Wall Street closes higher, posts weekly gains

US stocks ended Thursday's session higher, recording weekly gains at the close of a shortened trading week, supported by easing geopolitical tensions and strong performance in the semiconductor sector.

The Dow Jones Industrial Average rose 0.14%, or 72 points, to 51,564, extending its weekly gain to 0.70%.

The S&P 500 advanced 1.08%, or 80 points, to 7,500, bringing its weekly gain to 0.93%.

The Nasdaq Composite climbed 1.91%, or 496 points, to 26,517, posting a weekly gain of 2.43%.

In Europe, the STOXX Europe 600 index fell 0.34% to 637 points, weighed down by declines in mining and automotive stocks.

The UK's FTSE 100 dropped 1% to 10,399, while Germany's DAX rose 0.37% to 25,026 and France's CAC 40 gained 0.44% to 8,467.

In Japan, the Nikkei 225 surged 1.65% to a record closing high of 71,053, while the broader Topix index added 1.37% to 4,068 points.

Brent crude futures for August delivery fell 0.37%, or 30 cents, to $79.85 per barrel.

US WTI crude futures for July delivery declined 0.25%, or 19 cents, to $76.60 per barrel, posting a weekly loss of 9.75%.

Gold futures for August delivery dropped 3.10%, or $135.50, to $4,245.90 per ounce, although the precious metal still recorded a weekly gain of 0.16%.

What's driving the markets?

Wall Street recovered part of the previous session’s losses that followed signals from the Federal Reserve suggesting the possibility of tighter monetary policy. The rebound was supported by strong momentum in the technology sector, led by semiconductor companies, as well as improving geopolitical prospects.