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S&P 500 Posts Weekly Gain on Tariff Optimism, Better-Than-Expected Earnings

4:45 PM ET 10/17/2025 - MT Newswires

The S&P 500 ended Friday's session at 6,664.01 and is down 0.4% for the month, but up 13% for the year.

US stocks fell in the previous week as Trump said he was considering "a massive increase" in tariffs on Chinese products coming into the US. This Friday, stocks moved in the opposite direction as the U.S. president said the additional tariffs were "not sustainable." The comments provided some relief at a time when tariff worries have been weighing on investor sentiment.

Also giving the market a lift, Q3 earnings reports began coming in largely above analysts' mean estimates. JPMorgan Chase (JPM), Goldman Sachs Group (GS), Wells Fargo (WFC) and Johnson & Johnson (JNJ) were among the companies that released better-than-expected quarterly results this week.

All of the S&P 500's sectors rose on a weekly basis. Communication services had the largest percentage increase, up 3.6%, followed by a 3.4% climb in real estate, a 2.1% rise in technology and a 2% advance in consumer discretionary. The slimmest gain was recorded in financials, which edged up just 0.02%.

Warner Bros. Discovery (WBD) was among the best performers in communication services, rising 6.4% amid a New York Post report that Paramount Skydance (PSKY) CEO David Ellison could submit an official merger bid for Warner Bros. Discovery in the coming days. Ellison is engaging with Apollo Global Management (APO) to finance any bid, according to the report.

Prologis (PLD) shares had the largest weekly percentage increase in the real estate sector, jumping 12% as the company reported Q3 core funds from operations and revenue above analyst estimates and raised its 2025 guidance.

Micron Technology (MU) was among the top performers in the technology sector. Shares rose 11% amid reports the company's planned $100 billion semiconductor megafab in Onondaga County will be linked to a power substation following approval by New York state regulators of a new underground transmission line.

In the financial sector, gainers were nearly canceled out by decliners. The upside was led by shares of American Express (AXP), which rose 9.6% as the payments company lifted the bottom end of its full-year outlook after third-quarter results surpassed market estimates amid card member spending growth.

Decliners in the financial sector included shares of Progressive (PGR), whose third-quarter profit missed Wall Street's expectations as its combined ratio deteriorated. The insurance company's stock fell 6% on the week.

Many large companies are expected to release quarterly results next week, including Tesla (TSLA), Netflix (NFLX), GE Aerospace (GE), Coca-Cola (KO), Philip Morris International (PM), International Business Machines (IBM), T-Mobile US (TMUS), Intel (INTC), Union Pacific (UNP) and Procter & Gamble (PG).

Economic data may be light if the US government shutdown continues. The shutdown has caused a delay in closely watched government data releases including the September jobs report.