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 ...
Blackrock said there will be a rate cut in June, so...there will be a rate cut in June.
Mine does as well. Unfortunately the scare mongerers around these parts will be upset.
There’s always been a decent contingent of scare mongers here. Over time they’ve all but taken over the asylum.
That means that the stock market hasn’t done squat for two years
Eh. That’s a broad brush statement. Inflation is highly localized to an area and really to an individual. An example, if you don’t purchase a car, but car prices have increased 15%, that increase has affected you - not at all.
Wow, your naivete in macro/micro economics is breathtaking.
We’ll agree to disagree re: inflation rate and its effects. No worries - we did it politely.
Pretty simple to understand, even for a Democrat TDS-bastard like you.
When dollars are worth much less, the stock market appears to be valued by more dollars.
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