US stocks gain ground, adding to their records, as Dell soars

US stock markets rose in afternoon trading on Friday, building on all-time highs set the previous day. The S&P 500 climbed 0.2%, extending a six-day winning streak and heading toward its ninth consecutive profitable week—the longest since 2023. The Dow Jones Industrial Average gained 325 points (0.6%), while the Nasdaq composite rose 0.2%, with all major indices on track for May record closes. Technology stocks drove gains, with Dell Technologies surging 31.4% after reporting earnings far above expectations and raising its outlook due to strong AI computing demand. Microsoft and Broadcom also rose 3.6% and 2.4%, respectively, as tech shares within the S&P 500 climbed over 15% in May—outpacing most other sectors. Wall Street’s rally faced mixed pressures, including easing oil prices after reports that the US and Iran were nearing a ceasefire deal. Brent crude fell 1.7% to $91.12 per barrel, though it remained well above pre-war levels, while US benchmark crude dropped 1.7% to $87.36. High oil costs, driven by disrupted shipments through the Strait of Hormuz, continue to stoke inflation fears, though Treasury yields held steady at 4.45%. Inflation concerns persist despite strong corporate earnings. S&P 500 companies reported a 28% profit growth in the latest quarter, but rising prices—including gasoline and goods—have squeezed consumers, with April inflation hitting a three-year high. The Federal Reserve is expected to keep interest rates steady through 2024, though investors may soon refocus on consumer spending and monetary policy shifts. Analysts noted the rally’s tech-driven nature, questioning its sustainability amid broader economic uncertainties. Edward Jones strategist Angelo Kourkafas highlighted resilient earnings as a key support, but inflation and Fed policy remain critical watchpoints for market stability.