The Dow Jones Industrial Average closed more than 800 points on Friday (June 24) as investors eased concerns about the Federal Reserve’s rate hike plans after the economy signaled a slowdown. and commodity prices have declined in the past.
The Dow Jones Industrial Average closed at 31,500.68, up 823.32, or +2.68%, the S&P 500 closed at 3,911.74, up 116.01, or +3.06%, and the Nasdaq closed at 11,607.62, up +375.43, or +3.34%.
in the past week The Dow was up 5.4%, the S&P500 was up 6.4% and the Nasdaq was up 7.5%.
The market was up more than 3 percent, the largest single-day gain as a percentage point since May. 2020, with all 11 stocks in the S&P500 index up at least 1.5%.
The stock market has rebounded in the past week. After the market was pressured by concerns that The Fed’s hike in interest rates to curb inflation, which hit a 40-year high, could trigger a recession.
Investors allay concerns about inflation. After a sharp drop in commodity prices this week. And traders now predict that The benchmark US interest rate will rise to around 3.5% by March next year. That was down from last week’s forecast of around 4%.
Banking stocks soar Banking stocks in the S&P 500 rose 3.7 percent after the Fed’s annual crisis tests showed banks had enough capital to deal with the severe slowdown.
individual stocks rising including FedEx stocks which soared 7.2% after forecasting stronger-than-expected full-year profits.
In addition, the market has been supported. After the US Department of Commerce reported that New home sales jumped 10.7% to 696,000 units in May. contrary to analysts who expected may drop to 588,000 units but year-on-year New home sales fell 5.9 percent in May.
However, the University of Michigan survey revealed that The U.S. Consumer Confidence Index fell to 50.0 in June, the lowest level since the data was collected in the 1940s, and below the initial reading of 50.2 after reaching 58.4 in the US. May and the index of confidence was also lower than analysts’ estimates of 50.2.
