Stock market today: Nasdaq sets another record as Wall Street wins back earlier losses

NEW YORK (AP) — U.S. stocks rose Friday in a bounce back from Wall Street’s worst day since April.

The S&P 500 gained 36.88 points, or 0.7%, to 5,304.72 and won back all its losses from the prior two days. It eked out a tiny gain for the week, enough to extend its weekly winning streak to five, and is sitting just below its record set on Tuesday.

The Dow Jones Industrial Average rose 4.33 points, or less than 0.1%, to 39,069.59, and the Nasdaq composite gained 184.76, or 1.1%, to 16,920.79 and topped its all-time high set earlier this week.

Deckers Outdoor jumped 14.2% for the biggest gain in the S&P 500 after reporting stronger profit and revenue for the latest quarter than expected. The company behind the Hoka, Ugg and Teva brands also gave a forecast for revenue this upcoming fiscal year that was in line with analysts’ expectations.

Ross Stores also lifted the market after leaping 7.8%. The retailer reported better profit for the latest quarter than analysts expected. That was despite its revenue only edging past expectations, as customers continue to hold back on purchases of non-essentials.

CEO Barbara Rentler said several challenges, “including prolonged inflation, continue to squeeze our low-to-moderate income customers’ purchasing power.”

Even though data on the overall, or macro, economy has been showing continued strength for spending by U.S. households, the numbers underneath the surface may not be as encouraging.

“Walmart and Target are telling us that high income consumers are doing fine, but beginning to trade down,” said Brian Jacobsen, chief economist at Annex Wealth Management. “The lower income consumer is struggling. Macro often focuses too much on the average and the average is skewed by the high-end household.”

The market got a bit of a boost Friday from a report showing overall sentiment among U.S. consumers weakened by less in May than preliminary data had suggested. Perhaps more importantly, the report from the University of Michigan also said U.S. consumers’ expectations for inflation in the coming year rose by less in May than earlier feared.

That could help stave off a vicious cycle where high expectations for inflation among U.S. households drive them to behave in ways that only make inflation worse.

Worries about stubbornly high inflation were behind this week’s rocky trading, after indexes set records recently. The weakness began after the Federal Reserve on Wednesday released the minutes from its last policy meeting. It showed some officials talking about the possibility of raising rates if inflation worsens.

Stocks fell further after reports on Thursday indicated the U.S. economy is stronger than expected. Such strength can actually spook Wall Street because it could keep upward pressure on inflation.

That in turn could at least delay the Federal Reserve from giving relief to financial markets through cuts to its main interest rate, which is sitting at the highest level in more than 20 years. The Fed is trying to pull of the difficult feat of slowing the economy enough through high interest rates to stifle high inflation but not so much that it kneecaps the job market.

Goldman Sachs economist David Mericle pushed back his forecast for the Fed’s first cut to rates to September from July, in part due to Thursday’s reports on U.S. business activity and joblessness.

Treasury yields climbed this week on such concerns, but they were mostly stable Friday following the report on consumer sentiment. The yield on the 10-year Treasury slipped to 4.46% from 4.48% late Thursday. The two-year yield, which more closely tracks expectations for action by the Fed, was holding steady at 4.94%.

This week’s bumpiness for stocks came despite another blowout profit report from Nvidia, which has rocketed to become one of Wall Street’s most influential stocks amid a frenzy around artificial-intelligence technology. Fervor around AI had pushed some stocks to heights that critics called overdone, but Nvidia’s eye-popping growth and forecasts for more suggest it could keep going.

Nvidia rose another 2.6% Friday, making it the biggest single force pushing the S&P 500 upward.

Elsewhere on Wall Street, Workday fell 15.3% despite reporting stronger profit for the latest quarter than analysts expected. The company, which helps businesses manage their people and money, gave a forecast for upcoming subscription revenue that fell a bit short of Wall Street’s estimates.

In stock markets abroad, indexes fell across much of Asia and Europe. Indexes sank 1.4% in Hong Kong, 1.3% in Seoul and 1.2% in Tokyo.

AP Business Writers Matt Ott and Elaine Kurtenbach contributed.

FILE - Tourists gather near the New York Stock Exchange on May 16, 2024, in New York. Shares retreated in Europe and Asia on Friday, May 24, 2024, after unexpectedly strong reports on the U.S. economy raised the possibility that interest rates may stay painfully high. (AP Photo/Peter Morgan, File)

FILE - A flag hangs from the side of the New York Stock Exchange is on Thursday, May 16, 2024, in New York. Trinity Church appears in the background. (AP Photo/Peter Morgan, File)

A person walks in front of an electronic stock board showing Japan's Nikkei 225 index at a securities firm Friday, May 24, 2024, in Tokyo. (AP Photo/Eugene Hoshiko)

People stand in front of an electronic stock board showing Japan's Nikkei 225 index at a securities firm Friday, May 24, 2024, in Tokyo. (AP Photo/Eugene Hoshiko)

People walk in front of an electronic stock board showing Japan's Nikkei 225 index at a securities firm Friday, May 24, 2024, in Tokyo. (AP Photo/Eugene Hoshiko)

A person walks in front of an electronic stock board showing Japan's Nikkei 225 index at a securities firm Friday, May 24, 2024, in Tokyo. (AP Photo/Eugene Hoshiko)

People stand in front of an electronic stock board showing Japan's Nikkei 225 index at a securities firm Friday, May 24, 2024, in Tokyo. (AP Photo/Eugene Hoshiko)

A person walks in front of an electronic stock board showing Japan's Nikkei and New York Dow indexes at a securities firm Friday, May 24, 2024, in Tokyo. (AP Photo/Eugene Hoshiko)

DETROIT (AP) — Byron Buxton hit a home run and a double, Christian Vázquez had a homer and three hits and the Minnesota Twins beat the Detroit Tigers 9-3 on Friday night.

“I think everybody put something on the table to win this game,” said Vázquez, who has three of his five homers this season against the Tigers. “When I swing at pitches at zone, I get different results. I feel good and I have confidence in myself.”

Pablo López (9-7) allowed two runs on six hits in seven innings, striking out seven.

“A lot of my stuff got better toward the end of my outing,” he said.

Tigers starter Keider Montero (1-4) allowed six runs on eight hits in five innings.

With only three healthy starters, Tigers manager A.J. Hinch had to stay with Montero even after he allowed three homers in the first two innings.

“He was going to be out there,” Hinch said. “It's not easy right now — we have been putting together some bullpen games and there are some on the horizon, so Keider had a long leash. With three solo homers, we were still in the game.”

Buxton and Trevor Larnach gave Minnesota a 2-0 lead with back-to-back homers in the first, and Matt Wallner added a home run in the second.

Javier Báez hit his second homer in as many days to make it 3-2 in the third.

“I'm feeling good at the plate,” said Báez, who is hitting .179 with three homers. “I've been working a lot to play better, and if I can stay hot, I can have a big second half.”

The Twins regained control with three runs in the fourth.

Willi Castro knocked in two with a single to left and took a big turn around the bag, prompting second baseman Colt Keith to throw to first. The Tigers were wearing their black City Connect jerseys and the only person wearing that color at first was umpire Mike Muchlinski. Keith's throw sailed into Minnesota's dugout, allowing Castro to take third. He scored on Buxton's double to left.

“That's a tough inning when we've got two out, especially after (Báez) gets us back into the game with the homer,” Hinch said. “I haven't talked to Colt, but I think that's down to inexperience — I don't think Bligh (Madris) needed to travel with the runner. He could have stayed (at first), which is probably why he was trying to get back.”

Vázquez hit a two-run homer off Joey Wentz to make it 8-2 in the sixth.

The Tigers loaded the bases with no one out in the seventh, but Gio Urshela grounded into a force at the plate before Báez and Wenceel Pérez popped out.

TRAINER'S ROOM

Twins: Activated 3B Royce Lewis (adductor strain) from the injured list and optioned C Jair Carmago to Triple-A St. Paul. Lewis came into the game hitting .292 with 10 homers and 18 RBIs in 24 games.

Tigers: Placed All-Star OF Riley Greene (hamstring) on the injured list and recalled UTL Ryan Vilade from Triple-A Toledo. Greene has been injured in each of his first three seasons, limiting him to 293 games.

UP NEXT

The teams play the second game of the series on Saturday, with Tigers ace LHP Tarik Skubal (11-3, 2.34) facing Minnesota RHP Joe Ryan (6-6, 3.65).

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Minnesota Twins center fielder Byron Buxton misplays the double hit by Detroit Tigers' Matt Vierling during the seventh inning of a baseball game, Friday, July 26, 2024, in Detroit. (AP Photo/Carlos Osorio)

Minnesota Twins pitcher Caleb Thielbar throws during the ninth inning of a baseball game against the Detroit Tigers, Friday, July 26, 2024, in Detroit. (AP Photo/Carlos Osorio)

Minnesota Twins' Christian Vazquez (8) is greeted at home plate after a two-run home run during the sixth inning of a baseball game against the Detroit Tigers, Friday, July 26, 2024, in Detroit. (AP Photo/Carlos Osorio)

Detroit Tigers pitcher Joey Wentz throws during the seventh inning of a baseball game against the Minnesota Twins, Friday, July 26, 2024, in Detroit. (AP Photo/Carlos Osorio)

Detroit Tigers pitcher Will Vest throws during the seventh inning of a baseball game against the Minnesota Twins, Friday, July 26, 2024, in Detroit. (AP Photo/Carlos Osorio)

Detroit Tigers' Javier Baez is greeted at home plate by Carson Kelly after Baez's two-run home run during the third inning of a baseball game against the Minnesota Twins, Friday, July 26, 2024, in Detroit. (AP Photo/Carlos Osorio)

Detroit Tigers pitcher Joey Wentz throws during the sixth inning of a baseball game against the Minnesota Twins, Friday, July 26, 2024, in Detroit. (AP Photo/Carlos Osorio)

Detroit Tigers pitcher Joey Wentz walks next to the mound as Minnesota Twins' Christian Vazquez rounds the bases after a two-run home run during the sixth inning of a baseball game, Friday, July 26, 2024, in Detroit. (AP Photo/Carlos Osorio)

Minnesota Twins' Christian Vazquez is greeted in the dugout after a two-run home run during the sixth inning of a baseball game against the Detroit Tigers, Friday, July 26, 2024, in Detroit. (AP Photo/Carlos Osorio)

Minnesota Twins center fielder Byron Buxton misplays the double hit by Detroit Tigers' Matt Vierling during the seventh inning of a baseball game, Friday, July 26, 2024, in Detroit. (AP Photo/Carlos Osorio)

Minnesota Twins' Byron Buxton approaches home plate after a solo home run during the first inning of a baseball game against the Detroit Tigers, Friday, July 26, 2024, in Detroit. (AP Photo/Carlos Osorio)