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

NEW YORK (AP) — Stocks rose in morning trading on Wall Street Friday, adding to the all-time highs they set a day earlier.

The S&P 500 rose 0.3% Friday. The index is coming off six gains in a row and is headed for a ninth straight winning week, which would be the longest such streak since 2023.

The Dow Jones Industrial Average rose 240 points, or 0.5%, as of 10:29 a.m. Eastern. The Nasdaq composite rose 0.2%.

Technology stocks lead the gains. Dell Technologies surged 31.3% after after delivering profits that blew past expectations. The company also raised its outlook, citing powerful demand for AI computing.

Microsoft and Broadcom both rose 3%,

Every major index is on track for records and to close out May with solid gains, despite worries about the U.S. war with Iran and its impact on inflation.

Markets in Europe and Asia mostly rose.

The U.S. and Iran are reportedly working toward a deal to extend a ceasefire. That eased pressure on oil prices. Brent crude, the international standard, fell 1.6% to $92.18 a barrel. It is still well above the $70 per barrel level in late February before the war began. Benchmark U.S. crude fell 0.9% to $88.09 per barrel.

Treasury yields held relatively steady as oil prices fell. The yield on the 10-year Treasury remained at 4.45% from late Thursday.

High oil prices remain a key concern for Wall Street. The war has stifled the flow of oil shipments through the Strait of Hormuz. Roughly a fifth of the world’s oil and natural gas is shipped through the waterway.

That has pushed gasoline prices and prices for a wide range of goods higher, feeding inflation and squeezing consumers and businesses.

Several reports this week reflected inflation’s rise and impact on consumers. A measure of inflation preferred by the Federal Reserve accelerated in April to its highest level in three years. Consumer confidence is slipping amid the squeeze from rising inflation.

Wall Street's worries about rising inflation have been somewhat muted by the latest round of corporate profit reports. Companies in the S&P 500 have reported profit growth of 28% overall for the most recent quarter, according to FactSet. The overwhelming majority of companies in the S&P 500 have already reported their latest results. That could mean investors' focus may shift back toward inflation, consumers' behavior and the Fed's path ahead for interest rates.

The Fed has been holding its benchmark interest rate steady as it closely watches rising inflation. It is expected to continue holding rates steady at its next meeting in June. Cutting interest rates could help lower borrowing costs and give the economy a jolt, but it could also worsen inflation at time when prices are already high and rising.