Stocks Hit New Highs as Strong Jobs Report Boosts Markets Despite Rising Oil Prices

Strong Job Market Boosts U.S. Stock Market

The U.S. stock market reached new heights on Friday, driven by a positive jobs report that indicated the job market is performing better than many economists anticipated. The S&P 500 surged 0.8% to set a new all-time high, while the Nasdaq composite climbed 1.7% to its own record. The Dow Jones Industrial Average, although modestly up by 12 points or less than 0.1%, also contributed to the overall positive sentiment.

Despite ongoing tensions with Iran and rising fuel costs, the labor market showed resilience. Employers added 115,000 more jobs than they cut last month, surpassing expectations. This strong performance helped the S&P 500 close out a sixth consecutive week of gains, marking the longest winning streak since 2024. Since late March, the U.S. stock market has been climbing, fueled by optimism that the war will not lead to the worst-case economic scenarios and that the Strait of Hormuz may soon reopen for oil tankers.

However, the situation remains uncertain. On Friday, U.S. forces disabled two Iranian oil tankers after an exchange of fire in the Strait of Hormuz, raising concerns about the fragile ceasefire that the U.S. claims is still in effect. The price of Brent crude oil rose 1.2% to $101.29 following these events, though it is still below the peak of over $119 during the conflict.

Corporate Earnings Drive Market Gains

A key factor supporting the U.S. stock market despite the geopolitical uncertainties is the strong earnings reports from companies at the start of 2026. Monster Beverage saw a significant jump of 13.6% after exceeding analysts’ expectations for profit and revenue. The energy drink company benefited from robust growth in international markets, where sales accounted for about 45% of total net sales, the highest percentage ever recorded.

Akamai Technologies experienced even greater gains, with its stock rising 26.6%. This was due to the company’s results slightly surpassing expectations and a major deal worth $1.8 billion to provide cloud infrastructure services to an unnamed client over seven years. The cybersecurity and cloud computing firm is capitalizing on the growing investment in artificial intelligence technology.

On the other hand, CoreWeave reported revenue that more than doubled compared to the same quarter last year, but its net loss worsened beyond what analysts had predicted. Additionally, the company provided a revenue forecast for the current quarter that fell below expectations, causing its stock to drop 11.4%.

Global Market Performance

While the U.S. market enjoyed strong gains, stock markets abroad saw mixed results. In Europe, indices declined across much of the region, with Germany’s DAX losing 1.3% and Hong Kong’s Hang Seng dropping 0.9%. South Korea’s Kospi, however, was an exception, rising 0.1% to reach another all-time high.

Bond Market Trends

In the bond market, Treasury yields decreased, reflecting a preliminary report that suggested consumer sentiment remained near its lowest level since 2022. According to the University of Michigan survey, consumers expressed concerns about high gasoline prices and tariffs, although their inflation expectations for the coming year showed a slight improvement.

The yield on the 10-year Treasury fell to 4.36% from 4.41% late Thursday and from 4.45% earlier in the week. Lower yields can lead to reduced interest rates for mortgages and other loans, potentially boosting the economy. They also tend to increase the value of stocks and other investments.

Despite these decreases, the 10-year Treasury yield remains significantly higher than its pre-war level of 3.97%.