Wall Street experienced significant gains Thursday as declining oil prices and lower bond yields provided relief to investors. The Dow Jones Industrial Average jumped 1.7% to reach a new record high, while the S&P 500 climbed 0.4% for its tenth positive day in the past eleven trading sessions, recovering from Wednesday’s drop from its peak. The Nasdaq composite edged down 0.1%. Banking stocks and smaller companies drove much of the rally after crude oil dropped nearly 3% and Treasury yields decreased. These gains offset declines in several major artificial intelligence stocks, which fell despite strong earnings from Broadcom.
In a significant legal decision, the Supreme Court ruled 8-1 in favor of the Trump administration regarding federal oversight of telecommunications firms. The ruling Thursday maintained a crucial enforcement mechanism for the Federal Communications Commission. Verizon and AT&T had contested multi-million dollar fines levied after regulators found the companies failed to protect customer location information. The telecommunications giants argued the FCC’s procedures violated constitutional standards and sought to expand recent Supreme Court decisions that have curtailed federal agency authority. However, the court rejected their arguments, even as the administration indicated companies wouldn’t need to immediately pay the penalties.
A dangerous agricultural pest has returned to threaten America’s $113 billion cattle sector for the first time in over fifty years. The New World screwworm fly, whose flesh-consuming larvae pose serious risks to livestock, has been detected in south Texas. Officials confirmed the infestation in a three-week-old calf located in La Pryor, roughly 100 miles southwest of San Antonio. Federal and state authorities had been working to prevent the parasite from entering Texas following its emergence in southern Mexico in late 2024. Previously, the pest had been confined to Panama for many years. The United States eliminated this threat in the early 1970s through a program that bred sterile male flies and released them from aircraft to mate with wild females, and millions are now being deployed weekly in this renewed effort.
President Donald Trump unveiled a nearly $700 million initiative Thursday aimed at revitalizing America’s coal sector. The plan would provide funding for coal-fired power facilities and coal export operations. According to a White House official, the administration will invoke Cold War-era national defense legislation to support thirteen coal plants nationwide and assist in constructing new facilities in Alaska and West Virginia. These would mark the first new American coal plants built since 2013. The funding will also help reactivate a coal plant in Maryland and support development of a long-delayed coal export facility in Oakland, California. Environmental groups criticized the proposal, stating it would “put polluters first” and endanger public health.
Tyco Fire Products has reached a $10 million agreement with Wisconsin to resolve claims over PFAS chemical contamination that affected the state’s water supply for decades. The state’s governor and attorney general, both Democrats, revealed the settlement Thursday. Gov. Tony Evers described the agreement as a “historic and important milestone” in efforts to secure clean water access. The resolution addresses contamination from firefighting foam that polluted northeast Wisconsin’s water systems. This settlement occurs as communities nationwide grapple with PFAS pollution. These substances are commonly called “forever chemicals” due to their persistence in groundwater and environmental systems.
American unemployment benefit applications reached their highest point in four months last week, though layoffs continue at historically low levels despite economic concerns related to the Iran conflict. Applications for the week ending May 30 rose by 13,000 to 225,000, the Labor Department announced Thursday. This represents the peak level since early February, before American and Israeli military actions against Iran began, yet remains at historically modest levels. Weekly unemployment filings serve as an indicator of American layoffs and provide near real-time insight into employment market conditions.
The Supreme Court unanimously supported a broad interpretation of Securities and Exchange Commission powers to recover fraudulent profits Thursday. The justices ruled against Ongkaruck Sripetch, who had pleaded guilty to selling unregistered securities in a high-risk penny stock scheme. The Los Angeles resident had contested a court directive to repay over $3 million, including interest. The central question was whether the SEC needed to demonstrate that individual investors suffered losses from purchasing the securities. The Supreme Court determined such proof was unnecessary.
Indian Prime Minister Narendra Modi conducted discussions with Venezuela’s acting President Delcy Rodriguez Thursday as India has boosted Venezuelan crude oil purchases in recent months. Rudrendra Tandon, a senior foreign ministry official, indicated the talks emphasized strengthening energy partnerships as New Delhi aims to expand relationships with the oil-rich country following global energy supply disruptions from the Iran war. Venezuela has emerged as India’s third-largest crude oil provider in recent weeks. Rodriguez plans to tour Indian energy, pharmaceutical, and automotive facilities during her visit.
The average American long-term mortgage rate decreased this week from its nine-month peak, providing welcome news for potential homebuyers. Mortgage purchaser Freddie Mac reported Thursday that the standard 30-year fixed mortgage rate dropped to 6.48% from the previous week’s 6.53%. The current average stays below the 6.85% rate from one year ago. Declining mortgage rates enhance homebuyers’ purchasing capacity. Multiple factors influence mortgage rates, including Federal Reserve policy decisions and bond market investors’ economic and inflation expectations.
