Financial stocks surged on Friday, boosting positive sentiment on Wall Street and pushing both the S&P 500 and Dow Jones to record highs.
Strong earnings from major U.S. banks helped rally the market, despite mixed economic data released earlier.
The S&P 500, tracked by the SPDR S&P 500 ETF Trust (SPY), rose 0.7% to surpass 5,800 points, achieving nearly 23% growth this year.
Meanwhile, the Dow Jones Industrial Average, tracked by the SPDR Dow Jones Industrial ETF (DIA), jumped 0.8% to 42,780 points, breaking previous records.
Chart: S&P 500 and Dow Hit All-Time Highs
Financial Stocks Lead Market Gains
The financial sector was the main driver of Fridays rally. The Financial Select Sector SPDR Fund (XLF) jumped 1.9%, its best performance since November 2023.
Major banks like JPMorgan Chase (JPM) exceeded earnings expectations, leading to a more than 4% rise in shares. Wells Fargo (WFC) shares soared 6.2% after announcing a strong earnings report, despite cautious guidance.
Other banks like Bank of America (BAC) and Goldman Sachs (GS) also saw significant gains, contributing to the overall market strength.
The regional banking sector benefited too, with the SPDR S&P Regional Banking ETF (KRE) up 3.5%.
Economic Data Mixed but overshadowed by Strong Earnings
Economic data showed a higher-than-expected Producer Price Index (PPI) and lower consumer sentiment. Despite these signals, investors remained optimistic due to strong bank earnings.
Top Performers of the Day
S&P 500 Top 5 Performers
| Stock | Sector | Price | 1-Day Return (%) |
|---|---|---|---|
| Uber Technologies (UBER) | Industrials | $84.21 | 8.07% |
| Fastenal (FAST) | Industrials | $75.13 | 7.34% |
| Wells Fargo (WFC) | Financials | $60.99 | 5.61% |
| WW. Grainger (GWW) | Industrials | $1,079.38 | 5.29% |
| Bank of America (BAC) | Financials | $41.97 | 4.99% |
Dow Top 5 Performers
| Stock | Sector | Price | 1-Day Return (%) |
|---|---|---|---|
| JPMorgan Chase (JPM) | Financials | $221.99 | 4.30% |
| Boeing (BA) | Industrials | $150.55 | 2.68% |
| Goldman Sachs (GS) | Financials | $513.51 | 1.94% |
| Intel (INTC) | Tech | $23.63 | 1.78% |
| American Express (AXP) | Financials | $274.73 | 1.58% |
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