Nasdaq gains as Microsoft, Meta earnings soothe Wall Street jitters

U.S. stocks climbed on Thursday, led by the Nasdaq, as upbeat earnings from Microsoft and Meta reassured investors who were wary of the economic impact of President Trump’s escalating trade war with China. The Nasdaq Composite index closed near session lows but was still up 1.52% on the day, bolstered by a 7.6% gain in Microsoft shares and a 4.2% rise in Meta. Both companies posted stronger-than-expected quarterly profits late Wednesday, alleviating concerns that tariffs and global uncertainty could drag down Big Tech’s AI, cloud, and ad revenues. The S&P 500 also gave up a lot of gains but still edged higher by 0.63% 1.1%, while the Dow Jones Industrial Average added 0.21%, notching its longest winning streak of the year. Markets broadly reacted positively despite signs of slowing growth. Weekly jobless claims rose to a two-month high, and U.S. GDP contracted in Q1, increasing expectations for a weaker labor market ahead of Friday’s jobs report. You might also like: MOVE drops 20% as Coinbase announces trading suspension on May 15 Market looks to Apple and Amazon Investors are now watching for earnings from Apple and Amazon, which report after the close. Both companies face headwinds from the White House’s trade policies. Amazon recently assured it wouldn’t pass on tariff costs to consumers, while Apple is pushing to move iPhone production away from China. Meanwhile, McDonald’s cited weaker consumer demand and tariff-related pressure in its Q1 miss, with U.S. sales slipping and shares falling 2%. On the geopolitical front, Beijing has indicated that Washington may be seeking to restart trade talks, although the Trump administration insists that China must act first. A fresh round of trade deals could be imminent, according to White House sources. You might also like: Enso Partners with Stargate and LayerZero: $3.5b in liquidity set to flow to Unichain