U.S. Stocks Edge Higher at the Open as Research Optimism Counters Nike Slide

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U.S. stocks opened higher Friday morning as easing volatility and supportive research outlooks helped offset a sharp premarket selloff in Nike following its quarterly earnings report.

The Dow Jones Industrial Average rose 156.01 points, or 0.33%, shortly after the opening bell. The S&P 500 added 23.80 points, or 0.35%, while the Nasdaq Composite climbed 117.79 points, or 0.51%, supported by gains in large-cap technology shares. Small-cap stocks also advanced, with the Russell 2000 rising 0.39%.

Market volatility fell sharply at the open, with the CBOE Volatility Index down 7.32% to 16.33, reinforcing a steadier risk backdrop despite company-specific turbulence. In commodities, U.S. crude oil futures rose 0.89% to $56.50 a barrel, while gold slipped 0.07% to $4,361.50. Bitcoin declined 1.27% to $88,026, lagging equity markets early in the session.

Nike weighed on sentiment after the apparel maker reported fiscal second-quarter results that beat earnings and revenue expectations but disappointed investors with continued margin pressure and deepening weakness in Greater China. Shares fell roughly 11% in premarket trading, hovering near $58.

Nike posted earnings per share of $0.53, well ahead of consensus expectations near $0.38, on revenue of $12.43 billion, topping estimates of $12.22 billion and rising 1% from a year earlier. North America remained a bright spot, with revenue climbing 9% to $5.63 billion, while wholesale revenue rose 8% to $7.5 billion. Those gains were overshadowed by a 17% decline in Greater China revenue to $1.42 billion, underscoring persistent challenges in the region.

Beyond Nike, research-driven optimism helped stabilize early trading. In a consumer internet outlook research note, Wedbush described 2025 as a strong year for the sector, with average returns of roughly 23% across its coverage universe, outpacing the Nasdaq. Looking ahead to 2026, Wedbush said investors are likely to differentiate more sharply between winners and losers as debates intensify around artificial-intelligence monetization, autonomous-vehicle disruption, and rising investment cycles. The firm named Amazon, Meta Platforms, Mercado Libre, and DoorDash as its top picks, citing resilient demand trends and expanding total addressable markets.

In autos and mobility, Wedbush also raised its 12-month price target on Rivian Automotive to $25 from $16, maintaining an Outperform rating and characterizing 2026 as a potential inflection year. Analysts pointed to the planned launch of Rivian’s R2 vehicle platform, improving cost discipline, and growing software revenue as key drivers. Wedbush highlighted Rivian’s plans to develop an in-house AI chip to replace Nvidia GPUs, a move expected to save hundreds of dollars per vehicle and improve unit economics over time.

Macro commentary from Apollo Global Management’s chief economist, Torsten Slok, was also circulating among investors early Friday, regarding Earth's population and potential impact on future growth.

Taken together, early trading reflected a market willing to absorb high-profile earnings disappointments while leaning on declining volatility and selective research optimism. Investors appear focused on positioning for 2026 themes even as near-term corporate challenges remain unresolved.