Markets Juggle Global Trade Uncertainty with AI Boost

In a session marked by a tug-of-war between gains and losses, the S&P 500 closed slightly higher amid an investor landscape rife with anticipation for forthcoming economic data. The week began with soft inflation figures and a pause in U.S.-China tariffs, fostering initial optimism.

Among global developments, President Donald Trump's Gulf tour resulted in $600 billion in commitments from Saudi Arabia and bolstered U.S. tech stocks with new AI deals in the Middle East. Yet, investors remain cautious, still haunted by uncertainties around global trade policies, lacking final agreements.

This week's limited data releases paved the way for possible market shifts, with the impending Producer Price Index and retail sales reports to further gauge economic resilience. Meanwhile, Fed leaders' indications on inflation painted a murky outlook, adding layers to an already complex economic scenario.

(With inputs from agencies.)