Treasury Yields Soar as Stocks Rise on Earnings Beat

Stocks rose on Friday as market participants weighed mixed reactions to Big Tech earnings reports and surging Treasury yields.

The Dow Jones Industrial Average gained 0.5% at 52,485, while the S&P 500 increased by 0.7% to 7,489. The tech-heavy Nasdaq Composite had a stronger gain of 1.0% at 25,373.

A key factor behind the market's volatility was the rise in Treasury yields, with the 2-year yield jumping 3.9 basis points to 4.268%. The 10-year and 30-year bond yields also reached their highest levels since 2007, increasing by 4.3 basis points to 4.706% and 4.0 basis points to 5.247%, respectively.

Amazon's earnings report was a standout, with the company surging 15.3% after beating expectations on strong revenue growth in its cloud segment. However, Apple slumped 7.4% due to weak current-quarter revenue guidance despite higher-than-expected fiscal third-quarter earnings and revenue.