The S&P 500 (^GSPC +0.26%) rose 0.26% to 7,041.28, the Nasdaq Composite (^IXIC +0.36%) gained 0.36% to 24,102.70, keeping both in record territory. The Dow Jones Industrial Average (^DJI +0.24%) added 0.24% to 48,578.72 as solid earnings and cautious hopes for an end to the U.S.-Iran conflict reassured investors.
Market movers
Charles Schwab (SCHW 7.63%) dropped after reporting mixed Q1 results and missing analyst revenue expectations. Robinhood Markets (HOOD 0.54%) slipped on news that Schwab would launch spot crypto trading, sparking competition worries.
Trading in major tech stocks was patchy today, with only Microsoft (MSFT +2.20%) making a notable move higher. Akamai Technologies (AKAM +7.12%) surged about 7%, erasing some of its losses from the past five days.
Netflix (NFLX +0.16%) sank more than 8% in after-hours trading on news that co-founder Reed Hastings would leave the firm in June. PepsiCo (PEP +2.25%) gained on strong Q1 earnings.
What this means for investors
Improved prospects of a negotiated resolution to the U.S.-Iran war, including a possible ceasefire extension, pushed the S&P 500 and Nasdaq to new highs. Plus, falling jobless claims suggest the labor market remains relatively stable. Today’s data from the Department of Labor shows weekly unemployment claims dropped by 11,000 to 207,000 last week.
That said, trading is still volatile, and traffic through the all-important Strait of Hormuz remains restricted. Oil prices remain elevated, and nervousness lingers about the repercussions of over six weeks of energy disruptions. Officials from the International Monetary Fund and World Bank warned this week that the economic damage from the conflict could be worse than many investors expect.
Charles Schwab is an advertising partner of Motley Fool Money. Emma Newbery has no position in any of the stocks mentioned. The Motley Fool has positions in and recommends Microsoft and Netflix. The Motley Fool recommends Akamai Technologies and Charles Schwab and recommends the following options: short June 2026 $97.50 calls on Charles Schwab. The Motley Fool has a disclosure policy.
