LIVE MARKETS-Wall Street indexes rise with megacaps in charge

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WALL STREET INDEXES RISE WITH MEGACAPS IN CHARGE

Wall Street's major indexes are advancing on Friday with the biggest boosts from some of the usual megacap suspects even as the latest earnings reports came in as a very mixed bunch.

Investors are eyeing a potentially more dovish Federal Reserve after U.S. President Donald Trump made a temporary pick for a Federal Reserve governor post. Trump has also been working on choosing a successor to Fed Chair Jerome Powell following months of criticism over Powell's refusal to cut rates. But Powell's term doesn't end until mid-May 2026.

Traders are now placing a 90% probability on the Fed cutting rates by 25 basis points in September and 59% chance for a second cut in October. There is a 47% chance of a third cut in December, according to CME Group's FedWatch tool.

J.P. Morgan is more dovish, saying it expects the Fed to cut interest rates by 25 basis points at each of its next four meetings, bringing the policy rate to 3.5%, it said in a note on Thursday, as the labor market and broader economy show signs of slowing.

On the earnings front, Pinterest PINS.N shares are plunging 8% after the image-sharing platform warned of weaker ad spending in the U.S., its biggest market, due to the removal of the "de minimis" trade loophole.

Shares of cloud-based ad tech firm Trade Desk TTD.O are down 38% and set for their biggest single-day decline on record after CEO Jeff Green warned about ongoing tariff uncertainty pressuring some of the world's largest advertisers. Also in the online world, Yelp YELP.N is down ~8% after its quarterly results.

In contrast though, Tripadvisor TRIP.O is rising 16%, while Expedia EXPE.O is adding 5%, after these companies released results.

The S&P 500's .SPX biggest boosts on the day are from Nvidia NVDA.O, Apple AAPL.O, Alphabet GOOGL.O, Tesla TSLA.O and Microsoft MSFT.O.

Here is your morning snapshot from 10:35 a.m. ET/1435 GMT:

(Sinéad Carew)

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