U.S. stocks advanced early Friday as Wall Street attempted to shake off this week’s losses. Citigroup’s strong earnings reports and better-than expected retail sales data helped buoy the mood.C).
The S&P 500 surged 1.3% at open, while the Dow Jones Industrial Average added 430 points, or roughly 1.4%. The tech-heavy Nasdaq rose 1.5%
Retail sales In June, it rose faster than expectedThe Commerce Department data on Friday showed that despite concerns about an economic slowdown and decades of inflation, consumers in America are continuing to be strong. The broadest measure of retail purchases climbed 1% in June from the prior month, while May’s figure was downwardly revised to show a 0.1% drop in sales — the first decline this year. Bloomberg polled economists to predict retail sales rising 0.9% last month.
Pinterest shares are also available in other marketsPINS) surged 17% after the Wall Street Journal reportElliott Management, an activist investor firm, purchased a 9% stake. It is now the largest stakeholder in social-media platform.
Investors were pleased with Citigroup’s earnings Friday morning. The giant bank reported an Revenues rose 11% to $19.64 billion in the second quarterOne day after JPMorgan’s disappointing financials were rumored by traders, a group of them decided to take a look at the following:JPM) and Morgan Stanley (MS). Citi shares gained almost 6%
“In a challenging macro and geopolitical environment, our team delivered solid results and we are in a strong position to weather uncertain times, given our liquidity, credit quality and reserve levels,” Citigroup Chief Executive Officer Jane Fraser said in the earnings statement.
Meanwhile on Thursday, JPMorgan boss Jamie Dimon cautioned in post-earnings remarks that risks to the U.S. economy appear “They are now closer than they were before” and said “never-before-seen quantitative tightening” is expected to have negative consequences, just one day after another Red-hot Inflation ReportThere was speculation among strategists that Federal Reserve could raise rates. This month, a full percentage points will remain.
“I’m simply saying, there’s a range of potential outcomes from a soft landing to a hard landing, driven by how much interest rates go up, the effectiveness of quantitative tightening, and defective, volatile markets,” Dimon said in a call with Wall Street analysts Thursday.
Christopher Waller, Federal Reserve Board of Governors member Thursday, he said he would support an increase in 100 basis points If the upcoming economic releases point towards strong consumer spending
Yahoo Finance reporter Alexandra Semenova. Follow her Twitter @alexandraandnyc