S&P 500 and Nasdaq tumble on data, geopolitics offset strong results at

Dow Jones Industrial Average rose 39.15 points or 0.12% to 33,670.29, S&P 500 lost 21.83 points or 0. The Nasdaq Composite fell 50% to 4,327.78 and the Nasdaq Composite fell 166.99 points, or 1.23%, to 13,407.23.

The S&P 500 and Nasdaq ended lower on Friday as deteriorating consumer confidence data and conflict in the Middle East deterred investors from making riskier bets and overshadowed upbeat quarterly results from some of America’s largest major banks.

Wall Street’s three main indexes opened higher but lost ground after a flash reading in the United States. Consumer confidence fell sharply in October. The Dow Jones witnessed a modest uptick in its figures.

investors also followed news from the Middle East. Israel announced on Friday that it had carried out airstrikes in the Gaza Strip. This is the first announcement of ground operations against Hamas militants since their deadly rampage in Israel. The United Nations said it was impossible to ask Israel to abandon civilians in the Gaza Strip “without devastating humanitarian consequences.

US Treasury bond prices rose as investors sought safety while the price of US crude oil stabilized at 5.8th %.

“This indicates a heightened preference for risk avoidance,” commented Lauren Goodwin, an economist and portfolio strategist associated with New York Life Investments. He added that moves in bonds, stocks, and oil reflected concerns about deteriorating consumer confidence, the global economy, and geopolitical conflicts.

In this stage of the economic cycle, where data appears favorable but anticipates deterioration in the upcoming months, Goodwin remarked, Directional shifts are a frequent occurrence, and market narratives seldom extend beyond a brief few-day span.

However, unless there is a significant escalation in the war in the Middle East, the strategist said she does not expect Friday’s atmosphere to “signal the start of unrest in the markets.”

The Dow Jones Industrial Average rose 39.15 points, or 0.12%, to 33,670.29, while the S&P 500 lost 21.83 points, or 0. The Nasdaq Composite fell 50% to 4,327.78 and the Nasdaq Composite fell 166.99 points, or 1.23%, to 13,407.23.

However, the S&P 500 Index rose 0.45% this week, marking its second consecutive weekly gain. For the week, the Nasdaq fell 0.18%. Dow showed 0. Win 79% to break a two-week losing streak.

Among the 11 major industrial sectors, the S&P rose in the energy sector, with a gain of 2.3% due to higher oil prices. Defensive sectors also saw the largest gains, such as public utilities (+1%) and consumer staples (+0.8%).

traders work on the trading floor of the New York Stock Exchange in New York, U.S., September 28, 2023. REUTERS/Brendan McDermid/File Photo Captured LICENSE RIGHTS

Other safe-haven assets such as gold saw gains.

Shares of JPMorgan Chase, Wells Fargo, and Citigroup rose after their quarterly earnings surprised analysts’ estimates, helped by rising interest rates. Wells Fargo rose 3% and JPMorgan closed 1.5% higher, but Citigroup lost momentum and closed 0.2% lower.

The S&P 500 Banks Index gave up daily gains to close down 0.6 billion, rising as much as 3.4% to its highest level in three weeks.

Federal Reserve Bank of Philadelphia President Patrick Harker said he believes the central bank has likely completed its rate-hiking cycle as price pressures ease.

Among individual stocks, the asset management company BlackRock fell by 1.3ter reporting a sharp decline in quarterly net sales.

UnitedHealth improved by 2.6 billion, beating third-quarter earnings estimates.

Dollar General took 9th place. The discount retailer brought back former CEO Todd Vasos to replace CEO Jeff Owen.

Boeing has suspended operations on the aircraft’s third floor and Spirit AeroSystems has expanded its ongoing inspections due to a manufacturing defect in the 737 Max 8 aircraft. Spirit shares lost 0.9%.

declining issues outnumbered new issues on the NYSE by a ratio of 1.56 to 1; On the Nasdaq, the 1.68-to-1 ratio is favorable for declines.

The S&P 500 marked a dozen fresh 52-week highs while experiencing twenty new lows, whereas the Nasdaq Composite registered twenty-eight new highs and encountered three hundred thirty-five new lows.

On the American stock exchanges, 10.06 billion shares changed hands, compared to 10. An average of 37 billion over the last 20 sessions.

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