The S&P 500 surged on Friday, posting its longest winning streak since 2004. The rally was driven by signs of easing trade tensions between the US and China and strong economic data. The Dow Jones Industrial Average closed higher by 564 points, or 1.39%.
Wall Street digests April’s Jobs Report and the latest tech earnings after booking an eight-session winning streak. @KristenScholer has more in the Market Update. pic.twitter.com/fPNXHH4A9v
— NYSE 🏛 (@NYSE) May 2, 2025
The S&P 500 rose 1.47%, while the Nasdaq Composite gained 1.51%. The S&P 500 recorded its first nine-day winning streak since November 2004. A Labor Department report showed the economy added 177,000 jobs in April, surpassing expectations of around 135,000.
#NewsFatafat | Wall Street ends the week strong! S&P 500 marks longest winning streak in 20 years, fueled by upbeat April payrolls report. 📈🇺🇸 #StockMarket #SP500 #WallStreet #JobsReport pic.twitter.com/qWpPh3419C
— ET NOW (@ETNOWlive) May 3, 2025
“This is Biden’s stock market, not Trump’s”- Wall Street Starts May Strong Despite Economic Concerns, Trump Blames Biden for Market Woes#Trump #USEconomy #WallStreet
🖋️ @AsmiParekh https://t.co/vMwssLmIVr— ET NOW (@ETNOWlive) May 2, 2025
Chris Zaccarelli, chief investment officer at Northlight Asset Management, said, “Markets breathed a sigh of relief this morning as the jobs data came in better than expected.”
President Donald Trump’s softer stance on the US-China trade war and hints from the White House about potential trade deals with other nations also encouraged investors. China’s Commerce Ministry signaled on Friday that it is considering US proposals to begin trade talks.
S&P 500 extends winning streak
David Russell, global head of market strategy at TradeStation, noted, “US employment remains strong despite tariff uncertainty. These numbers show leaders have breathing room to avoid a recession if they’re able to resolve trade issues sooner rather than later.”
However, investors remain focused on future trade negotiations and other key economic indicators to gauge the full impact of tariffs. David Doyle, head of economics at Macquarie, commented, “The labor market remained on solid footing through mid-April, although this timing likely precedes any forthcoming impacts from trade policy uncertainty.”
Matt Stucky, chief portfolio manager for equities at Northwestern Mutual Wealth Management, warned that investor sentiment could fluctuate in the coming weeks.
“Investors are less concerned than they were a couple of weeks ago. But that doesn’t mean it can’t go back to pessimism,” Stucky said. Tech stocks also contributed to the market’s rally.
Strong earnings from major tech firms like Meta and Microsoft reassured investors about the sector’s resilience and focus on artificial intelligence. However, Apple CEO Tim Cook cautioned that tariffs could cost the company $900 million in the current quarter, resulting in a drop in Apple shares on Friday. If the S&P 500 manages to close higher again on Monday, it will mark the first ten-day winning streak since the 1990s, according to Howard Silverblatt, senior index analyst at S&P Dow Jones Indices.
