US stock markets surged to fresh highs, driven by better-than-anticipated employment figures and robust corporate earnings, even as geopolitical tensions around the Strait of Hormuz continue to push fuel costs higher. The S&P 500 closed at an all-time peak after a government report showed that US employers added significantly more jobs than economists forecasted, sustaining a positive investor sentiment.
Although job growth slowed from the previous month’s pace, the increase remained nearly double expectations, keeping the S&P 500 on track for its longest winning streak in two years. The Nasdaq outperformed with a strong rally, reaching record territory, while the Dow Jones posted more modest gains amid uncertainty fueled by continued clashes between US and Iranian forces and the resulting volatility in oil markets.
Oil prices climbed in response to military engagements near the Strait of Hormuz, a critical chokepoint for global crude shipments. Brent crude settled above $100 a barrel, reflecting persistent supply concerns despite being well below peaks seen earlier during the conflict. The rising energy costs have introduced a variable risk factor for the markets, but investors remain optimistic given other economic indicators.
Corporate earnings reported this quarter have provided a key support for equities. Notably, Monster Beverage experienced a substantial share price uplift after exceeding profit and revenue forecasts, bolstered by strong international sales which now account for nearly half of its total revenue. Akamai Technologies saw an even sharper gain after reporting better-than-expected results and announcing a major multi-year cloud services contract, highlighting continued demand in cybersecurity and artificial intelligence sectors.
Meanwhile, CoreWeave, a provider of AI computing power, demonstrated impressive revenue growth fueled by the surge in artificial intelligence investments; however, it reported a wider-than-expected net loss and offered a mixed revenue outlook for the current quarter. This illustrates the complex landscape companies face amid rapid technological expansion and market pressure.