S&P 500 and Nasdaq Close at Record Highs While ASX Set to Open Lower

Wall Street's main indexes closed higher on Friday with the S&P 500 and Nasdaq composite reaching new record highs. The gains were driven by stronger-than-expected U.S. jobs data and continued corporate earnings growth, particularly among companies tied to artificial intelligence technology.

Non-farm payrolls rose by 115,000 in the latest month, exceeding the consensus forecast of 65,000. The unemployment rate held steady at 4.3 percent. The data reduced expectations for near-term interest rate cuts from the Federal Reserve. First-quarter earnings for S&P 500 companies are on track to rise almost 29 percent from a year earlier.

Semiconductor and data storage firms led the advance as demand for artificial intelligence infrastructure remained strong. Nvidia shares rose 1.8 percent while Micron Technology and Sandisk each climbed more than 15 percent. The Philadelphia SE Semiconductor index posted a 55 percent gain in the second quarter to date.

European stock indexes closed lower, with the Dax down 1.3 percent, the FTSE down 0.4 percent and the Eurostoxx 600 down 0.4 percent.

Renewed fighting in the Strait of Hormuz pushed oil futures higher. Brent crude futures rose 1.2 percent to $101.29 a barrel while West Texas Intermediate futures gained 0.6 percent to $95.42 a barrel. Both benchmarks were still down around 6 percent for the week.

At one point during the session oil prices were up around 3 percent before easing. One market participant described the oil market as treading water, noting the possibility of either a breakthrough in negotiations or a renewal of fighting.

Gold rose 0.6 percent to $4,714 an ounce amid hopes of a resolution to the U.S.-Iran conflict. Copper reached a three-month high after news that recovery work at Indonesia's Grasberg mine had been delayed, tightening supply expectations. Aluminium gained 0.4 percent on supply concerns from the Middle East.

Iron ore eased 0.3 percent to $110.40 a tonne. The U.S. dollar slipped on cautious optimism that the conflict could end soon combined with the solid jobs report. cents before easing slightly in early trade. ASX 200 futures were down 0.5 percent at 8,736 points.

The ASX 200 index itself fell 1.5 percent on Friday to close at 8,744 points. Speculation ahead of the federal budget, due to be released on Tuesday, is expected to keep many investors on the sidelines. No major Australian economic data is scheduled for release today, though China will publish its official consumer and producer price indexes later.