Financial stocks soared on Friday, boosting investor confidence and pushing the S&P 500 and Dow Jones to new record highs.
Strong earnings from major U.S. banks helped lift the market, despite mixed economic data.
The S&P 500, tracked by the SPDR S&P 500 ETF Trust (SPY), jumped 0.7% to surpass 5,800 points, with nearly 23% growth this year. The Dow, tracked by the SPDR Dow Jones Industrial ETF (DIA), rose 0.8% to reach 42,780 points, breaking September’s records.
Chart: All-Time Highs for S&P 500 and Dow
Financial Stocks Lead Rally
The financial sector was the main contributor to Friday’s gains. The Financial Select Sector SPDR Fund (XLF) surged 1.9% to a new record, backed by better-than-expected earnings from U.S. banks.
JPMorgan Chase reported Q3 EPS of $4.37, exceeding estimates. Its shares jumped over 4%. Wells Fargo saw a 6.2% increase after reporting $1.42 EPS. Other banks like Bank of America and Goldman Sachs also posted gains between 2% and 4.8%, with Morgan Stanley hitting all-time highs.
Mixed Economic Data
Economic indicators showed a higher-than-expected Producer Price Index (PPI) but a weaker Michigan Consumer Sentiment report. The PPI rose 1.8% year-over-year, while consumer sentiment dropped to 68.9 in October.
Despite these mixed signals, strong earnings kept investors optimistic about future corporate earnings.
Top Performers
S&P 500’s Top 5 Performers on Friday
| Stock | Sector | Price | 1-day Return (%) |
|---|---|---|---|
| Uber Technologies | Industrials | 84.21 | 8.07% |
| Fastenal Company | Industrials | 75.13 | 7.34% |
| Wells Fargo | Financials | 60.99 | 5.61% |
| WW. Grainger | Industrials | 1,079.38 | 5.29% |
| Bank of America | Financials | 41.97 | 4.99% |
Dow’s Top 5 Performers on Friday
| Stock | Sector | Price | 1-day Return (%) |
|---|---|---|---|
| JPMorgan Chase | Financials | 221.99 | 4.30% |
| Boeing | Industrials | 150.55 | 2.68% |
| Goldman Sachs | Financials | 513.51 | 1.94% |
| Intel | Information Technology | 23.63 | 1.78% |
| American Express | Financials | 274.73 | 1.58% |
Read Next: JPMorgan Chase Q3 Earnings: Investment Banking Revenue Soars 29%
Image created using AI via Midjourney.
Market News and Data by Benzinga APIs
© 2024 Benzinga.com. All rights reserved.
