S&P 500 ekes out intraday record before ending down with Dow, Nasdaq on mixed company news
Major U.S. stock indexes slipped to snap their four-session winning streak, but they still managed to post their second straight weekly gain after President Donald Trump eased tariffs and called for lower interest rates and cheaper oil in his first week at the White House .
Trump proposed 25% tariffs on Canada and Mexico on Feb. 1, later than his earlier promise to start tariffs on Day 1. He also mentioned the tariffs 10% on all Chinese importswhich will be significantly lower than 60% he offered during the campaign.
“This has left investors feeling that not only may its rate plans be lower on the priority list, but they may be less aggressive than first thought,” said Matthew Ryan, head of market strategy at the global financial services firm. the leader: Ebury.
Further boosting stocks, Trump told world leaders At a meeting in Davos, Switzerland on Thursday, he will demand lower interest rates and ask Saudi Arabia and other oil producers to cut the price of oil, which fell 0.09% to $74.55 a barrel.
The broad S&P 500 ended up 0.29%, or 17.47 points, at 6,101.24, off Thursday’s record close of 6,118.71 and hitting an intraday record of 6,128.18 at the open. The blue-chip Dow fell 0.32% or 140.82 to 44,424.25, while the tech-heavy Nasdaq fell 0.5%, or 99.38, to 19,954.30.The benchmark 10-year Treasury yield fell to 4.617 %:
Even though Trump said he would “claim” lower interest ratesThe Federal Reserve is responsible for monetary policy and generally operates independently of the government.
The Fed plans to meet next week and make a policy announcement on Wednesday strong dataincluding: a blowout december jobs reportalmost no one expects Fed by lower interest ratesaccording to CME’s FedWatch tool which tracks what the market thinks is the probability of an interest rate move.
The Fed’s short-term benchmark fed funds target is 4.25% to 4.5%.
In the back of investors’ minds for now, rates may turn their attention to corporate news, especially earnings.
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Verizon’s revenue beat analysts’ expectations in the last three months.The wireless provider also saw its best postpaid phone subscriber growth in five years, with the stock closing up nearly 1%.
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Shares in Novo Nordisk rose about 8.5% on positive early-stage results for its once-weekly obesity drug amicretin.
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Twilio issues stronger-than-expected earnings forecast, shares jump 20%
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Texas Instruments warned that its first-quarter profit would miss analysts’ forecasts as it struggled with inventory build-up in its core auto and industrial markets, sending the stock down 7.5% in its worst day since March 2020.
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Shares of CSX fell nearly 3% after the transportation company said its fourth-quarter results fell due to a sharp drop in coal and fuel surcharge revenue.
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Shares of Intuitive Surgical fell 4.4% in their worst day since October 2023 after the company cut its gross profit margin forecast.
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Last night, Boeing warned of a bigger-than-expected loss in the fourth quarter long strike charges related to US government programs and spending related to a series of job cuts.The stock fell 1.37%.
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