Wall Street’s top three indices ended higher on Friday during the day and week, with the S&P 500 (.SPX) and the Dow (.DJI) breaking closing records as investors took strong economic data. and bank gains as signs of momentum in the United States. pandemic recovery.
Nine of the 11 S&P subsectors rose on Friday. Energy indices (.SPNY) and information technology (.SPLRCT) were the exceptions. The former, which fell 0.9%, was weighed down by the fall in oil prices, while the latter was marginally lower, the day after the highest close in history.
The S&P 500 and Dow Industrials posted their fourth consecutive week of gains. The S&P 500 scored three highs this week, while the Dow surpassed its best high in two days in a row.
The Nasdaq (.IXIC), which has had a lot of technology, finished less than one percent below its all-time closing close on February 12th.
Investor confidence in the way ahead seems steady, with the volatility index (.VIX), Wall Street’s fear gauge, falling 1.9% to its lowest close in 14 months.
“Everyone is looking at how far we can go before we start raising interest rates,” said George Catrambone, America’s chief negotiator for the DWS Group.
“Until we see significant inflation growth and the Fed starts talking about rising interest rates, I think they will be gold-blocking conditions.”
On Friday, reporting a 150% jump in quarterly earnings, Morgan Stanley (MS.N) joined other major U.S. banks in posting first-quarter numbers bolstering hopes for a quick economic recovery.
However, investment bank shares fell 2.8%, as it also revealed a loss of nearly $ 1 billion due to the fall of private fund Archegos. Read more
Shares of JPMorgan Chase & Co (JPM.N), Goldman Sachs Group (GS.N), Bank of America Corp (BAC.N) and Wells Fargo & Co (WFC.N) rose 0.7% and 3.8%. The S&P financial index (.SPSY) rose to a second consecutive record.
“When all of this is put into context and compared to other sectors, including technology, we will see that the financial results look very powerful,” said Diane Jaffee, TCW’s senior portfolio manager.
“Given what we know about the Fed’s loosening in the caps for dividend increases and amortizations after CCAR’s next results in June, I think we’ll have a very strong (at least) semester in financial terms.”
The Dow Jones Industrial Average (.DJI) rose 164.68 points, 0.48%, to 34,200.67; the S&P 500 (.SPX) gained 15.05 points, or 0.36%, to 4,185.47; and the Nasdaq Composite (.IXIC) added 13.58 points, 0.1%, to 14,052.34.
During the week, the S&P rose 1.4%, the Dow added 1.2% and the Nasdaq gained 1.1%.
The Federal Reserve’s commitment to keep interest rates low despite higher inflation has also revived demand for highly valued technology stocks, although bond yields rose again on Friday after reaching minimums of several weeks a day before.
Of the technology-related giants that helped Wall Street recover last year from the coronavirus crash, Apple Inc. (AAPL.O) fell 0.3% on Friday, but Amazon.com Inc. (AMZN) .O), Tesla Inc (TSLA). O) and Microsoft Corp (MSFT.O) gained between 0.1% and 0.6%.
U.S. stock market volume was $ 9,999 million, compared to the $ 11.02 million full-session average of the last 20 trading days.
Advanced issues outperformed NYSE declines by a ratio of 1.36 to 1; on the Nasdaq, a ratio of 1.20 to 1 favored declines.
The S&P 500 recorded 140 new highs of 52 weeks and no new lows; the Nasdaq Composite recorded 154 new highs and 102 new lows.
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