U.S. stocks surged on Friday, with the Dow hitting a record high, following hints from Federal Reserve Chairman Jerome Powell about potential interest rate cuts next month. The Dow climbed 1.9% to 45,631.74 points, the S&P 500 rose 1.5%, and the Nasdaq gained 1.9%.

Powell’s comments at the Jackson Hole symposium indicated a possible shift in monetary policy, boosting investor confidence. Expectations of a rate cut in September rose to 90%, prompting a rally in tech stocks like Tesla, Amazon, and Alphabet. The fear gauge VIX dropped 14.34%, with advancers outnumbering decliners on the NYSE.

The S&P 500 snapped a five-day losing streak, with ten of its sub-sectors in positive territory. Major indices recovered from earlier losses, with no significant economic data released on Friday. For the week, the Dow gained 1.5%, the S&P 500 was up 0.3%, and the Nasdaq rose 0.6%.

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Read more at Nasdaq: Stock Market News for Aug 25, 2025