Wall Street experienced a relatively quiet session as the week came to a close, with the three major averages hovering around parity in midday trading in New York, yet still on course for their third successive week of gains.
Small caps emerged as the market’s brightest pocket, with the Russell 2000 climbing 1.3% Friday and achieving a weekly increase of over 5%, its second-best performance of the year.
Mega-cap stocks, as tracked by the iShares S&P 100 ETF (NYSE:OEF), were flat for the day.
The dollar’s weakening trend persisted, marking its most challenging week since early July. Traders have now fully priced in the Federal Reserve maintaining rates unchanged next month, with an expectation of four rate cuts in the upcoming year.
Treasury yields flattened, with the two-year yield up by 6 basis points and the 30-year yield down by 3 basis points. The widely-followed iShares 20+ Year Treasury Bond ETF (NASDAQ:TLT) is on track for its fourth consecutive week of gains, the longest streak in a year.
Crude oil was a notable mover, rising as much as 4%, nearly offsetting its 4.6% drop on Thursday.
US Index Performance On Friday
|S&P 500 Index||+0.11%||4,514.25|
- The SPDR S&P 500 ETF Trust (NYSE:SPY) was 0.1% higher to $450.94.
- The SPDR Dow Jones Industrial Average ETF (NYSE:DIA) fell 0.1% to $349.61.
- The Invesco QQQ Trust (NASDAQ:QQQ) was up 0.1% to $386.34.
- The iShares Russell 2000 ETF (NYSE:IWM) rallied 1.5% to $178.51, according to Benzinga Pro data.
Sector, Industry ETF Performance
Among sectors, energy stocks, as indicated by the Energy Select Sector SPDR Fund (NYSE:XLE), saw a rally, climbing 2.6%.
Among industries, retail stocks experienced a surge, with the SPDR S&P Retail ETF (NYSE:XRT) increasing by 2.8%. Other significant gainers included the SPDR S&P Oil & Gas Exploration and Production ETF (NYSE:XOP) and the VanEck Oil Services ETF (NYSE:OIH), up 2.7% and 2.6%, respectively.
REITs showed softer performance, with the Vanguard Real Estate ETF (NYSE:VNQ) declining by 0.1%.”
Latest Economic Data
- Housing starts increased by 1.9% month-over-month, reaching a seasonally adjusted annual rate of 1.372 million in October 2023 and extending the 7% increase in the previous month, the U.S. Census Bureau reported Friday. The figure came in above market forecasts of 1.35 million.
- In October 2023, building permits rose 1.1% month-over-month, reaching a seasonally adjusted annual rate of 1.487 million, an increase from the 1.471 million recorded in September. This marks a rebound from the 4.5% decrease experienced in the preceding month.
Stocks In Focus
- The Gap Inc. (NYSE:GPS) soared 29% on an extraordinary earnings beat.
- Ross Stores, Inc. (NASDAQ:ROST) rose nearly 8% on strong quarterly results.
- Expedia Group Inc. (NYSE:EXPE) rose 5.3%, reaching levels last seen in May 2023, after Evercore ISI upgraded the stock to Outperform and raised the price target from $135 to $200.
- Applied Materials, Inc. (NASDAQ:AMAT) fell nearly 5% despite reporting better-than-expected results last quarter. The stock faces pressure following a report suggesting the company is facing a U.S. criminal investigation for possibly evading export restrictions on China’s SMIC. Peers KLA Corp. (NASDAQ:KLAC) and Lam Research Corp. (NASDAQ:LRCX) also moved lower.
- ChargePoint Holdings, Inc. (NASDAQ:CHPT) plunged more than 30% in reaction to its preannouncement.
Commodities, Other Global Equity Markets And Crypto
The United States Oil Fund, LP (NYSE:USO), which tracks the price performance of light sweet crude oil, rose 4.04%.
Gold edged 0.1% higher to $1,982/oz, while silver inched 0.2% higher to $23.77.
In emerging markets, Global X MSCI Argentina ETF (NYSE:ARGT) rose 1.9% ahead of the second round of the country’s presidential election over the weekend.
Shanthi Rexaline contributed to this report.
Photo via Shutterstock.