The main indices on Wall Street closed sharply higher today, Friday, supported by technology and growth stocks, amid a decline in Treasury bond yields, while investors await a group of important reports scheduled to be issued next week, including inflation and other economic data.
Stocks rebounded from the previous session's declines that followed hawkish comments from Federal Reserve Chairman Jerome Powell on interest rates. Thursday's decline ended the longest winning streak in two years for the S&P 500 and Nasdaq.
Investors are focusing on Treasury yields, which have retreated somewhat from their highest levels in 16 years, as they evaluate whether the Federal Reserve is finished raising interest rates to control inflation and when the central bank can start cutting interest rates. .
Next week, the CPI report will be closely followed, along with producer price and retail sales data, which will further shape the outlook for the path of interest rates.
Rick Meckler, a partner at Cherry Lane Investments in New Jersey, told Reuters: “In general, investors' expectations are that the upcoming inflation data will be positive for the market and I think they want to stand up to it a little bit.”
Weekly performance
At the close, the Standard & Poor's 500 index rose 67.91 points, or 1.56 percent, to 4,415.26 points.
The Nasdaq Composite Index gained 278.02 points, or 2.06 percent, to 13,799.47 points. The Dow Jones Industrial Average also rose 394.58 points, or 1.16 percent, to 34,286.52 points.
The Nasdaq Composite Index recorded its largest one-day rise since May 26. The S&P 500 also achieved its highest closing level since September 19.
Over the course of the week, the Dow Jones rose by about 0.7 percent, the S&P 500 rose by 1.3 percent, and the Nasdaq rose by 2.4 percent.
Friday's data showed US consumer sentiment declined for the fourth straight month in November, and household inflation expectations rose again.
About 10.2 billion shares were traded on US stock exchanges, compared to a daily average of approximately 11 billion during the past twenty sessions.