Stock Market Recap: Nasdaq Achieves Best Week of 2025, Dow and S&P 500 Continue Upward Trend
By Rian Howlett, Karen Friar, and Ines Ferré
Updated: February 14, 2025
In a week marked by significant economic updates, the U.S. stock market showed resilience as key indices posted notable gains. The Nasdaq Composite concluded the week on a high note, logging its best weekly performance of 2025, while the Dow Jones Industrial Average and the S&P 500 both marked their third consecutive weekly gains, albeit with minor fluctuations on Friday.
Nasdaq Hits Record High
The Nasdaq 100 index closed up approximately 0.4% on Friday, capping off a remarkable week where several technology stocks surged. This performance brought the index to a record high, showcasing the continued strength of the tech sector amid mixed economic signals. The S&P 500, however, experienced a slight decline, dipping just below the flatline, while the Dow Jones fell almost 0.3%, following a strong rally the previous day.
Economic Data and Market Response
The week’s trading activities were overshadowed by significant updates in retail sales and inflation rates. Data released on Friday revealed that retail sales fell 0.9% in January, marking the largest monthly drop in a year and significantly below the anticipated 0.2% decline. This downturn raised concerns among investors, especially after two hot inflation readings earlier in the week that cast doubt on hopes for interest rate cuts.
Investor attention has been particularly focused on a series of policy developments under President Donald Trump, including the introduction of 25% tariffs on steel and aluminum imports, ongoing peace negotiations between Ukraine and Russia, and a review of terms related to the CHIPS Act, which incentivizes domestic semiconductor manufacturing.
Despite the mixed signals from the economic diet, the stock market managed to maintain a positive trajectory for the week, highlighted by Thursday’s rally following a delay in the implementation of reciprocal tariffs. However, President Trump indicated new tariffs on automobiles would be unveiled around April 2, which kept investors on edge.
Notable Stock Performances
This week, major technology companies led the market’s charge. Nvidia saw a substantial increase, with shares projected to gain 6% after revealing a change in its equity holdings. Apple also outperformed its peers within the "Magnificent Seven" group of tech stocks, climbing more than 7% over the past five trading days. Meanwhile, Meta Platforms recorded impressive year-to-date gains, with shares reaching all-time highs on Friday.
In contrast, shares of Moderna took a hit after the vaccine maker reported an unexpected earnings loss, contributing to a decline in its stock price.
Looking Ahead
As markets prepare for a break, the stock market will be closed on Monday in observance of Presidents’ Day, with trading resuming on Tuesday. Analysts will be closely monitoring any forthcoming updates from Washington, particularly regarding trade policies and economic indicators as 2025 unfolds.
This week showcased the blend of resilience and uncertainty that continues to characterize the U.S. stock market, leaving investors cautiously optimistic about the months ahead.
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