Posted on 01/19/2024 2:39:23 PM PST by JSM_Liberty
The S&P 500 index closed Friday at a record high, fueled by surging tech stocks and bets that the Federal Reserve will cut interest rates this year.
The benchmark index closed at 4,839.81, besting its previous high of 4,796.56, reached on January 3, 2022.
Earlier in the trading session, the S&P 500 reached an intraday high of 4,832.17, topping its previous intraday high of 4,818.62, reached more than two years ago, on January 4, 2022.
Tech stocks led the trading session’s gains, with the S&P 500’s information technology sector gaining 2.4% on Friday.
Shares of AI darlings soared. Nvidia shares jumped 4.2% to $594.51, a new record close, and Meta Platforms also closed at a record high, rising 2% to $383.45.
The blue-chip Dow Jones Industrial Average index also hit a new high, adding 1.1% to close at 47,863.83.
After a rocky start to the year, the S&P 500 has found its footing and is up about 1.5% in 2024.
The benchmark index jumped 24% in 2023, with stocks rallying powerfully at year end as optimism grew that the Fed could achieve a soft landing, or tamp down inflation without triggering an economic downturn.
The Fed projected three rate cuts in 2024 at its last policy meeting of 2023, marking an unexpected turning point in its aggressive crusade against inflation. The central bank also kept rates on hold for the third straight time and signaled that it might be done raising rates.
Treasury yields spiked after falling sharply over the past few months, with the yield on the 10-year note edging above 4%.
The 2-year yield is 4.41%, up from last Friday’s close of 4.14%, according to Tradeweb. That’s its highest level since mid-December 2023.
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(Excerpt) Read more at cnn.com ...
This could be a 2022 redux, with a sell off post opex. But, Presidential election years are bullish overall.
The market is uncoupled from the economy.
Oct. 1929. It took 3 years to vote in FDR. That’s 3 years for Hoover to fix it.
1937-a depression within a depression. Come on. Where did we go wrong?
No defenses to build up like Reagan facing the Soviets.
Markets anticipate things. Future events. Like a triumphant Donald Trump returning to his rightful place in the Whitehouse.
Get back to me in a year. If your portfolio gained 15% over the last year, which would be beating most indices, you didn’t even keep up with inflation. An over valued market is a mirage.
Highest stock market ever!” President Trump boasted last week. By his own reckoning, Wall Street’s rally since his election is proof of the economic potency of his presidency.
A strong stock market does not necessarily reflect a sound economy. It is only one metric. All the other metrics indicate that the economy is doing poorly.
Thank you. I just saw your post. Read #27.
15%? You Bernie Madoff? The average S&P return is around 10%. Some years better. Some years worse.
Pretty sure they are talking about S&P, not DOW.
I used a high potential outlier percentage in order to make a point. Regardless, his point was specious and I called him out.
Just wait…the crash is riiiiiight around the corner.
The govt is quadrillions in debt, Soros got your dog catcher elected, the WEF owns the Fed, and Bidet is going to declare himself Emperor.
It’s over, man….you need to buy a shack in the woods, move to a barter system, and not use electronic anything. Give up FR. Pay in chickens.
Oh, and Trump isn’t ahead in the polls. He’ll suspend his campaign any day.
While I’m at it, I don’t own a TV, I hate sports, I haven’t had cable since 1945, and everyone who joined FR after me is a noob.
But first, subscribe to my “buy gold” newsletter….its only $39.95 a month. I take credit cards.
Actually it was my point. And the point, done in a left handed way, was it wasn’t so long ago the popular phrase was “how’s you 401-k?” when the market pulled back in 2022. Actually Trump had a decent pullback in 2018, although not as severe Biden’s in 2022.
“But first, subscribe to my “buy gold” newsletter….its only $39.95 a month. I take credit cards.”
I just pm’ed you my card number! Sign me up!
What? No crypto?
So Blackrock State St and Vanguard are cleaning up?
Which would signify investers or finance awareness, would vote Trump.
One word...plastics.
There was no MMT and QE in 1929.
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