NEW YORK (AP) — U.S. stocks and oil prices are drifting toward a quiet finish of the week Friday following their earlier fireworks on worries about how the war with Iran will affect the global flow of crude.
The S&P 500 rose 0.1% and was on track to close out a fourth winning week in the last five. The Dow Jones Industrial Average was up 65 points, or 0.1%, as of 9:35 a.m. Eastern time, and the Nasdaq composite was 0.1% higher.
Oil prices were holding
relatively steady, even after a series of unclaimed airstrikes hit Iran after the U.S. said it finished its attacks. The price for a barrel of Brent crude oil, the international standard, rose 0.2% to $76.47.
That’s above the $72 it was at the start of the week, when it was back below its level from before the war with Iran, but it’s still well below its wartime peak of nearly $120. The worry is that continued fighting could block oil tankers from the Strait of Hormuz and prevent the delivery of crude from the Persian Gulf to customers worldwide.
With the wait ongoing for what will happen next with the strait, the focus on Wall Street is swinging toward the upcoming reporting season for companies’ profits during the spring.
Delta Air Lines said it was able to absorb higher fuel prices from April through June because of strong demand from customers to fly, including from a wide range of corporate travelers. Its profit and revenue topped analysts’ expectations, and it gave a forecasted range for profit in the summer whose midpoint was above analysts’ expectations.
Delta’s stock fell 2.5%, after coming into the day with a 28.2% rise for the year so far.
Companies across industries will need to produce strong growth in profits to justify the big moves for their stock prices, which are broadly need records. Next week will feature reports from many of the biggest U.S. banks, including Bank of America, Citigroup, JPMorgan Chase, Goldman Sachs and Wells Fargo on Tuesday alone.
Later in the day on Friday, shares of South Korean chipmaker SK Hynix that trade in the United States are set to make their debut on the Nasdaq. The tech giant is raising nearly $26.5 billion through its sale of American depositary shares.
Its stock in Seoul has surged more than 600% over the last year thanks to euphoria around artificial-intelligence technology. The boom has created real profits thanks to surging demand for computer memory. But it’s also raised worries that AI stock prices have shot too high and that all the world’s spending on chips and data centers won’t be able to produce enough productivity and profit growth to make it worth it.
Drops for some chip companies were the heaviest weights on the S&P 500 Friday, including a 2.3% fall for Micron Technology.
In the bond market, Treasury yields held relatively steady as oil prices drifted. The yield on the 10-year Treasury edged up to 4.55% from 4.54% late Thursday.
In stock markets abroad, indexes ticked higher in much of Europe and Asia. South Korea’s Kospi jumped 2.5%, and Japan’s Nikkei 225 rose 1.2% for two of the world’s bigger moves.
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AP Business Writers Chan Ho-him and Matt Ott contributed to this report.
