S&P 500 nears record high as traders take in strong earnings results

• US stocks rose on Wednesday as traders took in strong earnings reports.
• Netflix, United Airlines, and P&G shares climbed higher after beating earnings estimates.
• Oracle stock rose after Trump announced a $500 billion deal involving the software giant on Tuesday.

US stocks climbed higher on Wednesday as traders took in strong earnings reports, fueling the S&P 500 to rise close to record highs.

Major stock averages traded higher and Treasury yields were slightly lower, with the yield on the 10-year government bond hovering around 4.578%.

Companies continued to report strong results for the last quarter, adding more fuel to the market rally in Trump’s first week in office.

The main event for traders was Netflix, which saw shares pop as much as 15% after the streaming giant beat earnings, leading a rally in the tech sector. The company added a record number of subscribers in the quarter, with the total number breaking above 300 million.

United Airlines also climbed about 3% after the airline issued a better-than-expected outlook for 2025, while Procter & Gamble rose 3% after beating estimates.

Here’s where US indexes stood shortly after the 9:30 a.m. opening bell on Wednesday:

Earnings season is off to a strong start. Of the companies that have reported their results for the fourth quarter so far, 79% have beat estimates, above the 10-year average of 75%, according to data from FactSet.

Traders also continued to show optimism for growth and dealmaking in Trump’s second term. Oracle shares jumped in early Wednesday trades, gaining 10% after Trump announced a $500 billion deal with the software giant, OpenAI, and SoftBank to build AI infrastructure on Tuesday.

Bond yields have ticked lower in recent days as markets adjust to softer-than-expected tariff plans in Trump’s first days in office. Inflation fears — and fears of higher rates from the Federal Reserve in response — have ebbed slightly as Trump declined to issue new tariffs via executive order and said he was considering February 1 as the date for tariffs on Canada, Mexico, and China.

“The stock market’s ‘January effect’ is taking shape so far, with stocks performing strongly throughout the month, and the S&P 500 now firmly above the key 6,000 mark,” John Creekmur, the chief investment officer of Creekmur Wealth Advisors, said in a note.

“Investors are now more focused on earnings and hopes for tax cuts and deregulation from the new Trump administration, and less so about worries of fewer Federal Reserve rate cuts this year.”

Here’s what else happened today:

In commodities, bonds, and crypto:

• West Texas Intermediate crude oil ticked lower 0.33% to $75.58 a barrel. Brent crude, the international benchmark, was also lower by 0.33% to trade at $79.03 a barrel.
• Gold inched up 0.39% to $2,754 an ounce.
• The 10-year Treasury yield held steady at 4.578%.
• Bitcoin dipped 0.45% to $104,275.