Wall Street Surges Amid Positive Trade Talks and Tech Strength

Most stock indexes climbed on Wall Street, driven by gains in technology shares, as investors tracked U.S.-China trade talk developments. Alphabet's shares rose after exceeding profit expectations. President Trump's tariff negotiations with China spurred market optimism despite conflicting signals and looming global trade concerns.

Most stock indexes climbed on Friday, with Wall Street experiencing a boost due to gains in technology-related shares. This coincided with the dollar marking its first weekly rise in over a month, as investors searched for indications that the U.S.-China trade war might be easing.

Alphabet, Google's parent company, saw its shares rise by 1.7% after surpassing profit expectations and reaffirming its AI spending targets. Consequently, the S&P 500's technology, consumer discretionary, and communication services sectors each saw growth exceeding 1%.

Meanwhile, investors closely monitored corporate earnings calls, especially for any lowered or withdrawn projections, amidst the uncertainty surrounding U.S. President Donald Trump's tariff strategy. In a Time magazine interview, Trump mentioned ongoing tariff negotiations with China, which Beijing denied, reflecting the ongoing mixed messages about de-escalation efforts in the global trade standoff.

The three major U.S. stock indexes reported significant gains over the week, with European shares also achieving a consecutive weekly increase. However, the upcoming wave of corporate earnings reports from companies like Apple and Microsoft could test this rebound in stock performance.

Despite Trump's tariff talks, Japan's Nikkei index rose 1.8% on Friday, erasing its losses incurred since the announcement of the highest U.S. tariffs in a century. The dollar also experienced slight recovery against the euro and yen, further adding to the modest market optimism.

Gold prices, which have been on the rise this year as safe-haven assets, decreased on Friday, and U.S. Treasury yields declined as hopes for an easing in the trade war grew. Meanwhile, oil prices edged higher but marked a weekly decline, potentially reflecting the ongoing uncertainty in global markets.

(With inputs from agencies.)