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The S&P 500 and Nasdaq hit record highs on Thursday. This happened because investors were hopeful about new trade deals and also because Google’s parent company, Alphabet, reported strong earnings.
Around midday, the Dow Jones was down by 213 points. But the S&P 500 and Nasdaq were both slightly up by 0.2%.
Alphabet had a great quarter. The company made more money than expected and said more people are using its cloud services. It also plans to spend more in 2025 and 2026 to grow its business even further.
About 25% of companies in the S&P 500 have reported their results so far. Most of them are doing well, with many beating sales and profit expectations.
But not all companies had a good day. Tesla’s stock dropped after Elon Musk said the company could have a few tough months ahead. IBM and Dow Inc. also saw their shares fall due to weak earnings. Chipotle’s stock went down too because of slow customer spending.
Meanwhile, American Eagle’s stock jumped. The company launched a new denim campaign with actress Sydney Sweeney to connect with younger shoppers.
There was also positive news about trade. Reports said the U.S. and European Union are getting closer to a deal, which made investors feel more confident.
Lastly, the job market stayed strong. Fewer people filed for unemployment last week, which shows the economy is still holding steady.
Overall, Google’s success and trade deal hopes gave the market a nice boost, even though some companies struggled.