Stan Choe, AP Business Writer
NEW YORK (AP) — Wall Street rose Wednesday and is led by an Apple rally.
The S&P 500 was up 0.7% in afternoon trading. The Dow Jones industrial average rose 97 points (0.2%) as of 1:09pm east time, with the Nasdaq Composite rising 1%.
Apple alone accounted for almost half of the S&P 500 gain. It is expected to increase by 6% over the White House announcement, and will increase US investment by another $100 billion over the next four years.
The deals elsewhere on Wall Street mixed in after many profit reports. McDonald’s and Shopify rose following the latest update, but Super Micro Computer fell over after its revenue and revenue fell below analyst expectations. Walt Disney Co. fell after revenue was forecast, but revenue was short.
There is still high concern that President Donald Trump’s tariffs may be hurting the economy, but the market is hoping for the Federal Reserve to cut interest rates, and a stronger-than-expected parade of profit reporting from US companies has stabilized the market.
Companies are under pressure to provide greater profits to justify the great profits that stock prices have generated since the US market reached a low point in April. The S&P 500 is just below the record set later last month, and has fueled criticism that the large rally is far too expensive for the wider market.
McDonald’s rose 3% after reporting stronger profits and revenues in the spring than analysts expected. The meal, tied to the “Minecraft” film, proved to be a hit for the restaurant chain.
Shopify said it jumped 19.5% after a company that helps businesses sell online, earning more revenue than expected in the last quarter. Analysts also said the company’s forecast for revenue this quarter suggests a strong trend continues.
Arista Networks was one of the powerful forces that lifted the S&P 500 and jumped 18% after Networking Company delivered greater profits than expected in the recent quarter. Current quarterly revenue forecasts also surpass forecasts.
They helped offset the 21% slump in super microcomputers. Super Micro has appeared that day with stocks growing nearly 88% so far this year, but reported lower earnings and revenues for the most recent quarter than analysts expected. It also gave profit forecasts this quarter, with Wall Street not reaching what it was penciled in.
Disney fell 3% after profits rose, but revenue was short. According to analysts, investors may have been looking for Disney and boosting profit forecasts with a larger amount.
The NFL has also announced that it has signed a non-combined agreement with Disney’s ESPN. This gives the right to distribute NFL networks, NFL fantasy, and red zone channels to sports broadcasters. The NFL will acquire a 10% stake in ESPN in the proposed transaction.
Chip Company Advanced Micro Devices fell 6.6% after its latest quarter profit, consistent with analyst expectations. Analysts said the company’s financial forecast for future results also looked solid, but that may not have been enough for investors after stocks had already risen 44.3% that year.
In the bond market, the Treasury yields are relatively stable.
Treasury yields for 2010 were extended from 4.22% to up to 4.24% in the second half of Tuesday. That’s far below last week’s location. A report on Friday, which is far weaker than expected on the U.S. job market, sparked concerns that Trump’s tariffs are holding back jobs for employers.
The report has a strong bet that Wall Street traders will need to cut interest rates at their next meeting in September. These cuts could raise the prices of the economy and investment, but they could also increase inflation.
In overseas stock markets, indexes rose modestly in Europe and most of Asia.
AP business writers Eurikeyama and Matt Ott contributed.
Original issue: August 6, 2025 10:30am EDT
