The S&P 500 and Nasdaq edged higher at the close on Friday, boosted by strong earnings and lower crude prices, turning the page on their biggest monthly percentage gains in years.

The S&P 500 joined the Nasdaq in positive territory, with tech strength putting the latter ahead. Both indexes logged their sixth consecutive weekly advances, their longest streak of weekly gains since October 2024.

As May begins, the stock market begins a historically weak six-month stretch. From 1945 to April 2026, the S&P 500 has gained an average of 2% from May to October, according to data from Fidelity. That compares with an average increase of 7% from November to April.

Capping off an important week for corporate earnings, in which reporting companies account for more than two-fifths of the S&P 500’s total market capitalization, analysts now see overall first-quarter earnings growth of 27.8% year-over-year, according to LSEG I/B/E/S.

Five companies in the Magnificent Seven group of artificial intelligence-related stocks reported this week, and investors focused on the timing and extent to which big investments in the nascent technology begin to pay off.

That’s an 11.7 percentage point increase from the estimate a week ago and marks the biggest earnings growth since the fourth quarter of 2021.

According to LSEG, of the 314 companies that posted results, 83% beat earnings estimates and 78% reported better-than-expected revenue.

“Today’s action is really the cherry on top of another solid week for investors as the earnings season continues to be stronger than expected,” said Ryan Detrick, chief market strategist at Carson Group in Omaha. “At the same time, we had the second-best April for the S&P 500 since 1950.”

“It looks like that upward momentum may very well continue into May,” Detrick added.

Geopolitics, crude prices and the economy

Progress toward a peaceful resolution of the US-Israeli war on Iran has stalled, the closure of the Strait of Hormuz has added pressure on energy prices and heightened inflationary concerns.

But front-month crude futures eased after reports that Iran had submitted a new proposal for talks with Washington.

“Investors price in how long they expect supply disruptions to last, and then distinguish who’s got the most sensitivity to that disruption,” said Tom Heinlin, national investment strategist at US Bank Wealth Management in Minneapolis.

Economic data showed U.S. factory activity expanded for a fourth straight month in April, but the price-paid component — a predictor of inflation — fell to its warmest level in four years, according to the Institute for Supply Management.

According to preliminary data, the S&P 500 rose 20.46 points, or 0.28%, to close at 7,229.47 points, while the Nasdaq Composite gained 217.67 points, or 0.87%, to close at 25,109.98. The Dow Jones Industrial Average was down 155.67 points, or 0.31%, at 49,496.47.

Shares of Apple rose after the company provided solid sales forecasts for its flagship iPhone 17 and MacBook Neo amid strong demand.

Atlassian shares rose after the enterprise software firm raised its forecast.

Peers Salesforce and ServiceNow also gained ground.

Roblox slipped following a cut in its annual bookings forecast. Reddit bounced after upbeat quarterly revenue forecast.

Exxon Mobil’s quarterly profit was hit by disruptions in the Middle East, while Chevron’s earnings beat expectations but overall profit was the lowest in five years. Both supermajors closed lower.