The New York Dow Jones Stock Exchange closed higher on Friday (Jan 13), led by a rally in bank stocks after showing strong quarterly earnings, while the S&P 500 and Nasdaq closed at 1-month cycle highs
The Dow Jones Industrial Average closed at 34,302.61 points, an increase of 112.64 points or +0.33%, the S&P 500 index closed at 3,999.09 points, an increase of 15.92 points or +0.40%, and the Nasdaq index closed at 11,079 increases. of 78.05 points or +0.71%.
The S&P500 closed at its highest since December 13, while the Nasdaq closed at its highest since December 14.
this week The Dow ended 2% higher, the S&P 500 ended 2.7% higher and the Nasdaq ended 4.8% higher, its biggest weekly percentage gain since November 11.
The S&P 500 is up 4.2% so far this year, while the Cboe Volatility Index, which measures investor anxiety, is up 4.2% so far this year. closed at its lowest level for more than a year.
Financial stocks are among the sectors that raise the S&P500 the most.
JPMorgan Chase & Co. posted. and Bank of America posted stronger-than-expected quarterly results, while Wells Fargo and Citigroup posted better-than-expected quarterly results. Earnings revealed below expectations But all 4 bank stocks rose. JPMorgan rose 2.5% and the S&P 500 banking sector closed up 1.6%.
The market was also supported by a University of Michigan survey released on Friday. The US consumer confidence index rebounded to 64.6 in January, the highest level since April. 2022 and beat analysts’ expectations of 60.7 after hitting 59.7 in December, with the index boosted by consumer concerns about inflation and recession.
Consumers expect inflation to rise 4.0% over the next year, below the 4.4% level surveyed last month. And consumers expect inflation to hit 3.0% over the next five years, higher than the 2.9% level surveyed last month.
In addition, the confidence index in the current economic situation and in the next 6 months is also improving.
Regarding the release of the Consumer Price Index (CPI) on Thursday (January 12) and other recent US economic data. has supported that hope A downward trend in inflation may cause the US Federal Reserve (Fed) to slow down in raising interest rates. Investors now estimate a 91.6% chance that the Fed will raise interest rates by 0.25% in February.
Tesla shares fell 0.9% against the market after it cut electric vehicle prices in the US and Europe by as much as 20% after deliveries in 2022 were lower than expected.
Delta Air Lines shares are falling 3.5% after first-quarter earnings are expected to beat expectations.
US stock markets will be closed on Monday (January 16) for Martin Luther King Jr. day and next week. Investors will focus on the earnings release of listed companies. as well as comments from the CEOs of various companies on business trends.
Year-over-year earnings for companies in the S&P 500 are expected to fall 2.2% in the fourth quarter, according to Refinitiv data.