World News

Dow provides greater than 300 factors after revenue will increase, shocking retail gross sales progress


US stock indices rose on Friday as better-than-expected earnings reports for the third quarter put the S&P 500 on its way to a successful week.

The Dow Jones Industrial Average gained around 360 points, or 1%. The S&P 500 was up 0.7% and the Nasdaq Composite was up 0.4%.

The Dow and S&P 500 were 1% and 1.7% below their all-time highs, respectively.

Earnings momentum continued Friday as Goldman Sachs third quarter results were well above sales and bottom line. Bank shares rose by more than 3%.

The standout report came after other big banks hit profits earlier this week. Financial heavyweights JPMorgan, Bank of America, Morgan Stanley and Citigroup were among the companies that beat expectations.

“The banks painted a strong and healthy picture of US consumers,” noted Edward Moya, senior market analyst at Oanda. “Wall Street cannot negatively impact the economy after seeing the release of reserves, moderation in trade revenues, mixed credit growth, and a consumer ready to take on debt.”

Retail sales increased surprisingly by 0.7% in September. Economists polled by Dow Jones expected a decline of 0.2%.

“The inflationary environment and supply chain concerns have not been a major drag on retail sales,” said Yung-Yu Ma, chief investment strategist, BMO Wealth Management. “Consumers are acclimatizing to higher prices. This has so far not led to a significant drop in demand. But this willingness to absorb higher prices is not unlimited.”

Elsewhere, Bitcoin passed the $ 60,000 mark as investors were optimistic that the U.S. Securities and Exchange Commission approves the first exchange-traded Bitcoin futures fund.

The cryptocurrency jump contributed to positive market sentiment, suggesting that risk appetite may increase. Tesla and Coinbase stocks rose.

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The S&P 500 had its best daily performance since March 5th on Thursday, while the Dow had its best day since July and the Nasdaq Composite had its best day since May.

All three averages are well on their way to end the week higher.

So far, 80.5% of the 41 S&P 500 companies that reported third quarter results have exceeded earnings per share expectations, according to FactSet.

With those results and estimates in mind, for those yet to report, third-quarter earnings growth rose 29.8%, according to FactSet analysis.

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