Stock market today: Indexes rise but S&P 500 on track to snap 6-week win streak as yields spike
US stocks were up on Friday but headed for a weekly loss, with major averages on track to snap a six week streak of gains.
The Dow Jones Industrial Average rose for the first time this week, while The S&P 500 inched higher after breaking out of a three-day slump on Thursday. The benchmark index was helped by Tesla’s 22% gain following it’s big earnings beat on Wednesday.
Hindering stocks through the week was the big spike in bond yields. The 10-year Treasury edged lower on Friday but earlier in the week had jumped above 4.25%, it’s highest level in three months.
Traders have been recalibrating rate-cut views amid hot data, cautious commentary from Federal Reserve officials, and the rising prospects of a Donald Trump win, which is widely seen by markets as an inflationary outcome that would result in rates staying elevated.
Traders next week will sift through several economic data updates, including September personal consumption expenditures, which is the Fed’s preferred inflation gauge, as well as the October jobs report. September’s data showed a stunning 254,000 jobs were added in the month.
A similarly hot number would likely temper rate-cut expectations further as markets see less urgency from the Fed to prop up the economy.
Here’s where US indexes stood shortly after the 9:30 a.m. opening bell on Friday:
- S&P 500: 5,850.31, up 0.7%
- Dow Jones Industrial Average: 42,546.91, up 0.4% (173 points)
- Nasdaq composite: 18,608.82, up 1.1%
Here’s what else is going on:
- JPMorgan said some drivers of Tesla’s earnings look unsustainable.
- Versace parent Capri’s stock plunged after a judge shot down a merger deal between the company and Coach owner Tapestry.
- Vladimir Putin tempered expectations for de-dollarization at a BRICS summit.
In commodities, bonds, and crypto:
- Oil futures were up. West Texas Intermediate crude rose 1.25% to $71.07 a barrel. Brent crude, the international benchmark, climbed 1% to $75.27 a barrel.
- Gold edged lower to $2,744 an ounce.
- The 10-year Treasury yield dipped to 4.184%.
- Bitcoin was up 0.7% to $67,934.
