US stocks edged higher by midday Thursday, led by a tech-sector bounce after Oracle’s robust earnings lifted sentiment, even as concerns around tariffs and a Boeing aircraft incident kept broader gains in check.
The S&P 500 was up 0.3%, with the Nasdaq Composite rising 0.2%. The Dow Jones Industrial Average was flat, gaining just 16 points, as losses in Boeing offset broader strength.
Oracle surged 14% after reporting a strong fiscal fourth quarter and forecasting 70%-plus cloud infrastructure revenue growth in FY26, riding on continued AI demand. CEO Safra Catz said cloud momentum was “accelerating,” with AI workloads expected to meaningfully boost capacity usage.
Oracle’s rally provided a lift to the broader tech complex, helping the S&P 500 recover from early losses.
However, Boeing shares remained a drag on the Dow, down 4.5% after a deadly crash involving an Air India 787 Dreamliner shortly after takeoff. The incident, which occurred in Ahmedabad with 242 passengers onboard, renewed concerns around aircraft safety and regulatory scrutiny.
Meanwhile, a softer-than-expected producer price index (PPI) reading offered some relief to rate-sensitive sectors. Headline PPI rose just 0.1% in May, versus expectations of 0.2%, following a 0.2% decline in April. Treasury yields eased slightly following the data.
Still, market sentiment remains clouded by geopolitical overhang. Former President Donald Trump reiterated plans for unilateral tariffs if trade talks don’t conclude by July 8. While US-China negotiators agreed on a framework in London earlier this week, market participants remain wary of any meaningful breakthrough.
“We still haven’t seen a single signed deal,” said Tom Hainlin of U.S. Bank Asset Management. “Until we get resolution, markets may remain rangebound despite strong earnings in some pockets.”
In Europe, equities struggled to find footing, weighed down by the same trade anxieties. The Stoxx 600 index fell 0.3%, while Germany’s DAX lost 0.7%. The UK’s FTSE 100 bucked the trend, closing up 0.2% despite a weaker-than-expected GDP print.
Elsewhere, oil prices fell around 2% as tensions escalated between Israel and Iran. The US dollar softened, with the euro climbing to a 3.5-year high at $1.16, supported by expectations of longer-lasting US tariffs and foreign fund flows out of dollar assets.
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