US equities hovered near record highs on Friday as investors weighed the durability of the AI-driven rally and evaluated Middle East oil supply risks and their implications for inflation. The S&P 500, Dow, and Nasdaq 100 all edged higher, extending their recent record-setting run.
Media reports on Thursday suggested that the US and Iran had agreed in principle to a 60-day memorandum aimed at prolonging the current ceasefire and beginning to restore vessel traffic through the Strait of Hormuz, though President Trump has not yet approved the agreement. Energy prices and bond yields declined, providing broad but modest support to equities. Financials and consumer defensive stocks posted cautious gains.
In technology, Microsoft advanced 3% and Oracle climbed more than 6%, with AI software names buoyed by news of a fresh funding round for Anthropic. Dell surged more than 30% after its AI server segment drove an upgrade to its forward guidance. The tech-heavy Nasdaq 100 was on track to end the month up 8%.
