INSUBCONTINENT EXCLUSIVE:
Wall Street climbed more than 1 percent on Friday following its worst two-day slide in eight months, with technology and other high-growth
stocks leading a fight back.
Ten of the 11 major SP sectors were higher, led by the technology sector's 3.11 percent jump, with Microsoft
and Apple gaining 3 percent.
JPMorgan Chase Co and Wells Fargo reversed earlier gains to tread lower after their quarterly results, while
Citigroup was up 1 percent as its profit topped estimates.
The bank results launch a quarterly reporting season that will give the clearest
picture yet of the impact on profits from President Donald Trump's trade war with China.
"The market is going to focus on not just current
quarter earnings, but guidance going forward, particularly as it relates to the profit margins
You've got some indications of rising wage pressure and higher interest rates," said Willie Delwiche, investment strategist at Robert W
Baird in Milwaukee.
"The underperformance from banks and financial sector even as rates have moved higher has been a bit of a warning sign
If you can get banks starting to trend higher and providing some leadership for the market, then that helps switch some of the fears that
are in the market overall."
Earnings at SP 500 companies are estimated to have risen 21.3 percent in the third quarter, according to I/B/E/S
data from Refinitiv, a slowdown from the previous two quarters.
Wall Street's two-day slide this week was its worst in eight months, pulling
the three major indexes down a little over 5 percent each, with the Nasdaq narrowly avoiding moving into correction territory.
"A bounce off
the lows isn't unexpected, but the key will be what kind of a market support it has and whether or not it can persist," said Delwiche.
At
ET the Dow Jones Industrial Average was up 347.71 points, or 1.39 percent, at 25,400.54, the SP 500 was up 46.39 points, or 1.70 percent, at
2,774.76 and the Nasdaq Composite was up 183.33 points, or 2.50 percent, at 7,512.39.
The other major gainers were the consumer
discretionary and communication services sectors, which rose 2.73 percent and 2.08 percent, respectively.
The two sectors, along with tech,
house the high-growth FAANG group
Facebook, Amazon, Apple, Netflix and Alphabet were higher between Facebook's 1.3 percent and Netflix's 5.8 percent.
Citigroup recommended
buying Netflix's shares, saying the recent sell-off was overdone
The stock's 9.7 slide in the past two days is the most among the FAANGs.
However, Philip Morris fell 1.3 percent and Altria dropped 1.7
Food and Drug Administration reasserted its previous focus on reducing nicotine in cigarettes, in a presentation.
Advancing issues
outnumbered decliners for a 4.77-to-1 ratio on the NYSE and a 4.96-to-1 ratio on the Nasdaq.
The SP index recorded no new 52-week highs and
nine new lows, while the Nasdaq recorded six new highs and 53 new lows.
