Traders on the floor of the New York Stock Exchange on Aug. 4, 2022.
Stocks jumped Friday, and the S&P 500 and Nasdaq Composite notched their best week since November{
Nasdaq, S&P 500 notch best week since November
Stocks rallied on Friday to cap off a winning week.
The S&P 500 advanced 1% to settle at 5,099.96. The tech-heavy Nasdaq Composite climbed 2% to close at 15,927.90 and secure its best daily move since February. The Dow Jones Industrial Average rose 153.86 points, or 0.4%, to finish at 38,239.66.
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The S&P and Nasdaq recorded their best week since November. The S&P popped 2.7% to snap a three-week losing streak, while the Nasdaq gained 4.2% for its first positive week in five. The Dow edged up 0.7%.
— Samantha Subin
The broad market index advanced 1.02% to settle at 5,099.96. The tech-heavy Nasdaq climbed 2.03% to close at 15,927.90 and secure its best daily move since February. The Dow Jones Industrial Average rose 153.86 points, or 0.4%, to finish at 38,239.66.
Money Report
The S&P and Nasdaq clinched their best week since November. The S&P popped 2.7% to snap a three-week losing streak, while the Nasdaq gained 4.2% for its first positive week in five. The Dow edged up 0.7%.
"We are finishing a volatile week on a strong note," said Mona Mahajan, senior investment strategist at Edward Jones. "It's nice to see some green on the screen. Clearly one of the drivers has been the stellar reports coming out of megacap technology."
Stocks got a boost from robust results from artificial intelligence competitors Alphabet and Microsoft after the bell Thursday. Alphabet jumped more than 10% on better-than-expected first-quarter earnings and recorded its best day since July 2015. The company also authorized its first-ever dividend and a $70 billion buyback. Microsoft added nearly 2% as the software maker posted strong fiscal third-quarter results and showed an acceleration in cloud growth.
Both companies have impressed investors by not only investing in artificial intelligence, but also by showing results, Mahajan said. The prints also helped alleviate some fears on the back of Meta Platforms' disappointing guidance earlier this week, she said.
Investors also parsed March's core personal consumption expenditures reading following a spate of reports that suggested slowing growth and sticky inflation. The gauge, excluding food and energy, rose 2.8% from a year ago and came in ahead of the 2.7% expected by Dow Jones. Personal spending rose 0.8%, ahead of a 0.7% estimate.
Those moves helped Wall Street regain some of its footing after a down day. The blue-chip Dow slid 375 points Thursday after new U.S. economic data showed a sharp slowdown in growth and pointed to persistent inflation.
The busy earnings season continues next week, headlined by results from technology giants Apple and Amazon. The Federal Reserve's next rate decision is due out Wednesday.
Nasdaq, S&P 500 notch best week since November
Stocks rallied on Friday to cap off a winning week.
The S&P 500 advanced 1% to settle at 5,099.96. The tech-heavy Nasdaq Composite climbed 2% to close at 15,927.90 and secure its best daily move since February. The Dow Jones Industrial Average rose 153.86 points, or 0.4%, to finish at 38,239.66.
The S&P and Nasdaq recorded their best week since November. The S&P popped 2.7% to snap a three-week losing streak, while the Nasdaq gained 4.2% for its first positive week in five. The Dow edged up 0.7%.
— Samantha Subin
Google-parent Alphabet trades at all-time highs after earnings
Alphabet shares were trading at an all-time high Friday, jumping roughly 10% after the Google-parent posted first-quarter results that topped estimates. Additionally, the tech behemoth issued its first-ever dividend, as well as a $70 billion buyback.
Alphabet C shares rose to all-time highs going back to their special distribution on Apr. 2, 2014, when the non-voting share was created. It began trading on April 3, 2014. Separately, Alphabet A shares hit all-time highs going back to its public debut on Aug. 19, 2004
Here are some of the other S&P 500 names reaching fresh highs:
- Chipotle Mexican Grill trades at all-time high levels since its IPO in Jan. 2006
- General Motors trades at levels not seen since Mar, 2022
- Tractor Supply trades at all-time highs back to its IPO in 1994 after being taken private by an LBO in 1982
- Colgate-Palmolive trading at all-time high levels back to its first listing on the NYSE in 1930, the company was founded in 1806
- Goldman Sachs trading at all-time high levels back to its IPO in May, 1999
- M&T Bank trading at levels not seen since Mar, 2023
— Sarah Min, Chris Hayes
Oil prices snap two-week losing streak
Oil prices rose on Friday to snap a two week losing streak, drawing support from concerns about tensions in the Middle East.
U.S. West Texas Intermediate crude futures rose 28 cents, or 0.34%, to settle at $83.85 a barrel. Brent crude futures rose 49 cents, or 0.55%, to settle at $89.50 a barrel. U.S. crude oil rose 0.85% for the week while the global benchmark gained 2.53%.
— Reuters
Dow underperforms this week
The Dow is tracking to see relatively muted gains this week, hurt by a handful of post-earnings sell-offs among members.
The blue-chip average has added 0.8% so far this week. By comparison, the broad S&P 500 and technology-heavy Nasdaq Composite have advanced 2.8% and 4.3%, respectively.
Gains for the 30-stock index have been restricted in particular by Intel and IBM, which have both dropped 6.9% and 8.3%, respectively, this week. IBM reported Wednesday, followed a day later by Intel.
Caterpillar was the next biggest loser with a slide of nearly 3%, followed by Boeing and Verizon at more than 1% each. All three also posted quarterly financials this week.
Those moves overshadowed notable rallies seen elsewhere this week. Goldman Sachs, Merck and JPMorgan were the best performing members, with each stock climbing more than 4%.
— Alex Harring
Tesla, Nvidia among the biggest weekly Nasdaq winners
The Nasdaq Composite is up more than 4% this week and on pace for its best weekly stretch since November.
Looking at the concentrated Nasdaq-100, MongoDB is the biggest winner, headed for a 16.6% weekly gain. Other big winners include Tesla, Nvidia and Microchip Technology, up more than 14% each since the start of the week. Semiconductor stocks NXP Semiconductors, On Semiconductor, Broadcom and Marvell Technology have surged at least 11%.
Other prominent winners include Alphabet, with an 11% weekly gain. Trade Desk and AstraZeneca have gained 10%.
— Samantha Subin
Newell Brands on pace for best session since July 2023
Newell Brands shares headed for their best day since July 2023 after the consumer goods maker topped Wall Street expectations for the first quarter.
The parent of brands including Rubbermaid and Sharpie climbed around 10% Friday. If that holds through session close, it will mark the stock's biggest one-day gain since July 2023, when it jumped more than 11% in one session.
Newell's rally follows a better-than-anticipated financial report. The Atlanta-based company saw no earnings per share, excluding items, while analysts polled by LSEG forecast a loss of 7 cents. The firm posted $1.65 billion in revenue, slightly above the consensus estimate of $1.64 billion.
Despite Friday's rally, shares are still down about 12% in 2024.
— Alex Harring
Dollar reaches new 34-year high against the yen
The U.S. dollar appreciated to 156.896 against the Japanese yen, marking the highest level since May 10, 1990, when the dollar traded as high as 157.21 against the yen.
Japan's benchmark Nikkei ended the week up 2.34% for its best week since March 22, when the Nikkei gained 5.63%.
— Hakyung Kim, Gina Francolla
Stocks making the biggest moves midday
Alphabet — The Google parent company rallied 10%. Alphabet posted first-quarter results that topped estimates and authorized its first-ever dividend, as well as a $70 billion buyback.
Exxon Mobil — The energy stock fell more than 2% after Exxon Mobil posted first-quarter adjusted earnings that missed analysts' forecasts.
ResMed — Shares soared 17% after fiscal third-quarter results topped analysts' estimates. The medical device company posted $2.13 in earnings per share, excluding items, on $1.20 billion in revenue.
Read the full list of stocks on the move here.
— Hakyung Kim
Alphabet, Microsoft propel Nasdaq Composite toward best day since February
The tech-heavy Nasdaq Composite jumped 2.1% Friday morning, as Alphabet and Microsoft popped on strong earnings results.
With this latest jump, the Nasdaq is now tracking for its best day since Feb. 22. On that day, it rose 2.96%. The index is also on pace for a 4.3% gain on the week.
Alphabet's 10% jump on Friday is powered by solid beats on the top and bottom lines for the first quarter. The Google parent's board also approved a cash dividend of 20 cents a share, payable on June 17, and a share repurchase of $70 billion.
Microsoft added 2.5% after it surpassed analysts' expectations for earnings per share and revenue in the fiscal third quarter.
— Darla Mercado
New York Stock Exchange advancers lead decliners 3-1
Market breadth recovered in early Friday trading, with roughly three stocks advancing for every decline at the New York Stock Exchange. Overall, 1,883 NYSE-listed names were higher, while 591 pulled back.
— Fred Imbert
Copper poised for best month since early 2021
Copper's April rally has put it on track to see its best month in more than three years.
So far this month, copper has climbed more than 14%. If that holds, April would mark the best monthly performance since February 2021, when copper surged more than 15%.
— Alex Harring, Gina Francolla
Consumer sentiment little changed in April
The University of Michigan's consumer sentiment index fell just 2.2 points to 77.2 in April, also coming in slightly below a Dow Jones estimate of 77.9.
"Since January, sentiment has remained remarkably stable within a very narrow 2.5 index point range, well under the 4.8 points necessary for a statistically significant difference in readings," Surveys of Consumers director Joanne Hsu wrote.
That said, "consumers continue to express uncertainty about the future trajectory of the economy pending the outcomes of the upcoming election, but at this time there is no evidence that global geopolitical factors are on the forefront of consumers' minds."
Year-ahead inflation expectations ticked higher to 3.2% from 2.9%, while long-run expectations also rose to 3% from 2.8%.
— Fred Imbert
Alphabet heads for best day since July 2015
Alphabet shares jumped nearly 11% on Friday and headed for their best day in nearly nine years.
The search giant surged after topping first-quarter earnings and revenue expectations and announcing its first-ever dividend and a $70 million buyback. The company also said revenue grew 15% from a year ago, which marks the fastest growth rate since 2022.
The moves bring Alphabet shares to their best daily performance since a 16% pop on July 17, 2015. Shares have rallied 23% this year.
— Samantha Subin
S&P 500, Nasdaq opens higher
The S&P 500 and Nasdaq Composite opened higher on Friday, rising 0.6% and 1.3%, respectively. The Dow Jones Industrial Average opened little changed.
— Samantha Subin
Stocks making the biggest moves premarket
Check out the companies making headlines before the bell:
- Microsoft — Shares gained 4% after the tech giant reported fiscal third-quarter results that topped expectations as its Azure business continued to show momentum.
- Alphabet — The tech behemoth surged more than 11%. Alphabet posted first-quarter results that topped estimates and issued its first-ever dividend, as well as a $70 billion buyback. Earnings of $1.89 per share topped the $1.51 in earnings per share anticipated by analysts polled by LSEG. Revenue of $80.54 billion topped expectations of $78.59 billion.
- Snap — The social media stock surged 22% after Snap's first-quarter results exceeded expectations. Revenue rose 21% to $1.19 billion, spurred by improvements in the company's advertising platform.
— Sarah Min
PCE rises 2.8% in March
The personal consumption expenditures price index rose more than expected in March, the Commerce Department reported Friday.
The inflation measure increased 2.8% from a year ago, excluding food and energy. That came in ahead of the 2.7% estimate from Dow Jones.
Including food and energy, the price gauge rose 2.7%, ahead of the 2.6% estimate. Both measures increased 0.3% and were in line with expectations on a monthly basis.
— Samantha Subin
Chevron falls on disappointing revenue
Chevron shares declined nearly 1% after the oil giant posted revenue that fell short of Wall Street's expectations.
The company posted adjusted earnings of $2.93 per share, topping the $2.87 expected by analysts polled by LSEG. Revenue came in at $48.72 billion and fell from a year ago. Analysts polled by LSEG had expected revenue to come in at $50.66 billion.
The decline in profits came amid lower sales margins due in part to lower natural gas prices and sales margins.
— Spencer Kimball, Samantha Subin
Exxon Mobil falls on earnings miss
Shares of Exxon Mobil fell about 1% after posting disappointing first-quarter earnings.
Earnings came in at $2.06, falling short of the $2.20 expected by analysts polled by LSEG as refining margins and natural gas prices declined. The figure also declined 28% from a year ago.
The oil company topped revenue expectations, posting $83.08 billion versus the $78.35 billion expected by Wall Street.
— Samantha Subin
Yen hits new low after Bank of Japan keeps policy rate unchanged
The Bank of Japan held its benchmark policy rate unchanged at 0% to 0.1%, as expected.
The BOJ also said it will continue to conduct bond purchases in line with the March decision, but no comment was made on the yen.
The Japanese yen weakened beyond 156 against the U.S. dollar following the decision, touching fresh 34-year lows. The benchmark Nikkei 225 index extended gains to rise 0.7%.
Investors now await a press conference by BOJ Governor Kazuo Ueda later in the day.
— Shreyashi Sanyal
Hon Hai shares jump 4% to highest level in more than two weeks
Shares of Taiwan's Hon Hai Precision Industry jumped as much as 4.3% in early trading, hitting a more than two-week high.
U.S. software company Cerence said it will supply Hon Hai EV subsidiary Foxtron with a voice-powered artificial intelligence assistant. Cerence said the system features bilingual recognition of Taiwanese Mandarin and English.
"We're proud to partner with Foxtron to bring the power of voice interaction to drivers in Taiwan for the first time," said Christian Mentz, chief revenue officer at Cerence.
Shares of Hon Hai have surged nearly 50% so far this year.
— Shreyashi Sanyal
Tokyo inflation slows in April, core inflation sharply lower than expected
Inflation in Japan's capital city of Tokyo slowed to 1.8% in April, down from the 2.6% gain in March.
Core inflation in the city, which strips out prices of fresh food, came in at 1.6%, down from 2.4% in March and missing expectations of 2.2% from economists polled by Reuters.
Tokyo's inflation figures are widely considered to be a leading indicator of nationwide trends.
— Lim Hui Jie
Fed’s preferred inflation gauge for March will be out Friday
The personal consumption expenditures price index will be due Friday morning, giving the Federal Reserve a detailed glimpse into the latest inflation metrics.
For March, economists polled by Dow Jones anticipate headline PCE grew 0.3% from the prior month and 2.6% from 12 months earlier. They expect that core prices, which exclude food and energy costs, grew 0.3% on a monthly basis and 2.7% year over year.
The first-quarter gross domestic product report issued Thursday revealed that PCE for the period rose 3.4%, well above the 1.8% increase in the fourth quarter. The result incited a sell-off for stocks as investors fretted over signs of stagflation — a scenario in which the economy's growth slows but inflation rises.
— Darla Mercado
After-hours movers
Check out the companies making moves after the bell:
Snap — Shares soared more than 27% in after-hours trading after the social media firm reported first-quarter results that beat analysts' estimates.
Intel — The tech stock slid 8% in extended trading after the company missed expectations for first-quarter sales and gave a weak forecast for the current quarter.
DexCom — The manufacturer of glucose monitoring systems fell 8%, even as the company posted beats on the top and bottom lines.
Gilead Sciences — The biotech stock jumped almost 3% after a better-than-feared quarterly report. Gilead posted a loss of $1.32 per share, narrower than the loss of $1.49 per share expected by analysts polled by LSEG.
— Yun Li
