Dow Jones Today: Stock Futures Rise as New Tariffs Take Effect; Major Indexes Once Again Near Record Highs
Stocks moved higher in early trading Thursday, putting fresh record highs in sight for major indexes, as investors brushed aside concerns about tariffs.
The Dow Jones Industrial Average (DJI) was up 0.4% in recent trading, while the S&P 500 (SPX) and the tech-heavy Nasdaq Composite (IXIC) rose 0.5% and 0.8%, respectively. Stocks are coming off a winning session on Wednesday, leaving the benchmark S&P 500 index less than 1% away from a record closing high and the tech-heavy Nasdaq Composite just a few points away from a record.
Stocks have rebounded in recent days after stumbling last week—the S&P 500 posted its biggest weekly decline since May—amid concerns about tariffs and the health of the U.S. economy. Those concerns have moderated this week, even as so-called “reciprocal” tariffs on dozens of countries went into effect overnight and President Donald Trump announced that he plans to impose a 100% tariff on chip imports.
Chip stocks were among the noteworthy gainers this morning as Trump said that companies that commit to manufacturing in the U.S. will be exempt from the import taxes. Nvidia (NVDA) and Broadcom (AVGO), the semiconductor companies with the largest market caps, were each up about 2%, while Advanced Micro Devices (AMD) added 4%. The VanEck Semiconductor ETF (SMH) advanced nearly 3%.
Intel (INTC) was bucking the chip sector rally, falling 2%, after Trump said in a Truth Social post this morning that CEO Lip-Bu Tan, who took the helm at the struggling chipmaker in March, is “highly conflicted and must resign, immediately.”
Mega-cap stocks were mixed this morning. Apple (AAPL) climbed nearly 3%, adding to yesterday’s 5% gain, after CEO Tim Cook and Trump announced that the iPhone maker would invest an additional $100 billion in U.S. manufacturing. Amazon (AMZN) also gained ground, while Microsoft (MSFT), Alphabet (GOOG), Meta Platforms (META) and Tesla (TSLA) ticked lower.
Shares of Eli Lilly (LLY) plunged 13% after disappointing results from a trial of its oral weight-loss drug overshadowed the pharmaceuticals giant’s better-than-expected earnings report and boosted outlook.
Crypto-related stocks moved higher as the price of bitcoin jumped to $116,600 this morning, up from an overnight low of $114,300. Major bitcoin buyer Strategy (MSTR) was up nearly 2%, while crypto exchange Coinbase Global (COIN) climbed more than 3%.
The U.S. dollar index, which measures the performance of the dollar against a basket of foreign currencies, was little changed at 98.20, trading at its lowest level in more than a week.
The yield on the 10-year Treasury, which affects borrowing costs on all sorts of loans, notably mortgages, was at 4.23%, unchanged from yesterday’s close. The yield fell as low as 4.18% this week, its lowest level in three months, as market expectations for interest rate cuts by the Federal Reserve increased following last Friday’s weak jobs report.
West Texas Intermediate futures, the U.S. crude oil benchmark, were holding steady at $64.35 per barrel, stabilizing after losing ground for five straight sessions. Gold futures rose 0.8% to $3,460 an ounce, extending a week-long rally that has pushed the price of the precious metal back near record-high levels.