4:20pm: New highs
Wall Street closed higher on Thursday, with the S&P 500 and Nasdaq Composite climbing to fresh record highs as investors weighed a reported US-Iran ceasefire extension alongside another wave of upbeat corporate earnings.
The Nasdaq led the major indexes higher, rising 248 points, or 0.9%, to 26,917, while the S&P 500 gained 44 points, or 0.6%, to finish at 7,564. The Dow was little changed, edging up just 0.05% to close at 50,669.
Markets navigated a volatile geopolitical backdrop, with US forces striking an Iranian military site and intercepting drones, while Iran's Revolutionary Guard reported targeting a US airbase. Sentiment held firm, however, as Washington and Tehran agreed to a 60-day memorandum to extend the ceasefire and gradually restore energy exports from the Persian Gulf. Oil prices rose on the day, with WTI crude climbing above $91 a barrel and Brent approaching $97, as traders weighed the continued military activity against hopes for a longer-term diplomatic resolution.
Technology and software stocks helped power the rally.
Snowflake surged more than 35% after the cloud data company posted stronger-than-expected earnings and announced a five-year, $6 billion spending commitment to Amazon Web Services. Dell Technologies also advanced more than 4% after its government-focused unit, Dell Federal Systems, secured a $9.7 billion Pentagon contract to consolidate Microsoft software licenses across the US military.
Investors also looked ahead to another batch of corporate earnings due after the closing bell, including results from Costco, Dell, Gap and MongoDB.
3:45pm: Proactive news headlines
- MYR Group Inc. (NASDAQ:MYRG) is acquiring Valley Holdings Inc. and its subsidiaries for about $328 million to expand its electric utility infrastructure and commercial construction operations in the Western US and Southern California.
- Apogee Enterprises (NASDAQ:APOG) has secured up to $1.3 billion in structured non-dilutive financing from Blackstone Life Sciences, combining royalty and debt funding to support late-stage development and potential commercialization of its lead immunology drug candidate, zumilokibart.
- AtaiBeckley Inc. (NASDAQ:ATAI, XETRA:9VC) has launched a Patient Impact Grant Program to fund nonprofit organizations working to improve mental health through community initiatives, education, and research.
- Medicus Pharma (NASDAQ:MDCX) has entered a structured financing agreement for up to $22 million to extend its cash runway and support ongoing clinical development programs, boosting projected liquidity to more than 24 months.
- Giyani Metals Corp (TSX-V:EMM, OTC:CATPF, FRA:KT9) has released a feasibility study for its K.Hill manganese project in Botswana, outlining strong economics with a post-tax NPV of $481.5 million and a 20.3% IRR for the planned open-pit mine and processing facility.
- Immunic Inc (NASDAQ:IMUX, FRA:10VA) presented new multiple sclerosis data at a medical conference, including a novel endpoint for measuring both disability worsening and improvement for its lead drug vidofludimus calcium.
- Montero Mining and Exploration Ltd (TSX-V:MON, OTC:MXTRF) has begun a 2,025-metre drilling program at its Elvira Gold Project in Chile to test high-priority epithermal and porphyry copper-gold targets.
- American Resources Corp (NASDAQ:AREC) has acquired its first lithium-ion battery shredding line through its Electrified Materials subsidiary to expand its battery recycling and feedstock processing capabilities.
- Nextech3D.AI (CSE:NTAR, OTCQX:NEXCF, FRA:1SS) has appointed industry veteran Jesse Carrillo as vice president of sales to lead its global commercial expansion in the event technology sector.
- Bit Digital Inc (NASDAQ:BTBT) has originated a $100 million expandable term loan facility for WhiteFiber to support AI infrastructure growth, where Bit Digital holds a majority stake.
- Gunnison Copper Corp (TSX:GCU, OTCQB:GCUMF, FRA:3XS0) has launched a C$30 million bought-deal financing to advance its Gunnison copper project in Arizona and fund general corporate purposes.
2.45pm: Market movers
- Dell Technologies Inc (NASDAQ:DELL) shares rose about 7% on Wednesday after the US Department of Defense announced a five-year, approximately $9.7 billion enterprise software agreement involving Dell Federal Systems to provide and manage Microsoft-related software and cloud services for the US military and affiliated agencies.
- Kohl's Corporation (NYSE:KSS) reported first quarter 2026 results that showed a smaller-than-expected loss and better-than-anticipated revenue and sales trends, sending its shares up about 17% on Thursday.
- Best Buy Co Inc (NYSE:BBY) shares jumped 17% after the retailer’s first quarter earnings topped Wall Street expectations and the company reaffirmed its full-year outlook.
- Dollar Tree, Inc. (NASDAQ:DLTR) shares jumped almost 18% on Thursday morning after the discount retailer reported stronger-than-expected earnings and upwardly revised its full-year profit guidance.
- HP Inc (NYSE:HPQ) shares were trading 2% lower on Thursday after the personal computing and printing giant reported second-quarter results that topped Wall Street estimates but trimmed its full-year profit outlook, with rising memory costs and slowing unit demand clouding the near-term picture.
- Synopsys Inc (NASDAQ:SNPS, XETRA:SYP) reported fiscal second quarter results above Wall Street expectations, with adjusted earnings and revenue both exceeding forecasts and the company lifting its full-year guidance.
1:10pm: Ceasefire talk lifts markets
Axel Rudolph, Chief Technical Analyst at investing and trading platform IG, said markets reacted positively to reports that the US and Iran had reached a preliminary agreement to extend the ceasefire and restart nuclear talks, although sentiment remained cautious as investors awaited final approval from President Trump.
“Reports that the US and Iran have agreed on a 60-day framework to extend the ceasefire and restart talks over Tehran’s nuclear programme have provided markets with cautious optimism - propelling several US stock indices to fresh records - although the proposed agreement still requires final approval from President Trump before it can formally proceed," Rudolph noted.
"Crude fluctuated between gains and losses as investors awaited the outcome of possible de-escalation in the Middle East. The same was the case for precious metals and the greenback which rose towards its current May peak before changing tack in the afternoon."
11:55am: Balancing act
Gina Bolvin, President of Bolvin Wealth Management Group, said today’s economic data underscores a “tougher balancing act” for policymakers and markets.
"Markets are reacting to that tension. The economy is still expanding, but hotter inflation limits the Fed’s flexibility and pushes rate cuts further out," Bolvin commented.
"This is a more difficult environment for investors because the growth story is cooling just as inflation is heating back up.
"Despite the downward revision to Q1 growth, we expect business spending (mostly AI spending) will keep contributing to growth in the near term. And productivity related to AI will help curb inflation."
10:55am: Inflation cools, growth slows
Fresh economic data released Thursday painted a mixed picture of the US economy, with inflation showing signs of cooling while growth and consumer income came in softer than expected.
The Federal Reserve’s preferred inflation gauge, the Personal Consumption Expenditures (PCE) index, rose 0.4% month-over-month in April, slightly below expectations for a 0.5% increase, while annual PCE inflation matched forecasts at 3.8%.
Core PCE, which strips out food and energy prices, increased 0.2% on the month versus expectations for 0.3%, while the yearly reading held steady at 3.3%, in line with estimates. The softer monthly core reading could offer some relief to investors hoping inflation pressures continue to ease.
At the same time, the broader economy showed signs of slowing momentum. Preliminary first-quarter US GDP growth came in at 1.6%, missing expectations for 2.0%.
The labor market also softened slightly, with initial jobless claims rising to 215,000 compared with expectations for 211,000.
Meanwhile, personal income was flat in April, missing forecasts for a 0.4% increase, suggesting consumers may be feeling the strain from higher prices and borrowing costs. Consumer spending, however, rose 0.5%, matching expectations and indicating households are still spending despite tighter financial conditions.
10am: Dow leads early fall, Dollar Tree and Best Buy biggest S&P risers
Early Wall Street trading sees the major indexes slip into the red, as predicted.
The Dow Jones was down the most, but only falling 0.2%, while the S&P 500 and Nasdaq both fell less than 0.1%.
Post-In notes maker 3M and earthmover manufacturer Caterpillar are the Dow's biggest early fallers, while there are just 11 names in green, led by IBM, Microsoft and Chevron.
Biggest risers on the S&P are Dollar Tree and Best Buy, after both published better-than-expected earnings.
Dollar Tree also unveiled a partnership with DoorDash.
9.20am: Inflation shift
April PCE price inflation was up 0.4% on the month, less than the 0.5% expected. Year-on-year, PCE inflation was up 3.8%, in line with the average forecast.
Core PCE inflation, the Federal Reserve's preferred inflation gauge in recent years, was up 0.2% on the month, down from 0.3% in March, but in line with consensus estimates.
The core PCE annual rate was up to 3.3% from 3.2% in March, also in line with expectations.
8am: Nasdaq tipped to lead small reverse
Wall Street stocks are expected to go into reverse on Thursday as optimism about the ceasefire in the Gulf and a potential US-Iran peace deal became increasingly strained.
Futures for the tech-laden Nasdaq were tipped to lead the decline, down 0.5%, while S&P 500 and Dow Jones futures were down both down around 0.2%.
The previous session saw the Dow gain the most, rising 183 points or 0.4% to finish at 50,644, while the Nasdaq Composite inched up 19 points, or 0.1% to 26,675, with the S&P ending just over one point above the flatline at a tad over 7,520.
"The narrative has shifted for financial markets in the last 12 hours," said market analyst Kathleen Brooks at XTB, after US carried out strikes against Iran and Tehran launched an attack on a US airbase in Kuwait.
"These events have led to fears that the ceasefire is in jeopardy, and have dashed hopes for an imminent peace deal that reopens the Strait of Hormuz."
Oil prices are 3% higher, with WTI topping $91 and Brent above $97 a barrel.
US Treasury yields ramped up this morning, then eased, but have now started to climb again, with the 10-year note topping 4.5%.
Today’s key US earnings updates include Costco, Dell, Autodesk, Dollar Tree, Best Buy and Li Auto.
"Arguably the most significant release is the latest inflation update, core PEC," said David Morrison at Trade Nation.
"This has been trending higher since November last year and is expected to come in at 3.3% year-on-year, up from 3.2% in March. This used to be known as ‘the Fed’s preferred inflation measure’.
"But new Chair Kevin Warsh is understood to focus on a ‘trimmed mean’ version of CPI. Either way, investors have been pricing in the probability of rate hikes before year-end.
"So, today’s update could influence those expectations one way or another."