A federal judge ruled that Google's parent company, Alphabet, would not be forced to sell its popular Chrome browser. While the court did impose some restrictions, such as requiring Google to share data with rivals, the decision was seen as a significant win for the tech giant. Investors cheered the outcome, sending Alphabet's stock soaring by 9.1% and adding a staggering $230 billion in shareholder wealth. This favorable ruling also boosted other tech stocks, including Apple, which climbed 3.8% as the decision preserves its lucrative revenue-sharing deal with Google. This positive momentum in the tech sector helped the Nasdaq Composite jump 1% and the S&P 500 gain 0.5%, breaking a two-day losing streak. The Dow Jones Industrial Average, however, slipped slightly.
The positive market action was also supported by easing pressure in the bond market. Treasury yields retreated following a weaker-than-expected report on the U.S. job market. This data has bolstered expectations that the Federal Reserve may soon cut interest rates, a move that could provide a boost to the economy.
In other notable news, shares of Macy's surged after the retailer reported stronger-than-expected profit and sales, and American Bitcoin, a bitcoin mining company, experienced a manic day of trading after its Nasdaq listing, with its stock price more than doubling at one point.
Safe Havens on the Move
While the broader market found its footing, alternative assets continued to perform well, underscoring investor concerns about long-term economic stability.
Gold reached a fresh all-time high, continuing its record-breaking surge. The yellow metal has been a primary beneficiary of economic uncertainty and growing expectations that the Federal Reserve will soon cut interest rates. Its appeal as a safe haven remains strong amid shifting geopolitical tensions and a search for assets with little correlation to the stock market.
The cryptocurrency market also saw positive action. Bitcoin traded in a tight but positive range and remained above its key support level of $110,000. As with gold, Bitcoin is also being viewed by many investors as a potential hedge against inflation and a store of value. The day's news of a Trump-linked bitcoin company debuting on the Nasdaq also buoyed crypto-related stocks, with American Bitcoin's stock rising more than 10% in its first day of trading. This further highlights the growing institutional interest and mainstream acceptance of digital assets.