(New York) The New York Stock Exchange ended Friday in the green, ending on a positive note a turbulent first quarter of 2023.
The tech-heavy NASDAQ ended the session up 1.74% to 12,221.91 points. The Dow Jones Index gained 1.26% to 33,274.15 points and the S
“Financial markets continued to stabilize this week as banking sector concerns dissipated,” Oxford Economics analysts summed up.
President Joe Biden had called on Thursday to strengthen banking supervision by restoring the obligation of stress tests for mid-sized banks.
Investors were also encouraged by the moderation of inflation in February in the United States, to 5% over one year against 5.3% the previous month, according to the PCE index, favored by the Federal Reserve (Fed ).
On a month-to-month basis, price growth also slowed to 0.3%, slightly below analysts’ expectations of 0.4%, according to the consensus published by briefing.com.
“This is good news on the inflation side, especially after January’s alarming price acceleration,” said Chris Low of FHN Financial.
“But the market’s attention will be focused on March employment which will be released next week,” he warned.
Over the quarter, which in March saw a mini bank panic among regional banks and another Fed rate hike, the broader S
“The market is rebounding partly because it managed to pass a major test with the banking crisis. The US financial system bent but did not break,” Adam Sarhan of 50 Park Investments told AFP.
According to him, “the environment is favorable for a rise in stocks, because many investors have been on the sidelines” for a year and “a lot of money is not invested just waiting to work”. “This could be the start of a new bull market,” he said.
The only shadow on the indicator table, consumer confidence fell in March, for the first time in four months, to 62 points against 67 points in February, according to the University of Michigan survey.
On the stock side, all sectors of the S
Regional bank First Citizen, which bought the bankrupt SVB, rose 4.21% to $973.10.
Department store titles were on the rise, such as Macy’s and Target, which gained more than 3%.
Electric vehicle maker Nikola stalled steeply losing 13.57% to $1.21. The manufacturer announced the day before the sale of shares for 100 million dollars at a price lower than the listing on Thursday, in order to build up reserves.
Tesla stock soared 6.24% to $207.46.
The company specializing in the launch of small satellites Virgin Orbit, in difficulty after the failure of a space mission, dropped even more than 41% to 20 cents.
British billionaire Richard Branson’s company will lay off 85% of its employees, according to a document published on the website of the US Stock Exchange Constable (SEC).
On the bond market, yields on ten-year bonds eased significantly to 3.46% from 3.55% the previous day. The two-year yield slipped to 4.03% from 4.11% on Thursday.