Nasdaq pops 3%, but Wall Street is still heading for a losing week

Friday’s share price soared as investors tried to move the S & P 500 away from the official bear market territory and recover from a week-long sharp loss.

The Dow Jones Industrial Average rose 189 points (0.6%) after rising 545 points to break the six-day streak. The S & P 500 rose 1.5% and the Nasdaq Composite index rose 2.8%.

Despite these rises, the key averages were on track to post losses for the week. The Dow has fallen by more than 2% and is now pacing for the first seven weeks of losing streak since 2001. The S & P 500 has fallen 2.5% and is heading towards the longest weekly losing streak since 2011. % this week.

Sam Stovall, CFRA’s Chief Investment Strategist, said: “Even in modifications and access to the bear market, they tend to experience bailout rallies, which is what the market seems to be starting today.”

All Friday’s S & P 500 sectors rose, driven by consumer discretion and advances in information technology. This was an extensive comeback, with about 93% of the S & P 500 being green.

American Express, Nike and Salesforce each rose about 3%, outpacing the Dow.

The beaten tech stocks MetaPlatforms, Alphabet and Amazon surged 3%, Tesla soared 6% and Nvidia soared 9%. Apple rose 2.8% after becoming the name of the last Big Tech that fell into its own bear market on Thursday.

Following the strong progress in the previous session Significantly shorted meme stock AMC Entertainment and GameStop surged 4.6% and 8.1%, respectively. Carvana rips 2% higher.

Meanwhile, Twitter’s share plummeted 9.1% after Elon Musk announced Acquisition contracts are stagnant as they wait for details on fake accounts on the platform.In other news, Robin Hood later soared 24.8% Crypto CEO Sambankman Fried Acquires Shares in Company..

The stock market has been sluggish for months, starting with high-growth, unprofitable tech stocks at the end of last year and expanding to companies with healthy cash flow stocks in recent weeks. This fall has wiped out much of the stock price surge from the March 2020 pandemic lows.

Citi strategist Dark Willer wrote in a note to clients Thursday: “Significant deviations from long-term price movements have been used to identify bubbles. U.S. stocks are in a bubble state based on this indicator. Yes, and now we’re out of the bubble. ” ..

One of the reasons stocks have been struggling in recent months is high inflation and the Fed’s efforts to curb prices by raising rates.Federal Reserve Chairman Jerome Powell told NPR Thursday “We couldn’t guarantee a soft landing“It lowered inflation without causing a recession.

Stocks enjoyed a two-week rise from the Fed’s first rate hike in March, but those rises were quickly extinguished by the brutal April and continued to sell in May. While there are some signs that the market may be closer, such as this week’s Treasury market investor sentiment survey and stabilization, many investors and strategists may need the market to fall even further. It says it may not be.

“This market is really bottoming out for the bailout rally, but after all, there was no day of surrender,” said Andrew Smith, chief investment strategist at Delos Capital. Advisor.

On the earnings side, Affirm’s share price surged 19% against the backdrop of higher-than-expected earnings reports.

Cryptocurrency development We’re nervous about Wall Street this week, with Bitcoin well below $ 30,000 and Stablecoin struggling to maintain pegs. Bitcoin bounced over the mark on Friday.

upon ThursdayThe S & P 500 and the Dow bounced off the daytime lows, but still fell 0.1% and 0.3%, respectively. S & P was on the brink of a bear market, down more than 18% from highs, while Nasdaq pushed up less than 0.1%.

Tech-intensive Nasdaq is already in the bear market, down more than 29% from its all-time high.

Nasdaq pops 3%, but Wall Street is still heading for a losing week

Source link Nasdaq pops 3%, but Wall Street is still heading for a losing week

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