Stocks rose on Friday, as investors continued to assess earnings reports and tougher language from Federal Reserve spokespeople.
The Dow Jones Industrial Average rose 80 points, or 0.2%, the S&P 500 rose 0.4%, while the Nasdaq rose 0.5%.
Shares of Palo Alto and Ross department stores rose following the two companies published their latest quarterly results, and investors appeared to be elated by Gap’s latest results.
Friday’s moves follow a drop, Thursday, following comments from Federal Reserve officials that raised concerns regarding tightening US monetary policy.
St. Louis Federal Reserve Chairman James Bullard said Thursday that “the target rate is not yet in an area that would be considered sufficiently constraining.” He noted that the appropriate area for the federal funds rate might be in the range of 5% to 7%, which is above market pricing.
European stocks
European stocks rose on Friday, following falling for two consecutive days, as investors snapped up falling energy stocks, although hawkish comments from more Federal Reserve officials capped gains. The pan-European Stoxx 600 index rose 0.4 percent, with basic resources stocks rising 1.1 percent, following falling more than 3 percent in the previous two sessions.
The banking sector also rose 0.3 percent, as the European Central Bank prepared to start the largest cash withdrawal from the eurozone banking system in its history; Banks are expected to repay regarding €500 billion of targeted long-term refinancing loans.
Rate-sensitive technology stocks fell 0.6 percent following St. Louis Federal Reserve President James Bullard said interest rates need to be between 5 and 5.25 percent, up from the current level of less than 4 percent, to be enough to rein in interest rates. inflation.
Japan
The Japanese Nikkei index closed lower on Friday, affected by the decline in growth stocks amid the rise in long-term bond yields, to incur its first weekly loss in four weeks.
The Nikkei index fell 0.11 percent to close at 27,899.77 points, erasing small gains made earlier. The index lost regarding 1.29 percent during the week.
The broader Topix index fell 0.14 percent to 1967.03 points, but it is still on its way to a weekly loss of 0.54 percent, also stopping a three-week winning streak. Online retailer Rakuten Group, another growth-related stock, was the biggest percentage loser; It decreased by 5.55 percent. Online recruitment company Recruit Holdings fell 3.19 percent.
The automakers have done well; The Japanese yen settled around 140 per dollar, following reaching its best level since August earlier in the week at 137.665. A rise in the yen leads to a decrease in the value of external earnings.
Mitsubishi Motors rose 2.77 percent, Isuzu rose 2.67 percent and Mazda rose 2.54 percent. (Archyde.com)
