US stocks: S&P 500, Nasdaq hit fresh peaks as tech stocks, jobs data lift sentiment

Published Fri, May 8, 2026 · 10:51 PM

THE S&P 500 and the Nasdaq reached record highs on Friday, driven by gains in Nvidia and other technology stocks, while a stronger-than-expected jobs report eased concerns over the state of the labor market.

Tech heavyweights Nvidia and Apple rose more than 2 per cent each, while a broader index of chipmakers recovered from Thursday’s declines to touch a fresh peak on expectations of strong AI infrastructure demand.

Data showed US employment increased more than expected in April while the unemployment rate held steady at 4.3 per cent, pointing to labour market resilience and reinforcing expectations that the Federal Reserve would leave interest rates unchanged for some time.

“It confirms that we have a solid labour market that would offer some confidence to consumers so that they can continue their resilient spending patterns,” said Sam Stovall, chief investment strategist at CFRA Research.

Traders continued to bet the central bank will hold interest rates steady in the 3.5 per cent to 3.75 per cent range until the end of the year.

At 9.41 am the Dow Jones Industrial Average rose 106.64 points, or 0.22 per cent, to 49,703.61, the S&P 500 added 33.47 points, or 0.46 per cent, to 7,371.21, and the Nasdaq Composite gained 195.50 points, or 0.76 per cent, to 26,001.69.

The S&P 500 and the Nasdaq were on track for a sixth straight week of gains, the longest such winning streak since October 2024. The Dow was set for a second consecutive week of gains.

The overall optimism helped investors look past fresh attacks between US and Iranian forces in the Gulf.

Oil prices earlier touched US$100 a barrel, before easing slightly on fading hopes of a resolution to the Middle East conflict and a reopening of the Strait of Hormuz, a key transit route for oil and liquefied natural gas.

Iran’s semi-official Tasnim news agency reported that a foreign ministry spokesperson had said Tehran was still weighing its response to a US proposal.

Strong earnings

Despite concerns that oil prices were fueling inflation, the S&P 500 and the Nasdaq have hit record highs, helped by a strong earnings season, signs of a resilient economy and optimism around the outlook for technology and AI companies.

Of the 440 S&P 500 companies that have reported first-quarter results so far, 83 per cent have topped analysts’ earnings estimates, according to data compiled by LSEG. That compares with a long-term average of about 67 per cent.

However, there were some earnings disappointments on the day.

Cloudflare shares plunged 18.6 per cent after the cloud services company said it would cut about 20 per cent of its workforce and forecast second-quarter revenue slightly below Wall Street expectations.

Trade Desk fell 5.3 per cent after the ad-tech firm forecast second-quarter revenue below Wall Street estimates.

CoreWeave dropped 9 per cent after the cloud infrastructure technology company raised the lower end of its annual capital expenditure forecast, citing a rise in component costs.

Online travel platform Expedia slipped 8.7 per cent after it flagged the conflict in the Middle East was weighing on demand.

Advancing issues outnumbered decliners by a 1.41-to-1 ratio on the NYSE and by a 1.08-to-1 ratio on the Nasdaq.

The S&P 500 posted 13 new 52-week highs and six new lows, while the Nasdaq Composite recorded 59 new highs and 43 new lows. REUTERS