U.S. stocks ended sharply higher on Friday, with tech stocks making a solid rebound after suffering for several days at a stretch, while Bitcoin recovered to some extent following a more than 50% decline in its market cap since hitting an all-time high three months back. All three major indexes ended in positive territory, with the Dow closing above the 50,000 mark for the first time.
How Did The Benchmarks Perform?
The Dow Jones Industrial Average (DJI) jumped 2.5% or 1,206.95 points, to finish at 50,115.67.
The S&P 500 rose 2%, to close at 6,932.30 points. Tech, industrials, materials and energy stocks were the biggest gainers. Friday’s jump helped the index bounce back into positive territory for 2026.
The Technology Select Sector SPDR (XLK) gained 4.1%. The Industrials Select Sector SPDR (XLI) rose 2.9%, while the Materials Select Sector SPDR (XLB) and Energy Select Sector SPDR (XLE) added 2% each. The Health Care Select Sector SPDR (XLV) climbed 1.9%. 10 out of the 11 sectors of the benchmark index ended in positive territory.
The tech-heavy Nasdaq rose 2.2%, to end at 23,031.21 points.
The fear gauge, CBOE Volatility Index (VIX), was down 18.42% to 17.76. Advancers outnumbered decliners on the S&P 500 by a 4-to-1 ratio. A total of 20.1 billion shares were traded on Friday, lower than the last 20-session average of 20.5 billion.
On the Nasdaq, there were 214 new 52-week highs and 181 new lows. On the S&P 500, there were 88 new 52-week highs and 13 new lows.
Tech Stocks Bounce Back
Tech stocks made a solid rebound on Friday after witnessing a massive selloff over the past several sessions. Investors had been moving out of riskier assets for the past few days. However, they returned on Friday to buy some of the big and popular tech names on the dip.
Oracle Corporation (ORCL) and Palantir Technologies Inc. (PLTR) were the biggest gainers on Friday, as investors returned to the big names at lower prices. Shares of Oracle Corporation and Palantir Technologies jumped 4.7% and 4.5%, respectively. Palantir has a Zacks Rank #2 (Buy). You can see the complete list of today's Zacks #1 Rank (Strong Buy) stocks here.
Meanwhile, shares of Amazon.com, Inc. (AMZN) fell 5.6% after the company said that it plans a $200 billion, nearly 50%, jump in capital expenditure in 2026, as the race for a firm footing in the artificial intelligence (AI) space intensifies.
Concerns have been growing over the sky-high valuations and potential of AI stocks, which saw tech stocks taking a beating in the last few sessions.
However, investors had a change of mind on Friday and went back to the lucrative tech stocks, which drove the broader market rally.
Bitcoin, which has been taking a hit lately, also tried to regain some of the lost ground. The cryptocurrency gained nearly 10% to hit a session high of $71,458.01 after falling as much as $61,000 in recent days. Bitcoin had lost more than 50% since hitting an all-time high of $126,000 in October.
Economic Data
In economic data released on Friday, the U.S. consumer sentiment rose to a six-month high in February despite the rising cost of living and concerns over a shrinking labor market. The University of Michigan reported that the Consumer Sentiment Index rose to 57.3 in February, from a final reading of 56.4 in January, hitting its highest level since August 2025.
Weekly Roundup
Despite Friday’s surge, the S&P 500 ended the week down 0.1%. The Dow gained 2.5%, while the Nasdaq declined 1.8% in the week.
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Amazon.com, Inc. (AMZN): Free Stock Analysis Report Oracle Corporation (ORCL): Free Stock Analysis Report Palantir Technologies Inc. (PLTR): Free Stock Analysis ReportThis article originally published on Zacks Investment Research (zacks.com).
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