US Stocks Hit Fresh Highs on Strong Earnings and Strait of Hormuz Hopes

The US stock market hit new highs for a second consecutive day, driven by strong corporate earnings and hopes for the reopening of the Strait of Hormuz. The S&P 500 rose 0.57% to 7,782, setting an intraday record, while the Dow Jones Industrial Average gained 1.1% to reach a fresh high for the second straight day. The Nasdaq Composite added 0.4%, as semiconductor stocks were mixed.

Nvidia led the gains in semiconductors with a rise of over 4%, while Advanced Micro Devices (AMD) fell 5% despite beating analyst estimates on earnings. Eli Lilly & Co. jumped 7% after raising its full-year sales and profit outlook, driven by surging obesity-drug sales.

Despite falling oil prices, the market remained resilient, with 90% of US companies reporting results above estimates so far this quarter. Keith Lerner of Truist Advisory Services attributed the strong earnings to the economy's continued resilience and broadened market participation.