On Friday, U.S. stock indexes steadily climbed higher due to strong earnings updates from Exxon and Intel, which helped to counter concerns over Amazon’s slowdown warning. Additionally, economic data reinforced the market’s expectation that the Federal Reserve would raise interest rates next week.
Market Highlights: Exxon Mobil, Intel, and Amazon Lead the Way as the US Stock Market Rises
Exxon Mobil Corp.’s shares surged by 1.9%, reaching an all-time high, after the oil company reported record profits in the first quarter due to increased oil and gas output. This, in turn, boosted the S&P energy index by 1.8%.
Intel Corp, a chipmaker, experienced a 4.7% gain after announcing that its gross margins would improve in the second half of the year. However, despite Amazon.com Inc. reporting better-than-expected quarterly results, its slowdown in cloud computing business growth caused the company’s shares to drop by 3.6%, negatively impacting the consumer discretionary index.
According to John Praveen, co-CIO at Paleo Leon Inc in Princeton, NJ, the earnings numbers from the major companies have been positive and have surpassed expectations. This is likely providing a bit of relief to the market. Additionally, the economic data released on Friday is expected to reinforce market expectations ahead of the Federal Reserve meeting next week and alleviate concerns about a sharp slowdown.
The Dow Jones Industrial Average increased by 0.65% to reach 34,047.03, while the S&P 500 rose by 0.68% to 4,163.61, and the Nasdaq Composite added 0.46% to reach 12,198.24.
The S&P 500 index appeared to be heading towards a second consecutive monthly gain thanks to better-than-expected earnings reports this week from major corporations, such as Alphabet Inc, Microsoft Corp, and Meta Platforms Inc.
In summary, the US stock market experienced a steady rise on Friday due to strong earnings updates from major corporations like Exxon and Intel, which counteracted concerns over Amazon’s slowdown warning. Additionally, economic data supported the market’s expectation that the Federal Reserve would raise interest rates next week.
