Categories
Markets

Stock market live: S&P 500 rises to a fresh record closing high

Stocks concluded higher on Friday, with the S&P 500 and Nasdaq closing out the session at record levels.

The S&P 500 and Nasdaq each rose aproximatelly 0.5 %, even though the Dow finished simply a tick above the flatline. U.S. stocks shook off earlier declines after following a drop in overseas equities, after new data showed that UK gross domestic product (GDP) slumped by a report 9.9 % in 2020 as a virus-induced recession swept the nation.

Shares of Dow component Disney (DIS) reversed earlier profits to fall greater than 1 % and take back from a record high, after the company posted a surprise quarterly profit and grew Disney+ streaming prospects much more than expected. Newly public organization Bumble (BMBL), which started trading on the Nasdaq on Thursday, rose another 7 % after jumping 63 % in the public debut of its.

Over the past couple weeks, investors have absorbed a bevy of much stronger than expected earnings results, with company profits rebounding way quicker than expected despite the ongoing pandemic. With over 80 % of businesses right now having claimed fourth quarter results, S&P 500 earnings per share (EPS) have topped estimates by seventeen % for aggregate, and bounced back above pre-COVID levels, according to an analysis by Credit Suisse analyst Jonathan Golub.

good government action and “Prompt mitigated the [virus-related] damage, leading to outsized economic and earnings surprises,” Golub said. “The earnings recovery has been substantially more robust than we might have imagined when the pandemic for starters took hold.”

Stocks have continued to set up fresh record highs against this backdrop, and as monetary and fiscal policy support remain robust. But as investors come to be comfortable with firming business functionality, businesses may have to top even bigger expectations to be rewarded. This could in turn put some pressure on the broader market in the near-term, as well as warrant much more astute assessments of individual stocks, based on some strategists.

“It is no secret that S&P 500 performance has long been extremely formidable over the past few calendar years, driven primarily through valuation development. Nonetheless, with the index P/E [price-to-earnings ratio] recently eclipsing its previous dot-com high, we believe that valuation multiples will start to compress in the coming months,” BMO Capital Markets strategist Brian Belski wrote in a note Thursday. “According to our work, strong EPS growth is going to be important for the following leg greater. Fortunately, that’s precisely what present expectations are forecasting. Nevertheless, we also found that these sorts of’ EPS-driven’ periods tend to be more challenging from an investment strategy standpoint.”

“We think that the’ easy money days’ are actually over for the time being and investors will need to tighten up their focus by evaluating the merits of specific stocks, instead of chasing the momentum-laden strategies that have recently dominated the investment landscape,” he added.

4:00 p.m. ET: Stocks end higher, S&P 500 and Nasdaq reach record closing highs
Here’s where the major stock indexes ended the session:

S&P 500 (GSPC): +18.55 points (+0.47 %) to 3,934.93

Dow (DJI): +27.44 points (+0.09 %) to 31,458.14

Nasdaq (IXIC): +69.70 points (+0.5 %) to 14,095.47

2:58 p.m. ET:’ Climate change’ will be the most-cited Biden policy on company earnings calls: FactSet
Fourth-quarter earnings season signifies the pioneer with President Joe Biden in the White House, bringing an innovative political backdrop for corporations to contemplate.

Biden’s policies around environmental protections and climate change have been the most-cited political issues brought up on company earnings calls thus far, in accordance with an analysis from FactSet’s John Butters.

“In terms of government policies talked about in conjunction with the Biden administration, climate change as well as energy policy (28), tax policy (20 ) and COVID-19 policy (19) have been cited or perhaps talked about by the highest number of companies through this point on time in 2021,” Butters wrote. “Of these 28 companies, seventeen expressed support (or even a willingness to your workplace with) the Biden administration on policies to greatly reduce carbon as well as greenhouse gas emissions. These seventeen companies either discussed initiatives to minimize their own carbon and greenhouse gas emissions or maybe merchandise or services they provide to support customers and customers lower the carbon of theirs and greenhouse gas emissions.”

“However, 4 companies also expressed some concerns about the executive order establishing a moratorium on new oil and gas leases on federal lands (and offshore),” he added.

The list of twenty eight firms discussing climate change as well as energy policy encompassed organizations from a diverse array of industries, including JPMorgan Chase, United Airlines Holdings and 3M, alongside conventional oil majors as Chevron.

11:36 a.m. ET: Stocks combined, S&P 500 and Nasdaq turn positive
Here’s in which markets were trading Friday intraday:

S&P 500 (GSPC): +7.87 points (+0.2 %) to 3,924.25

Dow (DJI): -8.77 points (-0.03 %) to 31,421.93

Nasdaq (IXIC): +28.15 points (+0.21 %) to 14,053.77

Crude (CL=F): +$0.65 (+1.12 %) to $58.89 a barrel

Gold (GC=F): +$0.20 (+0.01 %) to $1,827.00 per ounce

10-year Treasury (TNX): +2.7 bps to deliver 1.185%

10:15 a.m. ET: Consumer sentiment unexpectedly plunges to a six month lower in February: U. Michigan
U.S. consumer sentiment slid to probably the lowest level since August in February, based on the University of Michigan’s preliminary once a month survey, as Americans’ assessments of the path forward for the virus stricken economy unexpectedly grew more grim.

The headline consumer sentiment index dipped to 76.2 from 79.0 in January, sharply lacking expectations for an increase to 80.9, based on Bloomberg consensus data.

The whole loss of February was “concentrated in the Expectation Index and involving households with incomes below $75,000. Households with incomes of the bottom third reported major setbacks in their present finances, with fewer of these households mentioning latest income gains than whenever since 2014,” Richard Curtin chief economist for the university’s Surveys of Consumers, said in a statement.

“Presumably a new round of stimulus payments will lessen fiscal hardships with those with the lowest incomes. More shocking was the finding that customers, despite the likely passage of a grand stimulus bill, viewed prospects for the national economy less favorably in early February compared to last month,” he added.

9:30 a.m. ET: Stocks open lower, but pace toward posting weekly gains
Here is in which markets had been trading simply after the opening bell:

S&P 500 (GSPC): 8.31 points (-0.21 %) to 3,908.07

Dow (DJI): 19.64 (-0.06 %) to 31,411.06

Nasdaq (IXIC): -53.51 (+0.41 %) to 13,970.45

Crude (CL=F): -1dolar1 0.23 (-0.39 %) to $58.01 a barrel

Gold (GC=F): -1dolar1 10.70 (0.59 %) to $1,816.10 per ounce

10-year Treasury (TNX): +3.2 bps to yield 1.19%

9:05 a.m. ET: Equity funds see highest weekly inflows ever as investors pile into tech stocks: Bank of America
Stock funds just simply saw the largest-ever week of theirs of inflows for the period ended February ten, with inflows totaling a record $58.1 billion, based on Bank of America. Investors pulled a total of $800 million out of gold and $10.6 billion out of cash during the week, the firm added.

Tech stocks in turn saw the own record week of theirs of inflows at $5.4 billion. U.S. large cap stocks saw their second largest week of inflows ever at $25.1 billion, and U.S. small cap inflows saw their third-largest week at $5.6 billion.

Bank of America warned that frothiness is actually rising in markets, nonetheless, as investors keep on piling into stocks amid low interest rates, and hopes of a solid recovery for the economy and corporate earnings. The firm’s proprietary “Bull and Bear Indicator” monitoring market sentiment rose to 7.7 from 7.5, nearing an 8.0 “sell” signal.

7:14 a.m. ET Friday: Stock futures point to a lower open
The following had been the principle moves in markets, as of 7:16 a.m. ET Friday:

S&P 500 futures (ES=F): 3,904.00, printed 8.00 points or perhaps 0.2%

Dow futures (YM=F): 31,305.00, down fifty four points or even 0.17%

Nasdaq futures (NQ=F): 13,711.25, down 17.75 points or even 0.13%

Crude (CL=F): -1dolar1 0.43 (0.74 %) to $57.81 a barrel

Gold (GC=F): 1dolar1 9.50 (-0.52 %) to $1,817.30 per ounce

10-year Treasury (TNX): +0.5 bps to deliver 1.163%

6:03 p.m. ET Thursday: Stock futures tick higher
Here is where marketplaces were trading Thursday as over night trading kicked off:

S&P 500 futures (ES=F): 3,904.50, printed 7.5 points or 0.19%

Dow futures (YM=F): 31,327.00, down 32 points or perhaps 0.1%

Nasdaq futures (NQ=F): 13,703.5, printed 25.5 points or even 0.19%

Leave a Reply

Your email address will not be published. Required fields are marked *