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Small Caps, Silver Rally As Inflation Cools Further: What's Moving Markets Friday?

After Thursday's broad-based tech selloff, Wall Street staged a rebound as a softer-than-expected inflation print reinforced expectations for interest-rate cuts during the year.

The annual inflation rate slowed from 2.7% to 2.4% in January, undershooting forecasts of 2.5% and marking the lowest reading since May 2025.

Core inflation — which strips out food and energy — also cooled, easing from 2.7% to 2.5% year over year, the lowest level since March 2021.

Small caps led the advance. The Russell 2000, a benchmark for small-cap stocks, climbed nearly 1.8%, outperforming its large-cap peers.

In commodities, gold jumped 2% to trade above $5,000, fighting to end the week in positive territory. Silver surged almost 4%, topping $77 per ounce.

Bitcoin (CRYPTO: BTC) also caught a bid, rallying 4.6% and positioning to snap a four-day losing streak.

Corporate earnings were broadly supportive. Applied Materials Inc. (NASDAQ:AMAT) soared 9% after delivering upbeat quarterly results. Arista Networks Inc. (NYSE:ANET) also gained 6%, Vertex Pharmaceuticals Inc. (NASDAQ:VRTX) advanced 7.2%, Airbnb Inc. (NASDAQ:ABNB) added 4%, and Coinbase Global Inc. (NASDAQ:COIN) surged 17%.

Rivian Automotive Inc. (NASDAQ:RIVN) jumped 27% — marking the strongest session in the company's history — after reporting a narrower-than-expected quarterly loss.

Elsewhere, DexCom Inc. (NASDAQ:DXCM) and Roku Inc. (NASDAQ:ROKU) each gained 9%, while Wynn Resorts Ltd. (NASDAQ:WYNN) climbed 5%.

On the downside, Cameco Corp. (NYSE:CCJ) slipped 3% despite sharply beating estimates. DraftKings Inc. (NASDAQ:DKNG) and Pinterest Inc. (NYSE:PINS) tumbled 12% and 18%, respectively.

Friday’s Performance In Major US Indices, ETFs

Major IndicesPrice1-day %change
Russell 20002,663.791.8%
Nasdaq 10024,894.960.8%
S&P 5006,879.940.7%
Dow Jones49,733.760.6%
Updated by 1:30 p.m. ET

According to Benzinga Pro platform:

  • The Vanguard S&P 500 ETF (NYSE:VOO) rose 0.6% to $630.40.
  • The SPDR Dow Jones Industrial Average (NYSE:DIA) moved 0.5% to $497.10.
  • The tech-heavy Invesco QQQ Trust Series (NASDAQ:QQQ) gained 0.8% to $605.60.
  • The iShares Russell 2000 ETF (NYSE:IWM) traded up 1.8% at $264.21.
  • The Utilities Select Sector SPDR Fund (NYSE:XLU) outperformed, up 2.9%; the Financial Select Sector SPDR Fund (NYSE:XLF) lagged, down 0.3%.

Russell 1000’s Top Gainers On Friday

Stock Name% Change
Rivian Automotive, Inc.+26.83%
Coinbase Global, Inc.+17.04%
Procore Technologies, Inc. (NYSE:PCOR)+11.54%
Fermi Inc. (NASDAQ:FRMI)+11.23%
HubSpot, Inc. (NYSE:HUBS)+9.55%

Russell 1000’s Top Losers On Friday

Stock Name% Change
Bright Horizons Family Solutions (NYSE:BFAM)-21.32%
Pinterest, Inc. -17.55%
Fortune Brands Innovations -15.16%
DraftKings Inc. -13.18%
Ryan Specialty Holdings, Inc. (NYSE:RYAN)-12.46%

Image: Shutterstock

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