NEW YORK, New York - U.S. stocks closed higher Friday with all the major indices capping weekly gains in the process.

"Markets are repricing the stagflation risk right now, what was once the base case for folks who were sure that tariffs were going to shoot inflation skyward immediately, really hasn't been supported in the data," Jamie Cox, managing partner at Harris Financial Group told CNBC Friday. "The U.S. consumer may say he/she is worried, but they aren't spending like they are. Consumption trumps all once you filter out all the noise."

Following are Friday's closing quotes for the key U.S. indices:

• S&P 500: Rose 41.45 points, or 0.70 percent, to close at 5,958.38, with trading volume reaching 2.891 billion shares.

• Dow Jones Industrial Average: Gained 331.99 points, or 0.78 percent, settling at 42,654.74, as 610.479 million shares changed hands.

• NASDAQ Composite: Advanced 98.78 points, or 0.52 percent, finishing at 19,211.10, with a hefty volume of 9.535 billion shares traded.

Market Drivers

The rally was fueled by renewed optimism over corporate earnings and easing inflation concerns. Technology and financial stocks led the gains in the U.S.

Investors are now looking ahead to next week's economic data, including key employment reports, for further clues on the Federal Reserve's interest rate path.

Dollar Mixed in Friday's Forex Trading as Euro, Pound Slip While Swiss Franc Weakens

Friday's foreign exchange market saw the U.S. dollar trade unevenly against major currencies, with notable declines in the euro and British pound, while the Swiss franc posted significant losses.

Key FX Moves

• EUR/USD: The euro fell 0.32 percent to 1.1147, retreating further from recent highs.

• GBP/USD: The British pound dipped 0.23 percent to 1.3274, pressured by shifting Bank of England rate expectations.

• USD/JPY: The dollar gained 0.22 percent to 145.96 yen, nearing key resistance levels amid steady U.S. Treasury yields.

• USD/CHF: The Swiss franc weakened sharply, with the dollar rising 0.51 percent to 0.8391, its strongest level in weeks.

• USD/CAD: The greenback climbed 0.19 percent to 1.3983, supported by softer oil prices weighing on the loonie.

• AUD/USD: The Australian dollar was nearly flat at 0.6403, down just 0.02 percent, as risk sentiment remained muted.

• NZD/USD: The New Zealand dollar inched up 0.04 percent to 0.5876, stabilizing after recent volatility.

Market Drivers

• The euro's decline reflected concerns over Eurozone growth and political uncertainty in France.

• The yen's slump continued as the Bank of Japan maintained its ultra-loose policy stance.

• The Swiss franc's drop surprised traders, potentially linked to intervention speculation or shifting safe-haven flows.

Outlook

With no major U.S. data Friday, currency moves were driven by technical repositioning ahead of next week's Fed speeches and global PMI releases. Analysts warn of potential volatility if central bank expectations shift further.

Global Markets Wrap Up Friday with Mixed Results

Friday's trading session saw a mixed performance across global indices, with several major benchmarks posting gains while others edged lower. Here's a detailed look at Friday's closing figures:

Canadian Market Gains

• S&P/TSX Composite: Added 74.45 points, or 0.29 percent, closing at 25,971.93, with 253.017 million shares traded.

UK and Europe

• FTSE 100 (UK): Rose to 8,684.56, up 50.81 points or 0.59 percent.

• DAX (Germany): Climbed to 23,767.43, gaining 71.84 points or 0.30 percent.

• CAC 40 (France): Advanced to 7,886.69, adding 33.22 points or 0.42 percent.

• EURO STOXX 50: Increased to 5,427.53, up 15.45 points or 0.29 percent.

• Euronext 100: Closed at 1,596.94, rising 6.59 points or 0.41 percent.

• BEL 20 (Belgium): Jumped to 4,447.35, surging 45.07 points or 1.02 percent.

Asia-Pacific, and Southeast Asia

• Hang Seng (Hong Kong): Dipped to 23,345.05, down 108.11 points or 0.46 percent.

• STI (Singapore): Inched up to 3,897.87, gaining 5.93 points or 0.15 percent.

• S&P/ASX 200 (Australia): Reached 8,343.70, up 46.20 points or 0.56 percent.

• All Ordinaries (Australia): Closed at 8,579.90, rising 50.10 points or 0.59 percent.

• S&P BSE SENSEX (India): Slipped to 82,330.59, losing 200.15 points or 0.24 percent.

• IDX Composite (Indonesia): Gained to 7,106.53, up 66.36 points or 0.94 percent.

• FTSE Bursa Malaysia KLCI: Eased to 1,571.75, down 1.27 points or 0.08 percent.

• S&P/NZX 50 (New Zealand): Fell to 12,786.79, dropping 94.03 points or 0.73 percent.

• KOSPI (South Korea): Edged up to 2,626.87, adding 5.51 points or 0.21 percent.

• TWSE (Taiwan): Rose to 21,843.69, up 113.44 points or 0.52 percent.

• Nikkei 225 (Japan): Closed nearly flat at 37,753.72, dipping just 1.79 points or 0.00 percent.

• SSE Composite (China): Declined to 3,367.46, losing 13.36 points or 0.40 percent.

Middle East

Most Middle East markets were closed on Friday and will re-open on Sunday.

Africa

• Top 40 USD Net TRI (South Africa): Closed at 5,049.60, up 5.66 points or 0.11 percent.

Market Sentiment

European markets showed broad strength, led by Belgium's BEL 20, which surged over 1 percent. Meanwhile, Asian markets were mixed, with Indonesia's IDX Composite among the top performers, while New Zealand's NZX 50 and Hong Kong's Hang Seng lagged.

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