The main indices of Wall Street operate upwards this Friday, January 19, on a day in which the S&P 500 is very close to breaking its historical record, while doubts about the possibility that the Federal Reserve cut interest rates keeps investors on alert.
In this context, the index S&P 500 gains 16.11 points, or 0.3%, to 4,797.05 units, while the Nasdaq rises 78.53 points, or 0.5%, to 15,134.18. Meanwhile, the Industrial Average Dow Jones It advanced 102.87 points, or 0.3%, to 37,571.48 units.
S&P 500 less than 1% from its all-time high
He S&P is less than 1% from its all-time highdespite a choppy start to the week, following mixed results from major investment banks and mostly disappointing commentary on the possibility of central banks cutting rates sooner than expected.
The semiconductor firms Advanced Micro Devices, Marvell Technology, Nvidia and Microchip Technology were up 0.1% to 1% after the server maker Super Micro Computer will raise its profit forecasts for the second quarter, boosting its shares by 10.1%.
He Philadelphia SE Semiconductor index and information technology reached new recordsin a session in which mega-cap companies like Microsoft, Meta Platforms, Alphabet and Apple They added up to between 0.3% and 1.1%.
The chip stock recovery It is also due to bullish artificial intelligence forecasts from Taiwan Semiconductor Manufacturing (TSMC), the world’s largest contract chipmaker, published on Wednesday.
“It seems that people believe that chip values are the engine that is going to drive the growth of artificial intelligence, not only in terms of computing and processing power, but also to revolutionize business,” he said. Chris Zaccarellifrom Independent Advisor Alliance.
Wall Street rises at the pace of the consumer confidence index
US consumer confidence improved in January until reaching the highest level from the northern summer of 2021amid optimism about the outlook for inflation and household income, a survey showed on Friday.
The preliminary reading of University of Michigan’s overall consumer confidence index stood at 78.8 this monththe highest reading since July 2021, up from 69.7 in December.
“Consumer opinions were supported by confidence that the inflation has turned the corner and strengthening income expectations,” said the director of Consumer Surveys, Joanne Hsuit’s a statement.
One-year inflation expectations fell to 2.9% this month from 3.1% in December. The five-year outlook fell to 2.8% from 2.9% the previous month.
The president of the Atlanta Federal Reserve, Raphael Bosticsaid was open to cutting rates sooner than he had anticipated if there is “compelling” evidence in the coming months that inflation is falling faster than he expected.
He had previously stated that he hoped it would be appropriate to cut rates in the second half of 2024.
Source: Ambito
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