- U.S. stocks soared Friday as the Dow Jones Industrial Average raced for an eight-day winning streak.
- Investors are scheduled to hear from three Federal Reserve officials today, which could move markets.
- The April CPI report, due out next week, will be a big data point that could move the market.
U.S. stocks edged higher on Friday, raising the possibility of an eight-day winning streak for the Dow Jones Industrial Average.
Federal Reserve Chairman Jerome Powell struck a dovish tone at last week’s policy meeting, suggesting that the next interest rate decision would likely be a rate cut rather than a rate hike. This led to an increase over the past week. Market fears have eased after a series of tough inflation indicators had raised concerns about the direction of interest rates.
Investors will hear details Friday from five Fed officials, including Michelle Bowman, Rory Logan, Austan Goolsby, Neil Kashkari and Michael Barr, who are scheduled to speak throughout the day. Any clues about what the Fed thinks about the current trajectory of inflation and interest rates could move markets.
Next week, investors will focus on Wednesday’s April inflation report, with economists expecting the consumer price index to rise 0.3%. Fundstrat’s Tom Lee said the stock market could rise further in May if next week’s Consumer Price Index (CPI) release is mild.
“The April CPI of this year will highlight the possibility that the disproportionate impact of auto insurance on the CPI is fading,” Lee said in a note on Friday.
Earnings season is almost over, and first-quarter results remain the biggest concern for investors.
Of the 92% of S&P 500 companies that have reported earnings so far, 81% beat earnings estimates by a median of 8% and 60% beat revenue estimates by a median of 5%, according to Fundstrat data.
Here are the U.S. indices immediately after the 9:30 a.m. opening bell on Friday:
Here’s what else is happening today:
In Commodities, Fixed Income and Cryptocurrencies:
- West Texas Intermediate crude oil rose 0.54% to $79.69 a barrel. The international benchmark Brent crude oil rose 0.41% to $84.22 per barrel.
- Gold rose 1.46% to $2,374.50 an ounce.
- The 10-year Treasury yield rose 3 basis points to 4.49%.
- Bitcoin fell 0.34% to $65,672.
