U.S. stocks closed higher on Friday, recovering from a volatile start to the week as gains in technology and AI-related shares outweighed sharp declines in consumer stocks such as Nike. Major indexes finished in positive territory, supported by renewed optimism around artificial intelligence and expectations of future Federal Reserve interest rate cuts.
Technology megacaps extended Thursday’s rally after Micron Technology delivered upbeat forecasts that reassured investors about long-term AI demand. Micron shares surged 7% to a record closing high, while Nvidia climbed 3.9% following news that the U.S. government launched a review that could allow shipments of Nvidia’s second-most powerful AI chip to China. The development helped ease concerns around export restrictions and boosted sentiment across semiconductor stocks.
Oracle shares jumped 6.6% after ByteDance, TikTok’s Chinese parent, signed binding agreements to transfer control of TikTok’s U.S. operations to a group of investors that includes Oracle, strengthening the company’s position in cloud computing and enterprise technology. Market participants noted that AI-linked stocks had recently faced pressure due to valuation concerns, but Micron’s results encouraged investors to rotate back into the sector.
The Dow Jones Industrial Average rose 183 points, or 0.38%, while the S&P 500 gained 0.88% and the Nasdaq Composite advanced 1.31%. For the week, the S&P 500 and Nasdaq posted modest gains, though the Dow finished lower. Seven of the S&P 500’s sectors ended Friday higher, led by technology, while utilities and consumer staples lagged.
Consumer-focused stocks weighed on the market, with Nike plunging 10.5% after reporting another decline in gross margins driven by weak China sales and product restructuring efforts. Lamb Weston sank nearly 26% after warning of softer demand, and Conagra slipped following disappointing earnings.
Investors also reacted to data showing U.S. consumer prices rose less than expected in November, reinforcing bets on at least two interest rate cuts next year. However, analysts cautioned that volatility may increase after the holidays, especially following Friday’s “triple witching” options expiration.


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