Markets Soared as Earnings Fireworks and Tariff Hopes Sparked Stocks and Bonds

TL;DR:
Stocks rallied for eight straight days, erasing April’s losses with a surge fueled by blockbuster earnings from Microsoft and Meta, plus optimism over tariff relief. Bonds took a cautious dip, gold held steady despite a slight pullback, and all eyes turned to Friday’s jobs report for the next big cue.

This week, the markets were like a high-stakes poker game—bluffs, bold bets, and a few aces up Wall Street’s sleeve. From a GDP scare to AI-driven earnings euphoria, the week delivered a wild ride, culminating in an eight-day winning streak for stocks that left traders cheering. Buckle up as we unpack the action from April 28 to May 2, 2025!

Market Performance 

Stocks

• S&P 500: Closed at ~5,604.14 on May 1, up ~4.6% for the week (from ~5,360 on April 25).

• Dow Jones: Closed at ~40,752.96 on May 1, up ~2.5% for the week (from ~39,800).

• Nasdaq: Closed at ~17,710.74 on May 1, up ~6.7% for the week (from ~16,600).
  The Nasdaq strutted like a tech superstar, riding AI optimism to erase April’s tariff-induced scars. The Dow, more reserved, still joined the party but moved like it was pacing itself for the long haul.

Bonds

• 10-year Treasury Yield: 4.17% on May 1, down from 4.27% on April 25.
  Yields wobbled like a tightrope walker, dipping as investors sought safety after GDP contraction news rattled nerves. By week’s end, they stabilized, reflecting cautious optimism.

 Gold  

• Price: ~$3,300 per ounce on May 1, down ~0.9% for the week (from ~$3,330).
  Gold gleamed like a seasoned veteran, holding firm despite a slight dip as tariff fears eased and stocks stole the spotlight.

Daily Market Recap (April 28 - May 2) 

• Monday, April 28: Markets ended flat after a choppy session, with investors eyeing upcoming GDP data and Big Tech earnings. The S&P 500 closed nearly unchanged at ~5,560.83 (+0.58%), the Dow rose 300.03 points (+0.75%) to 40,527.62, and the Nasdaq gained 0.55% to 17,461.32. Commerce Secretary Howard Lutnick’s hint at a major trade deal sparked late gains, offsetting tariff jitters.

• Tuesday, April 29: Stocks climbed as tariff relief for automakers and strong earnings lifted spirits. The S&P 500 rose 0.6% to ~5,569.06, the Dow gained 0.8% to 40,669.36, and the Nasdaq added 0.5% to 17,446.34. Consumer confidence fell to 86 (from 92.9), signaling caution, but markets focused on positive trade news.

• Wednesday, April 30: A GDP contraction of 0.3% (vs. expected +0.4%) sent markets tumbling early, with the Dow dropping 422.94 points (-1.04%) to 40,104.68 mid-morning. The S&P 500 fell 1.5%, and the Nasdaq slid 2%. A late rally erased most losses, with the S&P 500 closing up 0.15% at 5,569.06, the Dow up 0.35% at 40,669.36, and the Nasdaq down 0.09% at 17,446.34. Gold dipped to $3,313.10, and the 10-year yield edged to 4.168%.

• Thursday, May 1: Stocks surged as Microsoft and Meta’s AI-driven earnings ignited optimism. The S&P 500 gained 0.63% to 5,604.14, the Dow rose 0.21% to 40,752.96, and the Nasdaq jumped 1.52% to 17,710.74, marking the longest S&P 500 winning streak since 2004. Yields held steady, and tariff hopes grew.

• Friday, May 2: Markets closed higher, buoyed by a strong jobs report (133,000 jobs added vs. 228,000 in March) and hopes for China tariff talks. The S&P 500, Dow, and Nasdaq extended their streaks, though exact closing figures weren’t available. Stocks erased April’s losses, with the S&P 500 briefly nearing its pre-tariff highs.

Major News Events 

• GDP Contraction (April 30): First-quarter GDP shrank 0.3%, the first decline since Q1 2022, driven by surging imports and slower consumer spending. Markets dipped but recovered as investors bet on resilience.

• Tariff Optimism (April 28-29): Trump’s softened stance on auto tariffs and Lutnick’s trade deal tease lifted stocks. Hopes for China talks gained traction by Friday.

• AI Earnings Surge (May 1): Microsoft and Meta’s blowout earnings fueled a tech rally, with AI spending plans signaling robust growth.

• Jobs Report Anticipation (May 1-2): April’s jobs report loomed large, with Friday’s 133,000 job gain (below March’s 228,000) calming recession fears.

• Consumer Confidence Drop (April 29): The Conference Board’s index fell to 86 from 92.9, reflecting tariff and economic uncertainty.

• Gold Power Summit (April 30): Nasdaq’s summit with Asian founders and VCs highlighted a $525M fund, boosting sentiment in innovation-driven sectors.

• Market Volatility: The VIX spiked 10.22% to 26.64 on April 30, signaling anxiety, but eased by Friday as stocks rallied.

Federal Reserve Announcements
The Fed kept quiet this week like a chess master holding their next move. No official statements emerged, leaving markets to grapple with GDP and earnings noise. The 10-year yield’s dip to 4.17% suggested investors expected the Fed to stay patient, with the jobs report likely shaping future rate bets.

Significant Earnings 

• Microsoft (May 1): Smashed Q1 expectations with AI-driven cloud growth, stock surged ~5%. Wall Street toasted its tech dominance.

• Meta Platforms (May 1): Beat revenue and profit forecasts, with AI investments paying off; shares soared ~7%.

• Charter Communications (May 1): Added mobile lines and lost fewer video subs than expected, stock jumped 11%.

• Equifax (May 1): Topped profit and sales estimates, boosting shares 13.8%. Credit data never looked so sexy.

• Intel (May 1): Missed earnings targets, with chip demand softening; stock slumped ~7%.

• Eli Lilly (May 1): Lowered 2025 guidance despite a Q1 beat, shares fell ~9%. Investors frowned at the cautious outlook.

Sector Spotlight
The tech sector stole the spotlight, with AI giants like Microsoft and Meta powering the Nasdaq’s 6.7% weekly gain. Meta’s 7% jump and Microsoft’s 5% climb underscored AI’s role as Wall Street’s golden child, shrugging off tariff noise and GDP gloom. Smaller AI players also rode the wave, with investor enthusiasm rivaling a sci-fi blockbuster premiere.

Additional Context
Bitcoin teased $92,000 midweek before settling at ~$90,000, adding a crypto subplot to the market’s drama. Think of it as the rebellious teen crashing the stock market’s grown-up gala, stirring chatter about digital assets amid tariff uncertainty.

Visual Boost
Imagine a rocket launch: that’s the S&P 500’s eight-day streak, blasting from GDP lows to earnings highs. A line chart plotting its climb from ~5,360 to 5,604.14 would scream “to the moon!” Pair it with a bar graph of tech stocks’ gains for extra pizzazz.

Top Movers 

EFX and CHTR soared like eagles, while LLY and INTC tripped like they forgot their lines.

Sources: 

• Investopedia: Market data and earnings for April 28-May 2, 2025.

• CNBC: GDP, yields, and earnings updates for April 30-May 1, 2025.

• Yahoo Finance: Daily index performance and tariff news for April 28-May 2, 2025.  
  Warning: This recap’s like a market rom-com—packed with drama, a few laughs, and no guarantee of a happy ending. Trade at your own risk, and don’t blame us if your portfolio pulls a plot twist!