U.S. stock indices continued their upward trajectory on Thursday, driven by a significant rally in Cisco Systems Inc. (CSCO) which bolstered the Dow Jones Industrial Average, helping it reclaim the 50,000-point level reached earlier this year. Both the Nasdaq Composite and the S&P 500 set new intraday and closing record highs.
At the close, the Dow Jones Industrial Average gained 370.26 points, or 0.75%, to 50,063.46. The Nasdaq Composite rose 232.88 points, or 0.88%, to 26,635.22. The S&P 500 advanced 56.99 points, or 0.77%, closing at 7,501.24.
NVIDIA Corporation (NVDA) shares climbed over 4%, closing with a market capitalization exceeding $5.7 trillion, a new record high. Newly listed stock Cerebras Systems (CBRS) surged 68%, while Qualcomm Incorporated (QCOM) fell 6%. The Nasdaq Golden Dragon China Index closed down 3.3%, with Baidu, Inc. (BIDU) declining 4.7% and Alibaba Group Holding Limited (BABA) dropping 3%.
In Europe, major indices also posted gains. Germany's DAX 30 rose 352.70 points (1.46%) to 24,454.43. The UK's FTSE 100 added 42.34 points (0.41%) to 10,367.69. France's CAC 40 increased by 74.30 points (0.93%) to 8,082.27. The Euro Stoxx 50 gained 69.68 points (1.19%) to 5,930.75. Spain's IBEX 35 was up 146.60 points (0.83%) at 17,801.50, and Italy's FTSE MIB rose 560.80 points (1.13%) to 50,041.50.
In Asia, Japan's Nikkei 225 gained 0.98%, South Korea's KOSPI rose 1.75%, India's Sensex advanced 1.06%, while Singapore's Straits Times Index dipped 0.16%.
The U.S. Dollar Index, which measures the greenback against a basket of six major currencies, rose 0.29% to 98.813. In late New York trading, one euro bought $1.1677, down from $1.1707 the previous session. One British pound traded at $1.3405, down from $1.3516. The dollar rose to 158.19 Japanese yen from 157.90, to 0.7834 Swiss francs from 0.7823, to 1.3724 Canadian dollars from 1.3716, and to 9.3495 Swedish kronor from 9.3279.
In cryptocurrencies, Bitcoin reclaimed the $80,000 level, trading at $81,443.7. Ethereum rose over 1.7% to $2,297.99. The U.S. Senate Banking Committee passed the "Crypto-Asset Market Structure Act" (the CLARITY Act) by a vote of 15 to 9, sending the bill to the full Senate for a vote.
In the oil market, the price of light, sweet crude for June delivery on the New York Mercantile Exchange rose 15 cents to settle at $101.17 per barrel, a gain of 0.15%. Brent crude for July delivery on ICE Futures Europe rose 9 cents to $105.72 per barrel, up 0.09%.
Precious metals saw mixed moves, with spot gold settling at $4,651.35 per ounce and spot silver at $83.469 per ounce.
On the macroeconomic front, U.S. crypto regulation took a key step forward as the Senate Banking Committee passed the CLARITY Act, moving it to the full Senate. The bill aims to clarify regulatory boundaries for crypto assets and delineate authority between the SEC and CFTC, seen as a major milestone for the industry's regulatory framework. However, debates continue over stablecoin regulation, anti-money laundering rules, and political conflicts of interest.
U.S. business inventories in March recorded their largest increase in nearly four years, rising 0.9% month-over-month, driven by a surge in wholesale inventories. This followed a 0.4% gain in February. Business inventories contributed 0.40 percentage points to the annualized GDP growth rate for the first quarter, which was 2.0%, up from 0.5% in the final quarter of last year.
Kansas City Federal Reserve President Jeffrey Schmid warned that inflation remains the biggest risk to the U.S. economy, though he noted the economy has shown "remarkable resilience" in the face of challenges, with the labor market remaining broadly stable. He stated that while inflation has receded from its peak, it remains too high based on his conversations with business leaders.
U.S. import prices surged 1.9% in April, far exceeding expectations of a 1.0% rise, while export prices jumped 3.3%, indicating persistent cost pressures from ongoing geopolitical conflicts. Core import prices (excluding fuel) rose 0.8%. Fuel prices skyrocketed 16.3%, while capital goods prices rose a concerning 1.1%.
U.S. retail sales grew 0.5% in April, matching expectations, though part of the increase was likely driven by inflation as energy and commodity prices rose. Sales for March were revised down to a 1.6% gain. Despite surging gasoline prices, consumer spending has not yet shifted significantly from other areas, partly supported by larger tax refunds this year. However, this support may be waning, with analysis suggesting consumers are spending refunds faster than last year, especially among lower-income households.
Federal Reserve Governor Christopher Waller formally submitted his resignation, effective upon or shortly before Vice Chair for Supervision Michael Wash's swearing-in. In his resignation letter, Waller reiterated warnings that interest rates may be too high, arguing that broader economic trends like slowing population growth and reduced regulatory burdens could lower inflation on their own, giving the Fed room to ease policy.
In corporate news, the two-year partnership between Apple Inc. (AAPL) and OpenAI has reportedly become strained. OpenAI, which expected greater benefits from integrating ChatGPT into Apple's software, is reportedly preparing for potential legal action, including sending a notice of alleged breach of contract. OpenAI executives believed the integration would drive user subscriptions and become a major revenue source ahead of a potential IPO, but Apple's use of the technology remains limited and difficult for users to find.
New financial disclosure forms revealed that former President Donald Trump engaged in substantial securities transactions valued between $220 million and approximately $750 million in the first quarter of 2026. Large purchases, valued between $1 million and $5 million each, included an S&P 500 index fund, NVIDIA, and Apple. Large sales, valued between $5 million and $25 million each, included Microsoft Corporation (MSFT), Amazon.com, Inc. (AMZN), and Meta Platforms, Inc. (META).
SpaceX, led by Tesla, Inc. (TSLA) CEO Elon Musk, is reportedly planning to release its IPO prospectus as soon as next week, aiming to start its investor roadshow on June 8. Following its merger with Musk's xAI in February, the combined entity is valued at $1.25 trillion. The IPO is expected to be the largest in history, targeting a fundraising size of approximately $70-$75 billion. Advisors are exploring special sales channels, including with international retail brokers.
On the ratings front, UBS Group raised its price target for Cisco Systems (CSCO) from $95 to $132 and increased its target for NVIDIA (NVDA) from $245 to $275.
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