Wall Street staged a rebound on Friday, erasing Thursday’s losses and ending the week on a positive note. However, the midday gains weren’t enough to completely offset the downward pressure, resulting in a second consecutive weekly decline for the S&P 500, which is currently down 1% for the week.
Concerns surrounding tech earnings eased after Amazon.com Inc. (AMZN) delivered a better-than-expected earnings report, restoring some investor confidence and boosting the sector’s performance. Amazon shares soared over 6%, experiencing their best session since February. This strong performance propelled the Nasdaq 100, which gained 1.1%, outpacing the S&P 500’s 0.8% rise.
However, a disappointing jobs report cast a shadow over the market’s optimism. The U.S. economy added only 12,000 jobs in October, a significant drop from the 223,000 gain in September and well below the forecasted 113,000. This weak hiring activity, attributed to hurricanes and strikes that led to hiring freezes across the country, highlighted the challenges facing the labor market.
Despite the weak job figures, the unemployment rate remained steady at 4.1%, suggesting that companies chose to retain their existing workforce rather than reducing staff. This signals a potential shift in business strategy amidst economic uncertainty.
Adding to the market’s concerns, the ISM Manufacturing PMI indicated contraction for the seventh consecutive month in October, falling short of expectations. This data point underscores the continued weakness in the manufacturing sector.
Oil prices experienced a volatile day, initially surging on reports of an imminent retaliatory attack by Iran on Israel. However, these concerns subsided, leading to a pullback in oil prices. Gold edged down 0.1%, while Bitcoin (BTC/USD) dipped 0.3%, falling below the $70,000 mark.
Friday’s Performance in Major US Indices and ETFs
| Index | Price | 1-day % change |
|—————————|———–|—————-|
| Nasdaq 100 | 20,123.15 | 1.2% |
| Dow Jones | 42,161.88 | 1.0% |
| S&P 500 | 5,751.05 | 0.8% |
| Russell 2000 | 2,209.70 | 0.6% |
Major ETFs
* SPDR S&P 500 ETF Trust (SPY): Up 0.9% to $573.75
* SPDR Dow Jones Industrial Average (DIA): Up 1.1% to $422.09
* Invesco QQQ Trust Series (QQQ): Up 1.2% to $489.80
* iShares Russell 2000 ETF (IWM): Up 0.8% to $219.26
* Consumer Discretionary Select Sector SPDR Fund (XLY): Up 2.0%
* Utilities Select Sector SPDR Fund (XLU): Down 1.4%
Friday’s Stock Movers
*
Earnings-driven:
* Apple Inc. (AAPL): Down 1.6%
* Intel Corp. (INTC): Up over 6%
* Atlassian Corp. (TEAM): Up 20%
* Exxon Mobil Corp. (XOM): Down 0.7%
* Chevron Corp. (CVX): Up 2.8%
* Charter Communications Inc. (CHTR): Up 13%
* Dominion Energy Inc. (D): Down 0.2%
* Cardinal Health Inc. (CAH): Up 6%
* CBOE Global Markets Inc. (CBOE): Down 2.9%
* Waters Corp. (WAT): Up 17%
