The U.S. New York stock market extended its gains, driven by expectations of improved corporate earnings and stabilizing Treasury yields. The S&P 500 and Nasdaq indexes both hit record highs, confirming a bullish trend.

■ Closing Results for the 3 Major Indexes

On the 7th (Korean time), the Dow Jones Industrial Average closed at 51,521.28 on the New York Stock Exchange, up 253.38 points (0.49%) from the previous trading day. The large-cap-focused S&P 500 index rose 44.98 points (0.58%) to 7,818.93, while the tech-heavy Nasdaq Composite gained 122.48 points (0.45%) to finish at 27,599.79. Both the S&P 500 and the Nasdaq set new all-time closing highs.

■ Q3 Earnings Season Begins in Earnest... AI Effect in Focus

Market attention is focused on the U.S. corporate third-quarter earnings reports starting in earnest next week. With stock prices already at elevated levels, whether corporate profits can support market expectations is seen as a key variable that will determine the future direction of the stock market.

In particular, artificial intelligence (AI)-related investment is emerging as a key driver of corporate earnings growth. Goldman Sachs projected that third-quarter earnings per share (EPS) for S&P 500 companies will grow 27% year over year. It also suggested that companies directly benefiting from AI infrastructure expansion will generate more than half of the total earnings increase. This analysis indicates that expanding AI investment is having a significant impact not only on the stock prices of some tech stocks but also on earnings growth across major U.S. companies broadly.

■ Stable Rates and Oil Prices Add Upside Momentum

External factors also worked in favor of the stock market. U.S. Treasury yields, which had recently weighed on the stock market, eased somewhat, and international oil prices showed signs of calming, partially relieving pressures on investor sentiment. The New York stock market continued its upward trend by simultaneously reflecting two catalysts: earnings expectations and rate stability.

However, with major indexes already at record levels, whether actual corporate earnings and future outlooks can meet heightened market expectations is expected to determine the next driver of gains.

[This article was written for informational purposes and is not intended to encourage investment. Indexes and forecasts may vary depending on the time of aggregation and the institution, so it is necessary to check the latest data before making investment decisions. AI assistance was used in writing and organizing this article.]