Market Rollercoaster: U.S. Stocks See Gains Amid Trade Uncertainty

U.S. stocks rallied on Friday following remarks by Federal Reserve Chair Jerome Powell, despite trade policy uncertainties causing Wall Street's biggest weekly decline in months. The S&P 500, Dow, and Nasdaq all closed higher, rebounding after Powell reassured that the economy is 'in a good place'.

U.S. stocks ended higher on Friday, overcoming earlier losses after Federal Reserve Chair Jerome Powell announced that the economy is 'in a good place'. Despite these gains, uncertainty over U.S. trade policy resulted in Wall Street experiencing its steepest weekly decline in several months.

This volatility has been largely attributed to the unpredictable trade decisions by President Donald Trump, especially concerning tariffs on imports from Canada, Mexico, and China. The S&P 500 marked its most significant weekly loss since September, with the Nasdaq facing the longest losing streak since last year.

Powell emphasized a cautious approach to monetary policy, suggesting that while current adjustments could strengthen the economy, the rapidly changing environment makes future forecasts challenging. Markets saw a rebound following these comments, although the overall weekly performance remained weak, with major indexes like the Dow Jones and Nasdaq posting substantial declines.

(With inputs from agencies.)