and real estate (+0.6%) sectors hold similar gains. Losses are generally modest across the remaining six S&P 500 sectors, though the health care sector (-0.9%) is a laggard.

Crude oil is currently $1.14 (+1.2%) higher at $95.95 per barrel as the U.S. awaits Iran's response to the latest peace proposal.

Overall, today's action reflects continued enthusiasm around AI-driven leadership and semiconductor strength, with investors largely looking past geopolitical uncertainty as the major indices continue to press deeper into record territory.

Reviewing today's data:

• The April Employment Situation Report featured a 115,000 increase in nonfarm payrolls, a 4.3% unemployment rate, and a bump in the average workweek to 34.3 hours (from 34.2). This was not an indisputably strong employment report, however. Average hourly earnings growth was weaker than expected, the labor force participation rate dipped, and the U-6 unemployment rate, which accounts for unemployed and underemployed workers, increased.
  
  • The key takeaway from the report, though, may just be found in a number that looks good on the surface but could be a harbinger of lower spending activity if inflation pressures aren't controlled. We're talking about the 3.6% year-over-year increase in average hourly earnings, which leaves real earnings up just 0.3% when pitted against the March CPI report or up just 0.1% when measured against the latest PCE Price Index. That doesn't provide a lot of discretionary spending cushion without taking on debt or dipping into savings.
• The preliminary reading for the University of Michigan Consumer Sentiment Index for May dropped to 48.2 (Briefing.com consensus: 50.5) from the final reading of 49.8 for April. In the same period a year ago, the index stood at 52.2.
  
  • The key takeaway from the report is that consumers are clearly concerned about rising costs and their ability to out-earn the inflation.
• Wholesale inventories increased 1.3% in March (Briefing.com consensus 1.4%), from the revised previous increase of 0.9% (from 0.8%).

[BRIEFING.COM] The S&P 500 (+0.8%), Nasdaq Composite (+1.4%), and DJIA (+0.1%) are maintaining their gains shortly after midday.

Secretary of State Marco Rubio told reporters that Iran should give the U.S. a response to its latest peace proposal today, according to Bloomberg.

Meanwhile, CNBC reported that the U.S. struck two Iranian-flagged oil tankers in the Gulf of Oman.

Crude oil is currently up $0.92 (+1.0$) to $95.73 per barrel.

[BRIEFING.COM] The major averages are little changed from previous levels at midday.

The health care sector (-0.9%) is the worst-performing S&P 500 sector, currently the only one that holds a loss wider than 1.0%. Weakness is relatively broad, while Mettler-Toledo (MTD 1150.27, -169.02, -12.81%) moves sharply lower after beating EPS expectations, but reporting in-line revenues and issuing downside Q2 guidance.

Meanwhile, Moderna (MRNA 54.49, +5.95, +12.25%) is sharply higher, with the move attributed to a report that scientists are working on a hantavirus vaccine, according to NBC News.

[BRIEFING.COM] Stocks are mixed today, with the S&P 500 (+0.7%) and Nasdaq Composite (+1.3%) notching fresh record highs as semiconductors and mega-caps lead, while the DJIA has retreated to its flatline.

The information technology sector (+2.1%) is sharply higher, due to a 3.8% gain in the PHLX Semiconductor Index, which outweighs a pullback in software names today.

The consumer discretionary sector (+0.8%) is the only other S&P 500 sector with a gain wider than 0.6%, supported by an extension of Tesla's (TSLA 429.43, +17.64, +4.28%) recent strength.

The Vanguard Mega Cap Growth ETF is up 1.0%, helping the market-weighted S&P 500 outperform the S&P 500 Equal Weighted index (+0.2%).

Outside of the S&P 500, the Russell 2000 (+0.2%) and S&P Mid Cap 400 (+0.3%) are modestly higher after yesterday's retreat.

[BRIEFING.COM] The major averages continue to trade in a relatively stable range.

Expedia Group (EXPE 233.99, -18.80, -7.44%)  is traveling lower after its Q1 results last night. The OTA platform beat handily on EPS, continuing its recent stretch of large double-digit upside, while revenue increased 14.7% year-over-year to $3.43 billion, also above expectations. Q2 revenue guidance of $4.11-4.19 billion was in line with expectations, while Expedia reaffirmed its FY26 guidance, including revenue of $15.60-16.00 billion, acknowledging that while there could be potential upside, it is taking a prudent approach given the volatility it has seen and ongoing macro/geopolitical uncertainty.

Meanwhile, Wendy's (WEN 7.25, +0.30, +4.32%)is moving higher after reporting solid Q1 upside. Revenue rose just 3.3% year-over-year to $540.6 million. However, it broke the chain following four consecutive quarters of year-over-year revenue declines, so that was a nice little milestone, getting back to growth. Wendy's described Q1 results as reflecting a business in the early stages of a turnaround. Wendy's says it's making progress to improve its US business and is confident in the direction it is heading. However, weak US traffic trends show that Wendy's has significant work ahead before it can claim a sustained recovery.

Following the latest batch of earnings reports, the S&P 500 Q1 blended growth rate stands at 27.7%.

[BRIEFING.COM] The S&P 500 (+0.7%), Nasdaq Composite (+1.1%), and DJIA (+0.2%) are maintaining their opening gains as tech provides solid leadership while strength begins to broaden.

The preliminary reading for the University of Michigan Consumer Sentiment Index for May dropped to 48.2 (Briefing.com consensus: 50.5) from the final reading of 49.8 for April. In the same period a year ago, the index stood at 52.2.

The key takeaway from the report is that consumers are clearly concerned about rising costs and their ability to out-earn the inflation.

[BRIEFING.COM] Solid tech gains have the S&P 500 (+0.7%) and Nasdaq Composite (+1.2%) charting fresh record highs this morning, while the DJIA (+0.2%) holds a more modest gain.

Strength in the broader market has a positive tilt, but the top-weighted information technology sector (+1.8%) is a clear standout, as investors rotate back into semiconductor names after yesterday's weakness.

The PHLX Semiconductor Index is up 3.6%, with memory names such as Micron (MU 709.13, +62.66, +9.69%) outperforming while NVIDIA (NVDA 217.69, +6.19, +2.93%) provides solid leadership.

True to the recent trend, software stocks are mostly lower, with the IGV down 2.8%. However, Akamai Tech (AKAM 135.82, +19.13, +16.39%) is the best-performing S&P 500 component after turning in a mixed earnings report that featured an announcement that a leading frontier model provider has committed to $1.8 billion over seven years for CIS.

Tesla (TSLA 427.76, +15.97, +3.88%) also holds a nice gain this morning, pushing the consumer discretionary sector (+0.6%) higher. The Vanguard Mega Cap Growth ETF is up 0.8%.

Just released, the preliminary University of Michigan consumer Sentiment Index checked in at 48.5 (Briefing.com consensus 50.5) from the final April reading of 49.8.

Wholesale inventories increased 1.3% in March (Briefing.com consensus 1.4%), from the revised previous increase of 0.9% (from 0.8%).

The stock market remains on track for a higher opening following this morning's release of the April Employment Situation Report.

The report featured a 115,000 increase in nonfarm payrolls, a 4.3% unemployment rate, and a bump in the average workweek to 34.3 hours (from 34.2). This was not an indisputably strong employment report, however. Average hourly earnings growth was weaker than expected, the labor force participation rate dipped, and the U-6 unemployment rate, which accounts for unemployed and underemployed workers, increased.

The key takeaway from the report, though, may just be found in a number that looks good on the surface but could be a harbinger of lower spending activity if inflation pressures aren't controlled. We're talking about the 3.6% year-over-year increase in average hourly earnings, which leaves real earnings up just 0.3% when pitted against the March CPI report or up just 0.1% when measured against the latest PCE Price Index. That doesn't provide a lot of discretionary spending cushion without taking on debt or dipping into savings.

The S&P 500 futures currently trade 37 points above fair value.

Equity indices in the Asia-Pacific region ended the week on a mostly lower note with Japan's Nikkei (-0.2%) tagging a fresh record while South Korea's Kospi (+0.1%) also extended its push into record territory, recording a slim gain. On a side note, Kospi saw its biggest single-day foreign outflow of nearly $5 bln yesterday. Malaysia's central bank left its policy rate at 2.75%, as expected, while Indonesia's central bank warned about a big intervention to support the rupiah.

• In economic data:
  • Japan's April Services PMI 51.0 (expected 51.2; last 53.4). March Overall Wage Income 2.7% yr/yr (expected 3.2%; last 3.4%) and Overtime Pay 1.9% yr/yr (last 3.4%)
  • South Korea's March Current Account surplus $37.33 bln (last surplus of $23.19 bln)

---Equity Markets---

• Japan's Nikkei: -0.2% 
• Hong Kong's Hang Seng: -0.9% 
• China's Shanghai Composite: UNCH 
• India's Sensex: -0.7% 
• South Korea's Kospi: +0.1% 
• Australia's ASX All Ordinaries: -1.4%

Major European indices are on track for a mostly lower finish to the week. Maersk CEO said that he has not observed any demand destruction due to the conflict with Iran with volumes returning to levels from the start of the year. President Trump gave the EU a July 4 deadline to fulfill the trade agreement or face higher tariffs. Local elections in the U.K. resulted in a trouncing for the ruling Labour party and big losses for Conservative opposition while Reform had the best showing. Prime Minister Starmer said today that he will not resign despite the public's sharp turn against his party but calls for his departure are growing louder. Secretary of State Rubio is meeting with Italy's Prime Minister Meloni today.

• In economic data:
  • Germany's March trade surplus EUR14.3 bln (expected surplus of EUR17.8 bln; last surplus of EUR19.5 bln). March Imports 5.1% m/m (expected 0.8%; last 4.9%) and Exports 0.5% m/m (expected -1.7%; last 3.6%). March Industrial Production -0.7% m/m (expected 0.4%; last -0.5%); -3.0% yr/yr (last -0.3%)
  • Spain's March Industrial Production 1.8% yr/yr (last -0.9%)
  • Swiss Q2 SECO Consumer Climate -40 (expected -46; last -30)

---Equity Markets---

• STOXX Europe 600: -0.5% 
• Germany's DAX: -0.9% 
• U.K.'s FTSE 100: -0.1% 
• France's CAC 40: -0.8% 
• Italy's FTSE MIB: -0.1% 
• Spain's IBEX 35: -0.5% 

The S&P 500 futures currently trade 46 points above fair value.

Just released, April nonfarm payrolls increased by 115,000 (Briefing.com consensus 67,000) from the revised March level of 185,000 (from 178,000).

April private sector payrolls increased by 123,000 (Briefing.com consensus 60,000) from the revised March level of 190,000 (from 186,000).

The April unemployment rate was 4.3% (Briefing.com consensus 4.3%) unchanged from March.

April average hourly earnings were up 0.2% (Briefing.com consensus 0.3%) versus a 0.2% increase in March.

The average workweek in April was 34.3 hours (Briefing.com consensus 34.2) versus 34.2 hours in March.

Equity futures point to a higher opening this morning as the market attempts to look past the latest ramp in geopolitical hostilities.

The S&P 500 and Nasdaq Composite notched record highs yesterday morning amid strength in software and select mega-cap names, but the major averages finished lower following an intraday bounce in oil prices. The U.S. and Iran exchanged fire yesterday in the Strait of Hormuz, but President Trump told reporters that it did not constitute a breach of the current ceasefire, according to The New York Times.

Oil is slightly higher this morning, hovering around the $95 per barrel mark.

Elsewhere, the market has another batch of earnings reports to wrap up a busy week on the earnings front that acted as a major catalyst for the recent push to record highs.

The market also has an important data release on the calendar this morning in the form of the April Employment Situation Report. The report is always closely watched for its potential rate-cut implications, though the surge in energy prices due to the war in Iran has pushed out the market's rate cut expectations significantly.

In corporate news:

• The White House is distancing itself from increased artificial intelligence regulation, according to Politico.
• Airbnb (ABNB 140.74, +0.28, +0.2%) missed EPS expectations by $0.04, beat revenue expectations, and guided Q2 revenues above consensus.
• Akami Technologies (AKAM 143.00, +26.31, +22.5%) beat EPS expectations and reported revenues in-line. The company said that a leading frontier model provider has committed to $1.8 billion over seven years for CIS.

Equity indices in the Asia-Pacific region ended the week on a mostly lower note with Japan's Nikkei (-0.2%) tagging a fresh record while South Korea's Kospi (+0.1%) also extended its push into record territory, recording a slim gain. Japan's Nikkei: -0.2%, Hong Kong's Hang Seng: -0.9%, China's Shanghai Composite: UNCH, India's Sensex: -0.7%, South Korea's Kospi: +0.1%, Australia's ASX All Ordinaries: -1.4%.

In news:

• Kospi saw its biggest single-day foreign outflow of nearly $5 bln yesterday.
• Malaysia's central bank left its policy rate at 2.75%, as expected, while Indonesia's central bank warned about a big intervention to support the rupiah.

In economic data:

• Japan's April Services PMI 51.0 (expected 51.2; last 53.4). March Overall Wage Income 2.7% yr/yr (expected 3.2%; last 3.4%) and Overtime Pay 1.9% yr/yr (last 3.4%)
• South Korea's March Current Account surplus $37.33 bln (last surplus of $23.19 bln)

Major European indices are on track for a mostly lower finish to the week. STOXX Europe 600: -0.5%, Germany's DAX: -0.9%, U.K.'s FTSE 100: -0.2%, France's CAC 40: -0.8%, Italy's FTSE MIB: +0.1%, Spain's IBEX 35: -0.4%.

In news:

• Maersk CEO said that he has not observed any demand destruction due to the conflict with Iran with volumes returning to levels from the start of the year.
• President Trump gave the EU a July 4 deadline to fulfill the trade agreement or face higher tariffs.
• Local elections in the U.K. resulted in a trouncing for the ruling Labour party and big losses for Conservative opposition while Reform had the best showing.
• Prime Minister Starmer said today that he will not resign despite the public's sharp turn against his party but calls for his departure are growing louder.
• Secretary of State Rubio is meeting with Italy's Prime Minister Meloni today.

In economic data:

• Germany's March trade surplus EUR14.3 bln (expected surplus of EUR17.8 bln; last surplus of EUR19.5 bln). March Imports 5.1% m/m (expected 0.8%; last 4.9%) and Exports 0.5% m/m (expected -1.7%; last 3.6%). March Industrial Production -0.7% m/m (expected 0.4%; last -0.5%); -3.0% yr/yr (last -0.3%)
• Spain's March Industrial Production 1.8% yr/yr (last -0.9%)
• Swiss Q2 SECO Consumer Climate -40 (expected -46; last -30)

[BRIEFING.COM] The stock market pulled back from this morning's record-highs as oil prices bounced off their earlier lows, with broad weakness sending the S&P 500 (-0.4%), Nasdaq Composite (-0.1%), and DJIA (-0.6%) lower.

The S&P 500 and Nasdaq Composite did manage to capture fresh all-time highs, as a strong showing from software stocks and resilience across mega-cap names initially pushed the indices higher despite relative weakness in the broader market.

The information technology sector (+0.1%) managed a slightly higher finish, but gave up most of its gain that exceeded 1.0% earlier in the session. Software stocks still posted impressive gains, buoyed by several monster rallies across the latest batch of names to report earnings.

Datadog (DDOG 188.73, +45.02, +31.33%) and Fortinet (FTNT 107.97, +18.02, +20.03%) were the best-performing S&P 500 components, contributing to the iShares GS Software ETF's (+3.6%) solid gain. Meanwhile, semiconductor stocks faced some profit-taking after yesterday's rally, sending the PHLX Semiconductor Index 2.7% lower.

NVIDIA (NVDA 211.38, +3.55, +1.71%), however, managed a higher finish, which, in conjunction with Microsoft's (MSFT 420.92, +6.96, +1.68%) gain, helped the sector avoid a loss for the day.

Relative strength across other "magnificent seven" names kept the communication services sector (+0.1%) in positive territory and kept losses modest in the consumer discretionary sector (-0.2%). However, those sectors gave up most of their earlier gains following the intraday bounce in oil prices.

Crude oil traded firmly lower for much of the morning amid lingering optimism that the U.S. and Iran could soon strike a peace deal. Oil bounced off its early lows just before midday, further pressuring the broader market and eroding gains across the technology sector. Crude oil futures ultimately settled today's session $0.33 lower (-0.4%) at $94.89 per barrel.

The U.S. is still awaiting Iran's response to an updated peace proposal, though a senior Iranian official said Iran will not allow the U.S. to reopen the Strait of Hormuz with "an unrealistic plan", according to The Wall Street Journal.

Even with the intraday bounce in oil prices, the energy sector (-1.8%) finished as one of the worst-performing S&P 500 sectors.

The materials (-1.8%) and industrials (-1.6%) sectors posted similar losses. Profit-taking in Caterpillar (CAT 895.26, -31.38, -3.39%) and weakness across electrical product names weighed on industrials, while DuPont (DD 48.37, -1.70, -3.40%), Intl Flavors (IFF 78.26, -4.67, -5.63%), and other recent post-earnings winners pressured materials.

Meanwhile, the latest batch of earnings reports outside of the software space lacked the broader market impact seen earlier this week. McDonald's (MCD 283.66, -0.44, -0.15%), Arm Holdings plc (ARM 213.33, -23.97, -10.10%), and DoorDash (DASH 171.35, +3.38, +2.01%) were among the more notable names to report, though their results did little to alter the overall tone of the session.

Outside of the S&P 500, the Russell 2000 (-1.6%) and S&P Mid Cap 400 (-1.2%) finished with notably steeper losses than the major averages, reflecting the softer tone across the broader market.

Despite today's pullback, the losses remained relatively modest in the context of the market's recent run to record highs. Software stocks provided a notable area of strength following another solid round of earnings reports, though the intraday rebound in oil prices and profit-taking across cyclical areas of the market weighed on broader participation throughout the afternoon.

U.S. Treasuries tried to extend their midweek rally, but some early resistance invited an intraday pullback from two days of gains. The 2-year note yield settled up five basis points to 3.92%, and the 10-year note yield settled up four basis points to 4.39%.

• Russell 2000: +14.4% YTD
• S&P Mid Cap 400: +11.4% YTD
• Nasdaq Composite: +11.0% YTD
• S&P 500: +7.2% YTD
• DJIA: +3.2% YTD

Reviewing today's data:

• Q1 Productivity-Prel 0.8% (Briefing.com consensus 1.8%); Prior was revised to 1.6% from 1.8%, Q1 Unit Labor Costs-Prel 2.3% (Briefing.com consensus 2.7%); Prior was revised to 4.6% from 4.4%
  • The key takeaway from the report is that, while productivity undershot expectations, unit labor costs decelerated in a move that should placate inflation hawks at the Fed. That won't change the prevailing belief that the Fed isn't going to be cutting rates soon, but it will temper some of the budding fears about entertaining the idea of a rate hike.
• Weekly Initial Claims 200K (Briefing.com consensus 205K); Prior was revised to 190K from 189K, Weekly Continuing Claims 1.766 mln; Prior was revised to 1.776 mln from 1.785 mln
  • The key takeaway from the report is its quiet disposition in the sense that it isn't showing wide swings in either initial claims or continuing claims, which suggests some welcome steadiness in the labor market.
• February Construction Spending -0.2% (Briefing.com consensus 0.2%); Prior was revised to -1.9% from -0.3%, March Construction Spending 0.6% (Briefing.com consensus 0.4%); Prior 0.2%
  • The key takeaway from the report is that the strength in March was concentrated in the residential sector and particularly in new single-family construction.
• Consumer credit increased by $24.9 billion in March (Briefing.com consensus: $12.5 billion), the largest increase in a year, following a downwardly revised $8.9 billion increase (from $9.5 billion) in February.
  
  • The key takeaway from the report is the recognition that consumer credit saw its largest expansion in a year, driven by both revolving and nonrevolving credit. The former will stir some concerns about consumers perhaps needing to use credit more in the face of higher energy prices to pay for basic needs.