Stocks Rumble as AI Stocks Stay Hot

The NASDAQ Composite closed Friday at a fresh record high as gains in chipmaker Nvidia outweighed worries that the Federal Reserve will delay interest rate cuts.

The Dow Jones Industrials finished above water 4.33 points to end the week at 39,069.59.

The S&P 500 regained 36.88 points to 5,304.72.

The NASDAQ vaulted 184.76 points, or 1.1%, to 16,920.79.

Week to date, the S&P 500 inched up just 0.03%. The tech-heavy NASDAQ outperformed, with a gain of 1.41%. Meanwhile, the Dow shed 2.33%, marking its first negative week in five.

Nvidia shares climbed around 2.6% Friday as enthusiasm continued over its blockbuster earnings report, pushing the shares above $1,000 for the first time. The bullish sentiment on the AI giant and other tech names powered the market higher, even as concerns the Fed will not lower rates this summer lingered.

Several tech names were higher on Friday. Advanced Micro Devices hiked 3.7%, and Intel rose 2.1%. Meta took on 2.7% and Netflix shares rallied 1.7% each.

Demand for durable goods was much higher than expected in April, the Commerce Department reported Friday. Orders for long-lasting items such as appliances, cars and airplanes rose 0.7% for the month, slightly below the 0.8% increase in March but far better than the

Dow Jones consensus estimate for a 1% decline. Excluding transportation items, orders still accelerated 0.4%. However, new orders were flat, excluding defense.

Prices for the 10-year Treasury were up slightly, lowering yields to 4.47% from Thursday’s 4.48%. Treasury prices and yields move in opposite directions.

Oil prices advanced 85 cents to $77.72 U.S. a barrel.

Gold prices slid $2.50 to $2,334.70.