Nasdaq Jumps 2.6% on Stock Markets Rebound, Dow Jones 500 Up by 1.6%

The Nasdaq surged over 2.5%, marking its best single-day performance since January, while the Dow Jones climbed more than 1.5%, as investors largely dismissed the weaker-than-expected Michigan Consumer Sentiment report.

The report revealed a sharp drop in consumer confidence, with sentiment falling from 64.7 points last month to 57.9 points this month, well below the 63.1 forecast. Additionally, year-ahead inflation expectations spiked from 4.3% to 4.9%, raising concerns about persistent inflationary pressures.

Nasdaq Chart Daily – The Decline Has Been Pretty Sharp

Despite Friday’s strong market rally, major indices still closed the week in negative territory, extending their four-week losing streak. All three major indices—the S&P 500, Nasdaq, and Dow—have now posted losses for four consecutive weeks.

Big tech stocks, known as the Magnificent 7, all saw gains on Friday but had mixed performances throughout the week. Nvidia stood out as the top performer, rising nearly 8% for the week, while Apple suffered the steepest decline, dropping nearly 11%.

The overall market sentiment remains fragile, with investors grappling with economic uncertainty, trade tensions, and shifting interest rate expectations. The focus now turns to upcoming economic reports and corporate earnings, which will play a key role in determining whether Friday’s rebound has staying power or if further downside risks remain.