Nasdaq Achieves Best Weekly Performance of 2025 as Dow and S&P 500 Extend Gains

February 14, 2025

In a week marked by significant economic data and policy announcements, the stock market closed on a mixed note this Friday. The Nasdaq Composite Index achieved an impressive milestone, recording its best weekly performance of 2025, while both the Dow Jones Industrial Average and the S&P 500 also managed to notch their third consecutive weekly gains.

Market Overview

The Nasdaq 100 (^NDX) reached an all-time high, closing 0.4% higher, which capped off a week filled with tariff hikes, inflation data, and disappointing retail sales figures. In contrast, the S&P 500 (^GSPC) experienced a slight decline, finishing down by 0.07%, while the Dow (^DJI) fell approximately 0.3% following a strong rally the previous day.

Throughout the week, stock prices were notably influenced by economic indicators as retail sales logged their largest monthly drop in a year, plunging 0.9% in January—well below economists’ expectations of a 0.2% decrease. The report contributed to an environment of caution, as investors remained focused on inflation concerns after two strong inflation reports raised doubts about the potential for future interest rate cuts.

Policy Changes Impacting Market Sentiment

The markets took a moment to reassess following a series of policy shifts from President Donald Trump. Key announcements included a 25% tariff imposed on steel and aluminum imports, active peace talks regarding Ukraine, and a reassessment of the terms for the CHIPS Act—legislation aimed at boosting domestic semiconductor production.

Despite the challenges, Wall Street rallied on Thursday when a delay in the implementation of reciprocal tariffs was announced. Looking ahead, President Trump indicated that new tariffs on automobiles could soon be unveiled by April 2, further shaping market expectations.

Notable Stock Movements

Several stocks stood out amid the mixed market performance on Friday. Shares of Airbnb (ABNB) soared after the travel provider reported earnings that exceeded analyst forecasts. Meanwhile, GameStop (GME) saw its stock rise amid speculation that the company may venture into Bitcoin. Conversely, shares of Moderna (MRNA) fell sharply after the vaccine manufacturer reported a larger than anticipated earnings loss, a setback for the company still navigating challenges in the healthcare sector.

Focus on the Tech Sector

The technology sector was a significant driver behind the week’s performance, with giants like Nvidia (NVDA), Apple (AAPL), and Meta Platforms (META) closing the week on a positive note. Nvidia announced a notable change in its equity holdings, resulting in a projected 6% gain for the week. Apple’s stock outperformed other "Magnificent Seven" counterparts with a weekly gain of over 7%. Meta also continued its strong performance, becoming the top year-to-date performer as its stock reached new all-time highs, gaining over 3% during the week.

Looking Ahead

With next Monday marking a closure of the markets in observance of President’s Day, traders will have time to digest the week’s economic news and anticipate upcoming market trends. The major averages will resume trading on Tuesday, allowing investors to reassess their strategies in light of the continuing shifting landscape amidst economic and political developments.

As market dynamics evolve, maintaining vigilance will be key for investors navigating potential opportunities and challenges ahead.