New York, April 29-Wall Street soared yesterday after a strong quarterly report from Metaplatform lifted the blow on technology and growth stock, offsetting concerns over the shrinking US economy in the first quarter.
Facebook parents surged 17.6% after social networks reported higher-than-expected profits and recovered from a decline in users.
Communications services and technology are the strongest of the 11 S & P 500 sector indexes, rising 4.04% and 3.89%, respectively.
Both Apple Inc, the world’s most valuable company, and Amazon.com Inc, the e-commerce giant, outperformed their quarterly reports later in the day by more than 4%.
In expanded trade, Amazon fell about 10 percent after forecasting sales this quarter below Wall Street estimates.
Investors have been dumping high-growth stocks for weeks because of concerns about inflation, rising interest rates and a potential slowdown. Despite yesterday’s strong rise, tech-heavy Nasdaq fell almost 10% in April, towards the deepest month’s decline since March 2020.
The S & P 500 showed an increase or decrease of more than 2% in one day, about 32 times so far in 2022, compared to 24 days in 2021 as a whole.
Zack Hill, Head of Portfolio Strategy at Horizon Investments in Charlotte, North Carolina, said: Carolina.
“We’ve generated a lot of revenue data over the last few days and weeks, but in general, except for a few specific cases, the underlying fundamentals of a company in the United States are relatively strong,” Hill said. I am saying.
The US economy shrank unexpectedly in the first quarter as the number of cases of Covid-19 surged again and government pandemic bailouts declined.
The first decline in gross domestic product since the short-term and sharp pandemic recession nearly two years ago, reported by the Department of Commerce, was primarily due to the widening trade deficit and slowing pace of inventories, primarily due to the surge in imports. was.
Informally, the S & P 500 rose 2.47% and ended the session with 4,287.50 points.
Nasdaq rose 3.06 percent to 12,871.53 points and the Dow Jones Industrial Average rose 1.85 percent to 33,916.39 points.
The Ukrainian War, the blockade of Covid in China, and the surge in inflation have weighed on the outlook for the global economy, causing volatility ahead of the May meeting of the Federal Reserve Board next week. Fed watchers expect a 50 basis point rate hike.
Overall, first-quarter revenues were higher than expected, with 81% of the 237 S & P 500 companies so far higher than Wall Street’s expectations. According to Refinitiv data, typically only 66% of companies exceed the quote.
Qualcomm Inc surged 9.7% after chipmakers forecast third-quarter earnings to exceed analysts’ expectations.
The Philadelphia Semiconductor Index surged 5.6% with the largest daily profit in over a year.
Caterpillar Inc fell 0.7% this quarter after warning that profit margins could be under pressure from soaring costs.
Among other moves, Amgen fell 4.3 percent after the US Internal Revenue Service said it was seeking an additional refund tax of US $ 5.1 billion (RM22.3 billion).
Volume on the US exchange was 12.3 billion shares, compared to an average of 11.8 billion shares over the last 20 trading days.
In the US stock market as a whole, rising stocks outperform falling stocks by a 2.6: 1 ratio.
The S & P 500 posted 5 new 52-week highs and 44 new lows. The Nasdaq Composite recorded 25 new highs and 672 new lows. -Reuters
https://www.malaymail.com/news/money/2022/04/29/wall-street-ends-sharply-higher-lifted-by-meta-and-apple/2056250 Wall Street is lifted by Meta and Apple and ends sharply high | Money