Amidst a volatile trading day, US stocks concluded on a positive note, buoyed by Federal Reserve Chairman Jerome Powell’s noteworthy comments on interest rates and inflation. Powell acknowledged potential interest rate increases to combat inflation during his highly anticipated speech at the Economic Policy Symposium in Jackson Hole, Wyoming. Market indices experienced fluctuations throughout the session, with notable performances in the technology and energy sectors.
Michael Aron, representing State Street Global Advisors in Boston, remarked, “Powell’s sentiments reflect satisfaction with the trajectory of monetary policy and subdued inflation levels. He signals vigilance while acknowledging the ongoing need for attention.”
All primary sectors within the S&P 500 registered advancements, with particular prominence in consumer discretionary, technology, and energy sectors.
Market Highlights:
- The Dow Jones Industrial Average climbed by 247.48 points, or 0.73%, sealing the day at 34,346.9.
- The S&P 500 showcased an increase of 29.4 points, equivalent to 0.67%, settling at 4,405.71.
- The Nasdaq Composite saw a rise of 126.67 points, signifying a growth of 0.94%, closing at 13,590.65.
The week’s conclusion also witnessed higher closures for the S&P 500 and Nasdaq. The Nasdaq surged nearly 2.3%, breaking a three-week streak of losses. Nvidia’s positive second-quarter results earlier in the week contributed to the market’s rally.
In the retail sector, Gap experienced a remarkable 7.2% surge following its second-quarter profit surpassing estimates. On the other hand, Nordstrom declined by 7.7% as the department store chain maintained its forecasts.
Hostess Brands’ shares soared by 21.7% due to reports of potential sales for its Twinkies snack line. However, Marvell Technology’s shares dropped 6.6% after reporting a decline in second-quarter revenue.
Hawaiian Electric Industries faced an 18.5% decline as legal scrutiny regarding its role in Hawaii wildfires mounted, leading Maui County to sue the power company.
Within the market indices, 6 new stocks hit 52-week highs in the S&P 500, while 7 stocks marked new lows. In the Nasdaq Composite, 23 stocks reached new highs, contrasting with 202 registering new lows.
