Wall Street Ends Higher, As Apple Rallies

US stocks closed sharply higher on Friday, with shares of Apple rallying after upbeat results, while US jobs data pointed to a resilient labor market.

Apple's quarterly results also cheered investors worried about a potential recession. The iPhone maker's shares were the biggest positive influence on all three major US stock indexes.

The US Labor Department report showed job growth accelerated in April and wage gains increased solidly, suggesting the labor market has stayed strong despite recent interest rate hikes from the Federal Reserve.

Investors have been worried that the rate hikes may eventually push the economy into recession.

Regional bank shares also rebounded after recent weakness tied to the collapse of First Republic Bank. PacWest rallied, along with Western Alliance Bancorp.

The S&P 500 gained 1.85 percent, to end at 4,136, while the Nasdaq gained 2.25 percent, to 12,235. The Dow Jones rose 1.65 percent, to 33,674.

On Wednesday, the US central bank raised rates by 25 basis points as expected, but Fed Chair Jerome Powell noted it was too early to say with certainty that the rate-hike cycle was over as inflation remains the chief concern.

Apple drove gains in other tech shares, but all 11 major S&P sectors were higher on the day. (Reuters)