US. Equities rallied on Friday as key benchmarks targeted their most robust weekly gains in a month, with investors predicting optimistic headlines on US-China trade developments and conflicting data on the US economy.
Equities will also be affected by Friday's quadruple-witching, the simultaneous expiration of stock index futures and stock index options, as well as individual stock futures and options.
What were the main indexes?
The Dow Jones Industrial Average
DJIA, + 0.73%
rose 35 points, or 0.1
SPX, + 0.68%
climbed by 9 points or 0.3% with 2,815. The Nasdaq Composite Index
COMP, + 1.05%
rose 53 points to 7,683, an increase of 0.7%.
For the week, the Dow is set to a weekly gain of 1.3%, while the S & P 500 is expected to rise 2.8%, while the Nasdaq will rise to a pace of 3.8% over the past five trading days , Profits would mean the biggest weekly gain since February 15th, according to FactSet data.
What do Benchmarks do?
The Dow was heavily loaded this week by Boeing Inc. (19459012)
BA, + 2.36%
Fights in connection with the grounding of his 737 Max 8 and Max 9. The performance of the broader market and in particular of the technology stocks was more robust according to the US workers Demand is still high and consumer confidence is rising.
Investors are also digesting the comments of Chinese Prime Minister Li Keqiang, Beijing's second-largest head of government after President Xi Jinping, who was optimistic that a trade agreement between China and the US could be achieved, which would suit both parties.
He also denied the allegations that the country had used its technology to spy on other countries and tried to place one of the main problems between the US and China in a trade agreement.
"That's not how China behaves. We have not and will not do so in the future, "Li said in closing remarks on Thursday's National People's Congress conclusion.
He added that the parties may be out of collective bargaining for several weeks, but China as Regardless, US Treasury Secretary Steven Mnuchin, who told reporters at a Senate Finance Committee, said no date was set for a meeting between Xi and Trump to conclude a deal. " There is still a lot to do. "
Bloomberg News one day ago said a meeting tentatively scheduled for the end of March would be postponed to April.
Trade talks between the world's two largest economies were a cause for concern great concern for investors, as a violent war between the two countries has the potential to economist damage worldwide.
However, the Bank of Japan left interest rates unchanged as expected, but also purchases of Japanese government bonds.
Apart from his comments on trade, China's Li highlights the weakness in the world's second-largest economy and promised to implement measures to boost the economy, including lowering interest rates and banks' reserve requirements.
Which data are in focus?
Manufacturing activity in New York State expanded more slowly than expected. The New York Fed's Empire State index fell from 8.8 in March to 3.7 two-year lows in March. Economists had calculated a value of 10 according to a survey by Econoday.
US. According to a MarketWatch survey, industrial production rose 0.1% in February, below the economist's estimate of 0.4%. The January figure, however, was revised up 0.4%, down from 0.6% as previously thought.
The report also showed that capacity utilization fell slightly to 78.2% in February, from 78.3% in January.
The number of job vacancies in the US rose to 7.58 million in January, according to the Labor Department, the third highest in existence.
Consumer sentiment rose from 93.8 in February to 97.8 in March, according to a preliminary assessment of the University of Michigan consumer sentiment index. It was above the level expected by 95 economists interviewed by MarketWatch.
What do strategists say?
"The uptrend this morning is fueled by [China premier Li Keqiang’s] comments," according to which the Chinese government has committed itself to providing incentives to the world's second-largest economy, Brent Schutte, chief investment strategist at Northwestern Mutual Asset Management. to support. told MarketWatch.
"You see smaller companies with good market capitalization behave well, which suggests Wall Street risk appetite," he added, citing strong consumer confidence data as a reason to believe that the expansion of the US economy has more leeway.
ActivTrades technical analyst Pierre Veyret said, "This risk appetite was mainly based on widespread optimism after President Trump recently made the statement about a 'very responsible and reasonable China'. The US president added that he would be informed about China trade agreements over the next 3 to 4 weeks, which could lead to an extension of this year's rally on stocks. "
" It's likely that the expiration date will expire with four options. That will cause volume and volatility, "wrote Peter Cardillo, chief economist at Spartan Capital Securities.
Which stocks are in focus?
Stocks of Facebook Inc. .
were under pressure after the social media company announced that two executives were leaving the company. The share fell by 2.5%. Equities fell 1.9% on Thursday, as it became known that a grand jury was prosecuting the company's data-sharing practices.
Amazon Inc. .
AMZN, + 1.18%
The stock gained 0.5% on Friday after KeyBanc Capital raised its valuation to overweight.
Boeing's shares were up 0.9%, but were down almost 11% during the week.
Bioscrip Inc. .
shares fell 30% after the company entered into an agreement to merge with privately held Option Care Enterprises Inc.
shares of Broadcom Inc. had announced. rose 10.7% on Friday morning, after the chipmaker reported Thursday's first-quarter results that exceeded expectations.
Stocks of Ulta Beauty Inc. .
ULTA, + 9.30%
rebounded 8.1% after Thursday's beauty products retailer reported fourth-quarter results outperforming as online sales increased were.
Newell Brands Inc. .
Shares took center stage after CEO Michael Polk said on Thursday evening that he would be leaving the company at the end of the second quarter. The stock fell 50.9% on Friday.
Shares of Oracle Corp .
fell 0.7%, according to a report Thursday night in which the enterprise software company's earnings estimates for the fiscal third quarter exceeded expectations, surpassed expectations and outlook
] How did the key benchmarks develop yesterday?
On Thursday, the Dow rose 7.05 points to 25,709.94, an increase of less than 0.1%. The S & P 500 Index fell 2.44 points to 2,808.48 and barely changed, and the Nasdaq Composite Index lost 12.50 points or 0.2% to 7,630.91.
How are markets traded elsewhere?
In Asia, equities closed higher on Friday with the Japanese Nikkei 225
NIK, + 0.77%
China's Shanghai Composite Index
SHCOMP, + 1.04%
and Hong Kong's Hang Seng Index
HSI, + 0.56%
all up more than 0.5%
European equities also rose, with the Stoxx Europe 600
SXXP, + 0.59%
where 0.6% was added.
Commodity prices crude oil prices
tick higher as gold prices rise
GCJ9, + 0.53%
rose and the US dollar soared
gave way to his colleagues.
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