Wall Street strongly rebounded Thursday after Wednesday’s slump, driven by stronger-than-expected economic growth in the last quarter, countering concerns of a slowdown.
The U.S. economy posted a notable 2.8% real growth in the second quarter, doubling the first quarter’s pace and exceeding the 2% growth estimate.
Adding to the positive outlook, the Personal Consumption Expenditure (PCE) price index showed cooling price pressures, dropping from 3.4% to 2.6%, signaling progress toward the 2% target.
At midday, major U.S. averages traded positively, with all eleven sectors of the S&P 500 posting gains. The S&P 500 index was up 1%, and the Dow gained a robust 1.3%. The tech-heavy Nasdaq 100 inched 0.9% higher, while small caps, tracked by the iShares Russell 2000 ETF (NYSE:IWM), rallied 2.4%.
Treasury yields fell significantly, with the 30-year yield down 6 basis points to 4.48%, boosting the iShares 20+ Year Treasury Bond ETF (NASDAQ:TLT) by 1.8%.
Gold fell 1.6%, likely impacted by the rebound in riskier assets, silver plummeted 3.7%, while oil prices rose 0.7% to $77.80.
Bitcoin (CRYPTO: BTC) fell 1% to $64,750, marking its fourth straight session of losses.
Thursday’s Performance In Major US Indices, ETFs
Major Indices | Price | 1-day %chg |
Russell 2000 | 2,252.16 | 2.4% |
Dow Jones | 40,361.96 | 1.3% |
S&P 500 | 5,480.26 | 1.0% |
Nasdaq 100 | 19,202.70 | 0.9% |
- The SPDR S&P 500 ETF Trust (NYSE:SPY) was 0.7% higher to $545.24.
- The SPDR Dow Jones Industrial Average (NYSE:DIA) rose 1.1% to $403.20.
- The tech-heavy Invesco QQQ Trust (ARCA: QQQ) rose 0.5% to $465.53.
- Sector-wise, the Industrials Select Sector SPDR Fund (NYSE:XLI) outperformed, up by 1.9%, while the Communication Services Select Sector SPDR Fund (NYSE:XLC) and the Utilities Select Sector SPDR Fund (NYSE:XLU) lagged, both up 0.6%.
Wednesday’s Stock Movers
Stocks moving on earnings were:
- Chipotle Mexican Grill, Inc. (NYSE:CMG), down 2%.
- Edwards Lifesciences Corporation (NYSE:EW) down over 29%.
- Ford Motor Co. (NYSE:F) down over 16%.
- International Business Machines Corporation (NYSE:IBM) up nearly 6%.
- Las Vegas Sands Corp. (NYSE:LVS) down over 1%.
- ServiceNow, Inc. (NYSE:NOW) ORLY), up over 15%.
- Kla Corp. (NASDAQ:KLAC) up 3.2%.
- Teradyne Inc. (NASDAQ:TER) down over 11%.
- Newmont Corp. (NYSE:NEM) down nearly 3%.
- STMicroelectronics N.V. down over 11%.
- O’Reilly Automotive, Inc. (NASDAQ:ORLY) up over 4%.
- AbbVie Inc. (NYSE:ABBV) up nearly 4%.
- American Airlines Group Inc. (NASDAQ:AAL) up over 6%.
- AstraZeneca PLC (NASDAQ:AZN) down 2.8%.
- Comcast Corporation (NASDAQ:CMCSA) up 1.9%.
- Dow Inc. (NYSE:DOW) down 0.6%.
- Hasbro, Inc. (NASDAQ:HAS) up 3.8%.
- Honeywell International Inc. (NASDAQ:HON) down over 4%.
- Sanofi (NASDAQ:SNY) up 3.9%
- Southwest Airlines Co. (NYSE:LUV) up 6.8%
- RTX Corp. (NYSE:RTX) up over 8%.
- Union Pacific Corporation (NYSE:UNP) up 0.1%.
- Valero Energy Corp. (NYSE:VLO).
- Xerox Holdings Corporation (NASDAQ:XRX) down over 7%.
Those reporting after the close include: SkyWest, Inc. (NASDAQ:SKYW), Juniper Networks, Inc. (NYSE:JNPR), Deckers Outdoor Corporation (NYSE:DECK), Boyd Gaming Corporation (NYSE:BYD), BJ’s Restaurants, Inc. (NASDAQ:BJRI) and VeriSign, Inc. (NASDAQ:VRSN).
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Image created using artificial intelligence via Midjourney.