US stocks end in positive territory with big gain in tech

ISTANBUL

US stocks closed Thursday in positive territory as Microsoft and Meta posted better-than-expected revenues and profits, easing fears that the development of artificial intelligence might stall in the face of tariff uncertainty.

The S&P 500 jumped 0.63%, or 35.08 points, to close at 5,604.14.

The Nasdaq rose 1.52% to finish at 17,710.74, while the Dow was up 0.21% to close at 40,752.96.

The gain in stocks was mainly led by big tech, especially Meta and Microsoft which were up more than 4.2% and 7.6%, respectively, after the two companies reported stronger-than-expected financial results Wednesday.

Meta's revenues rose 16% year-on-year in the first quarter to $42.3 billion, with CEO Mark Zuckerberg indicating the company is “performing very well” and is “well positioned to navigate the macroeconomic uncertainty.”

Microsoft's revenues were up 13%, rising to $70.1 billion, with CEO Satya Nadella stating cloud and artificial intelligence are key inputs for every business to increase output, reduce costs, and accelerate growth.

Shares of McDonald's, meanwhile, fell about 1.8% as global sales decreased 1% in the first quarter.

On the macroeconomic data side, the Institute of Supply Management Manufacturing Purchasing Managers Index (PMI) fell to 48.7% in April, down 0.3 percentage points from March, signaling contraction in the manufacturing sector.

On the other hand, S&P Global's PMI came in at 50.2 points in April, meaning a slight expansion for the sector.

Initial jobless claims in the US hit 241,000 for the week ending April 26, up 18,000 from the previous week's revised figure, above expectations.