On May 1, 2025, the U.S. stock market ended the day higher: Technology stocks led the rally, as earnings reports from Microsoft and Meta lifted the three major indexes.

Taiwan • Business • 05/02 00:31
On May 1, 2025, the U.S. stock market ended the day higher: Technology stocks led the rally, as earnings reports from Microsoft and Meta lifted the three major indexes.

On May 1, 2025, the U.S. stock market saw a broad increase as Microsoft and Meta Platforms reported better-than-expected earnings. The Dow Jones Industrial Average, the S&P 500 Index, and the Nasdaq Composite Index all closed higher, extending their rebound. Technology stocks stood out, with strong results from Microsoft and Meta easing worries about a slowdown in AI industry growth and lifting other tech stocks. Market sentiment was also lifted by a relaxation in trade tensions.

Key Updates

05/02 21:30

May 2025 Wall Street Movers and Shakers: Tech Stocks Lead the Rally, Microsoft and Meta Stand Out, Petros Pharmaceuticals plummets

On May 2, 2025, Wall Street rose for the ninth consecutive trading day, setting the longest winning streak since 2004. Despite slowing economic growth and volatile tariff policies, strong corporate earnings and employment data boosted market confidence. Tech stocks like Microsoft, Meta, and Nvidia performed strongly, while small-cap stocks CaliberCos and Helius Medical surged on specific news. Petros Pharmaceuticals and Block Inc. took a hit due to poor performance. All three major indices climbed, with tech stocks leading the way.

05/02 20:31

US stocks make a strong comeback: The S&P 500 index recovers losses incurred since Trump's tariff policy, marking a record streak of consecutive gains.

On May 2, 2025, the U.S. stock market rebounded, with the S&P 500 index recovering the losses since President Trump announced a large-scale tariff policy on April 2, and marking the longest streak of consecutive gains since 2004. The market recovery was driven by stabilizing economic data, labor market resilience, and positive developments in U.S.-China trade negotiations. Despite the high uncertainty surrounding the tariff policy, investor sentiment improved, and Wall Street overcame panic.

05/02 14:02

U.S. stocks rally across the board: Non-farm employment data beats expectations and easing tensions between the U.S. and China provide a boost, as the Dow Jones index surges more than 450 points.

On May 2, 2025, the Dow Jones Industrial Average, the S&P 500, and the Nasdaq Composite, the three major U.S. stock indices, rose, with the Dow climbing 488.04 points and the S&P 500 achieving its longest streak of consecutive gains in 20 years. The rally was due to better-than-expected April non-farm payroll data and indications of easing tensions between the U.S. and China over trade. Technology stocks and the semiconductor sector led the gains, with Taiwan Semiconductor Manufacturing Company (TSMC) American Depositary Receipts (ADR) rising 3.74%. Investor confidence rebounded, and riskier assets became more attractive.

05/02 11:04

On May 2, 2025, U.S. stock futures rose as Dow futures surpassed 41,100 points, reflecting the influence of corporate earnings reports and trade developments.

On the afternoon of May 2, 2025, U.S. stock index futures rose, with Dow Jones Industrial Average futures rising 254 points to 41,109, S&P 500 futures rising 29.5 points to 5,652.75, and Nasdaq 100 futures rising 60 points to 19,930.75. This rise reflects the market's response to corporate earnings and international trade developments, especially the strong earnings from Microsoft and Meta Platforms and progress in trade policies under the USMCA.

05/02 10:02

Signs of Easing in US-China Trade Tensions: Hong Kong's Hang Seng Index Up 1.74%, Tech Stocks Lead the Gains, The Renminbi and Risk Currencies Climb Together

On May 2, 2025, signs of easing in the trade tensions between the US and China prompted a recovery in global financial markets. The Chinese Ministry of Commerce is assessing the US's tariff negotiation proposals, resulting in the Hang Seng Index in Hong Kong rising by 385 points, or 1.74%, led by technology stocks. The offshore yuan appreciated by nearly 500 points against the US dollar, and the Australian and New Zealand dollars strengthened in tandem. The US dollar index fell by 0.2%, reflecting an increase in market risk appetite. Nevertheless, investors remain cautious about the global economic outlook, as recent economic data from both the US and China indicate a slowdown in growth.

05/02 00:31

On May 1, 2025, the U.S. stock market ended the day higher: Technology stocks led the rally, as earnings reports from Microsoft and Meta lifted the three major indexes.

On May 1, 2025, the U.S. stock market saw a broad increase as Microsoft and Meta Platforms reported better-than-expected earnings. The Dow Jones Industrial Average, the S&P 500 Index, and the Nasdaq Composite Index all closed higher, extending their rebound. Technology stocks stood out, with strong results from Microsoft and Meta easing worries about a slowdown in AI industry growth and lifting other tech stocks. Market sentiment was also lifted by a relaxation in trade tensions.

05/01 23:02

Microsoft and Meta's earnings reports beat expectations, lifting major U.S. stock indices on May 1, 2025.

On May 1, 2025, the U.S. stock market saw gains across the board as Microsoft and Meta reported better-than-expected earnings, easing concerns over AI investment returns and the economic outlook. The Dow Jones Industrial Average rose 83.60 points, the S&P 500 rose 35.08 points, the Nasdaq jumped 264.40 points, and the Philadelphia Semiconductor Index rose 17.58 points. The strong performance of Microsoft and Meta led the major stock indices to their eighth consecutive day of gains.

05/01 15:03

On May 1, U.S. stocks rebounded strongly as earnings reports from tech giants lifted the market, with tech giants Microsoft and Meta leading the charge.

On May 1, 2025, U.S. stocks surged across the board as Microsoft and Meta's earnings reports exceeded expectations, with Microsoft's stock price soaring more than 9% intraday and Meta climbing over 6%. TSMC ADR and Nvidia shares also advanced, as the Philadelphia Semiconductor Index rose 1.44%. However, data from the U.S. Department of Labor showed that initial jobless claims unexpectedly rose to 241,000, indicating pressure in the labor market.

05/01 07:02

NVIDIA Uncommonly Rated as Sell by Analyst Jay Goldberg: Slowdown in AI Spending and China-US Geopolitical Risks Pose Challenges

NVIDIA, a US-based AI chip company, was recently rated as a "sell" by Seaport Research analyst Jay Goldberg, a rare occurrence, marking the first time in nearly two years. Goldberg pointed out that AI spending may slow down in the coming years, increased geopolitical tensions between the US and China, and the technical complexity of NVIDIA's system deployments being higher than that of traditional data centers pose challenges to the company's prospects. He lowered NVIDIA's target stock price to $100, below the Wall Street average target price of $161.59, making Seaport Research the only institution with a pessimistic view on the stock.

05/01 06:31

The U.S. stock market dropped sharply due to the triple whammy of GDP contraction, employment slowdown, and inflation pressures.

On April 30, 2025, the U.S. stock market saw significant volatility due to a 0.3% contraction in first-quarter GDP, slowing job growth, and ongoing inflationary pressures. Major indices dropped sharply in the morning session but rebounded in the afternoon after news of U.S.-China trade talks. The energy, steel, and financial sectors were the biggest losers, highlighting worries about an economic slowdown. Even though the market recovered by the end of the day, April's overall performance was poor, with the S&P 500 and Dow Jones indices falling for three straight months.

Microsoft and Meta's Earnings Boost Market Confidence

On Thursday before the market opened, Microsoft and Meta Platforms released their first-quarter financial results for fiscal year 2025, both exceeding market expectations. Microsoft's stock jumped 7.63% that day, and Meta's rose 4.23%. The strong performance of both companies eased market concerns about a slowdown in AI industry growth and injected momentum into the overall tech sector.

This rally also led to simultaneous gains in other tech stocks. Amazon rose 3.13%, Google's parent company Alphabet increased by 1.18%, and NVIDIA climbed 2.47%. The information technology sector within the S&P 500 index rose 2.21%, making it the day's best-performing sector.

Performance of the Three Major Indices

According to multiple financial media reports, the closing performance of the three major U.S. stock indices on May 1, 2025, was as follows:

  • Dow Jones Industrial Average rose 83.60 points, or 0.21%, to close at 40,752.96 points.
  • S&P 500 Index increased by 35.08 points, or 0.63%, to close at 5,604.14 points.
  • Nasdaq Composite Index climbed 264.40 points, or 1.52%, to close at 17,710.74 points.

This marked the eighth consecutive trading day of gains for the S&P 500 index and the first time the Dow Jones index closed up for seven consecutive days since July 2024. The Nasdaq, driven by strong tech stocks, performed the best.

Sector and Stock Performance

Of the 11 major sectors in the S&P 500 index, 8 rose that day. The best performers were communication services (+1.55%), information technology (+2.21%), and consumer discretionary (+0.99%). The healthcare sector fell 2.79%, making it the worst-performing category.

Regarding individual stocks, aside from Microsoft and Meta, other tech giants also showed strong performance:

  • Apple rose 0.39% to close at $213.32.
  • Alphabet increased by 1.18% to close at $162.79.
  • Amazon rose 3.13%, though its closing price was not disclosed.
  • Tesla fell 0.58%.

In the semiconductor sector, NVIDIA rose 2.47%, Micron increased by 1.07%, but Qualcomm plummeted 8.92%, becoming a major drag on tech stocks for the day.

Economic Data and Market Background

U.S. economic data released on Thursday showed that the April ISM Manufacturing Purchasing Managers' Index (PMI) fell from 49.0 to 48.7, below the 50 threshold but above the market expectation of 47.9. The orders and employment indices also exceeded expectations, indicating that while manufacturing activity remains in contraction territory, downward pressure has slightly eased.

Additionally, initial jobless claims rose to a two-month high, and continuing claims reached a new high since November 2021, indicating some signs of weakness in the labor market. These data increased market expectations that the Federal Reserve (Fed) might cut interest rates soon.

On the trade front, the U.S. Trade Representative stated that negotiations with China are expected to reach a preliminary agreement "within weeks," slightly easing market concerns about tariff policies and providing support to the stock market.

Year-to-Date Performance

Despite the strong start to May, the three major indices remain in a downtrend year-to-date:

  • The S&P 500 index is down 4.7% year-to-date.
  • The Dow Jones Industrial Average is down 4.2% year-to-date.
  • The Nasdaq Composite Index is down 8.3% year-to-date.

This reflects the pressures the market encountered in the first quarter, including slowing economic growth, uncertainty in tariff policies, and fluctuating corporate profit outlooks.

References

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