01:50 PM EDT, 04/11/2025 (MT Newswires) -- US equity indexes rose in midday trading Friday after government bond yields cooled off and the dollar recovered some losses.

The Nasdaq rose 1% to 16,546.4, with the S&P 500 up 0.9% to 5,314.9 and the Dow Jones Industrial Average 0.8% higher at 39,923.6. The trio traded lower earlier in the session. All sectors except consumer discretionary and real estate rose intraday, with materials and technology emerging as the top gainers.

US Treasury yields rose intraday. The 30-year yield was up 3.8 basis points to 4.89% after touching an intraday high of 4.99%. The 10-year traded 10.7 basis points higher at 4.50%, off its session highs of around 5.58%. Deutsche Bank said the 30-year yield jumped 13.3 basis points on Thursday, set for its biggest weekly gain since the 1980s.

The US Dollar Index, a gauge of the greenback's performance against the world's major currencies, including the euro, was down 0.7% to 100.13 after declining to over 99 in the morning session. Deutsche Bank said the dollar saw a "historic weakening" against the euro on Thursday while gold traded at an all-time high the following day. Gold futures were up 2.1% to $3,244.00 per ounce intraday after scaling a fresh peak of $3,262.30 earlier in the session.

"Markets continue to reassess how much of the historical premium for US assets stemming from American exceptionalism is still justified under the radical vision and volatile policy of the new US administration," Jim Reid, head of global fundamental credit strategy at Deutsche Bank, said in the note.

China, the world's second-largest economy, said Friday it raised import levies on the US to 125% from 84%, retaliating against President Donald Trump's decision to jack up trade tariffs on the Asian powerhouse. Trump ordered lifting duties on imports from China to 125%, which increases to 145% after including the fentanyl levies. Simultaneously, Trump announced a 90-day pause for reciprocal tariffs that his administration imposed on all the other US trading partners.

China's Customs Tariff Commission of the State Council said Friday it will "adjust" on April 12 additional tariffs on imported goods originating in the US. "The imposition of abnormally high tariffs on China by the US is a serious violation of international economic and trade rules, as well as basic economic laws and common sense, and is completely unilateral bullying and coercion," the commission said.

In economic news, the US Producer Price Index fell 0.4% in March following a 0.1% gain in February, versus a 0.2% increase expected in a survey compiled by Bloomberg. After excluding food and energy prices, core PPI declined 0.1%, in contrast with the 0.3% gain expected and following a 0.1% gain in the previous month. PPI was up 2.7% year-over-year in March, while core PPI rose by 3.3% year-over-year, slower than their respective 3.2% and 3.5% February rates.

Morgan Stanley ( MS ) said it is now forecasting core PCE inflation, which the Federal Reserve prefers to use to gauge price pressures, at 0.08% month-over-month in March. It sees the headline rate at 0.00%. Before the PPI release, the investment bank estimated 0.14% core PCE inflation, according to a note. "Our downward revision is mainly explained by weaker-than-expected airfares and health services."

The University of Michigan's US consumer sentiment index slid to 50.8 in April from 57 in March. The consensus was for a 53.5 print in a survey compiled by Bloomberg. The year-ahead inflation outlook climbed to 6.7% this month, the highest since 1981, from 5% in March. Five-year inflation projections advanced to 4.4% from 4.1%.

Meanwhile, JPMorgan Chase ( JPM ) , Morgan Stanley ( MS ) , and Wells Fargo ( WFC ) reported higher Q1 earnings than the average analyst estimates compiled by FactSet, kicking off the earnings season for the banks and other financial services firms.