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Stock market news live updates: S&P 500 rises to a fresh history closing high

Stocks finished higher on Friday, with the S&P 500 and Nasdaq closing out the session at record levels.

The S&P 500 and Nasdaq each rose about 0.5 %, even though the Dow finished simply a tick above the flatline. U.S. stocks shook off earlier declines after monitoring a drop in overseas equities, after new data showed that UK gross domestic product (GDP) slumped by a report 9.9 % in 2020 as a virus-induced recession swept the nation.

Shares of Dow component Disney (DIS) reversed earlier gains to fall greater than 1 % and take back out of a record high, after the company posted a surprise quarterly profit and grew Disney+ streaming subscribers more than expected. Newly public company Bumble (BMBL), which began trading on the Nasdaq on Thursday, rose another 7 % after jumping sixty three % in the public debut of its.

Over the past couple weeks, investors have absorbed a bevy of much stronger than expected earnings benefits, with company earnings rebounding faster than expected inspite of the ongoing pandemic. With at least eighty % of companies these days having claimed fourth-quarter outcomes, S&P 500 earnings per share (EPS) have topped estimates by 17 % for aggregate, and bounced back above pre-COVID amounts, according to an analysis by Credit Suisse analyst Jonathan Golub.

generous government action and “Prompt mitigated the [virus-related] damage, leading to outsized economic and earnings surprises,” Golub said. “The earnings recovery has been considerably more powerful than we might have thought possible when the pandemic for starters took hold.”

Stocks have continued to establish new record highs against this backdrop, and as monetary and fiscal policy assistance stay strong. But as investors become comfortable with firming business functionality, companies could possibly need to top greater expectations to be rewarded. This can in turn put some pressure on the broader market in the near-term, and warrant much more astute assessments of individual stocks, in accordance with some strategists.

“It is no secret that S&P 500 performance has been really powerful over the past several calendar years, driven mainly through valuation expansion. Nevertheless, with the index P/E [price-to-earnings ratio] recently eclipsing its previous dot com high, we believe that valuation multiples will begin to compress in the coming months,” BMO Capital Markets strategist Brian Belski wrote in a note Thursday. “According to our job, strong EPS growth will be important for the following leg higher. Fortunately, that is exactly what existing expectations are forecasting. But, we in addition found that these kinds of’ EPS-driven’ periods tend to be more challenging from an investment strategy standpoint.”

“We assume that the’ easy cash days’ are over for the time being and investors will have to tighten up the focus of theirs by evaluating the merits of specific stocks, instead of chasing the momentum-laden practices who have recently dominated the investment landscape,” he added.

4:00 p.m. ET: Stocks end higher, S&P 500 and Nasdaq reach history closing highs
Here is where the main stock indexes ended the session:

S&P 500 (GSPC): +18.55 points (+0.47 %) to 3,934.93

Dow (DJI): +27.44 points (+0.09 %) to 31,458.14

Nasdaq (IXIC): +69.70 points (+0.5 %) to 14,095.47

2:58 p.m. ET:’ Climate change’ will be the most-cited Biden policy on company earnings calls: FactSet
Fourth-quarter earnings season represents the pioneer with President Joe Biden in the White House, bringing the latest political backdrop for corporations to contemplate.

Biden’s policies around climate change and environmental protections have been the most-cited political issues brought up on corporate earnings calls up to this point, based on an analysis from FactSet’s John Butters.

“In terms of government policies talked about in conjunction with the Biden administration, climate change as well as energy policy (twenty eight), tax policy (20 COVID-19 and) policy (nineteen) have been cited or perhaps talked about by the highest number of businesses with this point on time in 2021,” Butters wrote. “Of these 28 companies, seventeen expressed support (or perhaps a willingness to your workplace with) the Biden administration on policies to greatly reduce carbon as well as greenhouse gas emissions. These 17 companies both discussed initiatives to reduce the own carbon of theirs as well as greenhouse gas emissions or maybe items or services they give to help clientele & customers lower the carbon of theirs and greenhouse gas emissions.”

“However, four businesses also expressed a number of concerns about the executive order starting a moratorium on new engine oil as well as gas leases on federal lands (and also offshore),” he added.

The list of 28 companies discussing climate change as well as energy policy encompassed organizations from a diverse array of industries, like JPMorgan Chase, United Airlines Holdings and 3M, alongside conventional oil majors like Chevron.

11:36 a.m. ET: Stocks combined, S&P 500 and Nasdaq turn positive
Here is in which markets had been trading Friday intraday:

S&P 500 (GSPC): +7.87 points (+0.2 %) to 3,924.25

Dow (DJI): 8.77 points (0.03 %) to 31,421.93

Nasdaq (IXIC): +28.15 points (+0.21 %) to 14,053.77

Crude (CL=F): +$0.65 (+1.12 %) to $58.89 a barrel

Gold (GC=F): +$0.20 (+0.01 %) to $1,827.00 per ounce

10-year Treasury (TNX): +2.7 bps to yield 1.185%

10:15 a.m. ET: Consumer sentiment unexpectedly plunges to a six-month low in February: U. Michigan
U.S. consumer sentiment slid to probably the lowest level after August in February, based on the University of Michigan’s preliminary monthly survey, as Americans’ assessments of the road ahead for the virus stricken economy unexpectedly grew much more grim.

The title consumer sentiment index dipped to 76.2 from 79.0 in January, sharply lacking expectations for a rise to 80.9, as reported by Bloomberg consensus data.

The entire loss in February was “concentrated in the Expectation Index and among households with incomes under $75,000. Households with incomes of the bottom third reported considerable setbacks in their present finances, with fewer of these households mentioning latest income gains than whenever after 2014,” Richard Curtin chief economist for the university’s Surveys of Consumers, said in a statement.

“Presumably a new round of stimulus payments will bring down financial hardships among those with probably the lowest incomes. Much more surprising was the finding that customers, despite the likely passage of a massive stimulus bill, viewed prospects for the national economy less favorably in early February than more month,” he added.

9:30 a.m. ET: Stocks open lower, but speed toward posting weekly gains
Here’s in which markets had been trading just after the opening bell:

S&P 500 (GSPC): -8.31 points (-0.21 %) to 3,908.07

Dow (DJI): -19.64 (0.06 %) to 31,411.06

Nasdaq (IXIC): 53.51 (+0.41 %) to 13,970.45

Crude (CL=F): 1dolar1 0.23 (0.39 %) to $58.01 a barrel

Gold (GC=F): -1dolar1 10.70 (0.59 %) to $1,816.10 per ounce

10-year Treasury (TNX): +3.2 bps to yield 1.19%

9:05 a.m. ET: Equity funds see highest weekly inflows ever as investors pile into tech stocks: Bank of America
Stock cash just saw their largest-ever week of inflows for the period ended February 10, with inflows totaling a record $58.1 billion, as reported by Bank of America. Investors pulled a total of $800 million out of gold and $10.6 billion out of money throughout the week, the firm added.

Tech stocks in turn saw the own record week of theirs of inflows at $5.4 billion. U.S. large cap stocks saw the second-largest week of theirs of inflows ever at $25.1 billion, and U.S. tiny cap inflows saw their third-largest week at $5.6 billion.

Bank of America warned that frothiness is rising in markets, however, as investors continue piling into stocks amid low interest rates, as well as hopes of a solid recovery for corporate profits and the economy. The firm’s proprietary “Bull as well as Bear Indicator” monitoring market sentiment rose to 7.7 from 7.5, nearing an 8.0 “sell” signal.

7:14 a.m. ET Friday: Stock futures point to a lower open
Here were the primary actions in markets, as of 7:16 a.m. ET Friday:

S&P 500 futures (ES=F): 3,904.00, printed 8.00 points or 0.2%

Dow futures (YM=F): 31,305.00, down 54 points or even 0.17%

Nasdaq futures (NQ=F): 13,711.25, down 17.75 points or even 0.13%

Crude (CL=F): -1dolar1 0.43 (-0.74 %) to $57.81 a barrel

Gold (GC=F): 1dolar1 9.50 (0.52 %) to $1,817.30 per ounce

10-year Treasury (TNX): +0.5 bps to yield 1.163%

6:03 p.m. ET Thursday: Stock futures tick higher
Here is where markets had been trading Thursday as overnight trading kicked off:

S&P 500 futures (ES=F): 3,904.50, down 7.5 points or even 0.19%

Dow futures (YM=F): 31,327.00, down 32 points or even 0.1%

Nasdaq futures (NQ=F): 13,703.5, down 25.5 points or perhaps 0.19%

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