The New York Stock Exchange ended higher on Thursday after a choppy session as investors digested the release of economic indicators and a range of mixed corporate results, while bearing in mind the Fed’s monetary policy meeting next week.
The Dow Jones Industrial Average gained 0.61 percent, or 205.57 points, to 33,949.41 points.
The broader S&P-500 gained 44.21 points, or 1.10%, to 4,060.43 points.
The Nasdaq Composite advanced 199.06 points (1.76%) to 11,512.41 points.
In the wake of Tesla, which announced quarterly results above expectations and optimistic forecasts, high-growth stocks rose and carried the Nasdaq into the green.
The US economy recorded better growth in the fourth quarter than expected by analysts, with an increase of 2.9%, according to the first estimate of the US Department of Commerce published during the day.
Meanwhile, US jobless claims fell, underscoring the strength of the labor market, despite signs of slowing demand.
These are data closely followed by investors, for the influence that they could have on the monetary policy of the American Federal Reserve, which could maintain its high rates longer than expected.
If the financial markets anticipate a rate hike of 25 basis points next Wednesday, at the end of the February meeting of the Fed, the hypothesis is not unanimous.
“Economic data has benefited everyone: the dreamers who think the economy has slowed enough for the Fed to pause, and the pessimists who think growth is still too strong for the Fed to pause. step aside, ”commented David Carter, director of JPMorgan Private Bank, in New York.
“Hope is not an investment strategy, and economic facts may soon weigh on the market,” he added. “The biggest uncertainty is what will happen in the second half.”
With more than a quarter of S&P-500 companies now having released their quarterly earnings, earnings season is in full swing. Among them, 69% beat the consensus, according to Refinitiv data, a percentage up from Wednesday (67%).
Analysts now anticipate a decline in quarterly profits of 2.7% over one year, greater than the consensus which emerged on January 1 (-1.6%) but less than the drop anticipated on Wednesday, up to 3%. , according to Refinitiv.
Almost all major sectors of the S&P-500 ended the session in the green, led by energy in the wake of rising oil prices.
On the value side, Tesla saw its title jump by 11% the day after the publication of its results.
Conversely, IBM declined by 4.5% after the announcement of a layoff plan, failing to reach its annual cash target.
Bed Bath & Beyond plunged 22.2% after JPMorgan Chase served the retailer with a default notice.
