Saturday, 30 May, 2020

How major United States stock indexes fared Friday

Featured ETFs Rally After Overnight Slump As Reopening Optimism Trumps China News By Ian Young Featured ETFs Rally After Overnight Slump As Reopening Optimism Trumps China News By Ian Young
Ginger Lawrence | 23 May, 2020, 07:13

The S&P 500 rose 91.75 points, or 3.2%. Technology and healthcare shares were the biggest drag on the index.

Monday, markets in the US will be shuttered for Memorial Day.

(MENAFN - Stocks closed little changed on Friday as investors capped a strong week of gains amid optimism around a potential coronavirus vaccine and the US reopening its economy.

"The future remains uncertain, and thus we are not confident in saying a second wave can not happen - but the good news, there has yet to be a second wave in re-opened economies", said Tom Lee, the founder and head of research at Fundstrat Global Advisors.

Traders remain wary, however, that the reopening of businesses could lead to another surge in infections, potentially hobbling efforts to get the nation's battered economy growing again.

Adding tariffs on Chinese goods would hit United States consumers and "the market is skeptical Trump will risk that before November", said Gregori Volokhine of Meeschaert Financial Services. "There's still an very bad lot of uncertainty we have to work though".

The S&P 500 index swung between gains and losses before finishing up 0.2%. The index is still down 12.7% from its all-time high in February.

Unofficially, the Dow Jones Industrial Average .DJI fell 100.21 points, or 0.41%, to 24,475.69, the S&P 500 .SPX lost 23.1 points, or 0.78%, to 2,948.51, and the Nasdaq Composite .IXIC dropped 90.90 points, or 0.97%, to 9,284.88. The Nasdaq outperformed, rising 0.4% to 9,324.

Wall Street stocks finished mostly higher on Friday, concluding a positive week amid optimism about the reopening of the USA economy and progress on a coronavirus vaccine. On Friday, the Russell 2000 gained 7.97 points, or 0.6%, to 1,355.53. The nation's policy makers are signaling that they won't rush to introduce additional stimulus measures, which suggests more economic pain for countries that have become increasingly reliant on China as an engine of growth.

Investors are now keenly focused on the process of reopening the US economy, which is likely to continue accelerating as the summer progresses.

United Kingdom coronavirus test with 20-minute wait being trialled
Hancock said yesterday: "This new test could provide accurate results nearly on the spot". Hancock played down the importance of the delayed app in the process.

"The United States strongly urges Beijing to reconsider its disastrous proposal, abide by its worldwide obligations, and respect Hong Kong's high degree of autonomy, democratic institutions, and civil liberties", U.S. Secretary of State Mike Pompeo said on Friday.

Markets are caught between poor economic data and U.S.

Oil prices slumped, snapping a six-day winning streak.

Benchmark U.S. crude oil fell 2% to settle at $33.25 a barrel.

Brent crude, the global oil benchmark, fell 4.7% to $34.36 a barrel. The price has risen this month as oil producing nations cut back on output and the gradual reopening of economies around the globe have driven up demand.

Bonds yields were mixed.

The choppy trading on Wall Street followed a downbeat day in Asia.

Also weighing on sentiment was news that China would drop its annual economic growth target for the first time. European markets shook off some early weakness and ended mixed.

The American government is also objecting to China's move Friday to impose a new security law on Hong Kong following last year's pro-democracy protests. The move has drawn strong rebukes from the US government and rights groups.