Stock market live updates: S&P 500 rises to a fresh record closing high

Stocks concluded higher on Friday, with the S&P 500 and Nasdaq closing out the session at record levels.

The S&P 500 and Nasdaq each rose aproximatelly 0.5 %, while the Dow finished just a tick above the flatline. U.S. stocks shook off earlier declines after monitoring a drop in overseas equities, after new data showed that UK gross domestic product (GDP) slumped by a record 9.9 % in 2020 as a virus-induced recession swept the nation.

Shares of Dow component Disney (DIS) reversed earlier profits to fall greater than one % and take back from a record high, after the company posted a surprise quarterly profit and grew Disney+ streaming subscribers more than expected. Newly public business Bumble (BMBL), which set about trading on the Nasdaq on Thursday, rose another seven % after jumping sixty three % in the public debut of its.

Over the older couple weeks, investors have absorbed a bevy of much stronger than expected earnings benefits, with corporate earnings rebounding much faster than expected despite the ongoing pandemic. With more than 80 % of companies these days having claimed fourth quarter results, S&P 500 earnings per share (EPS) have topped estimates by 17 % for aggregate, and bounced back above pre COVID levels, based on an analysis by Credit Suisse analyst Jonathan Golub.

generous government activity and “Prompt mitigated the [virus related] injury, leading to outsized economic and earnings surprises,” Golub said. “The earnings recovery has been considerably more powerful than we could have imagined when the pandemic for starters took hold.”

Stocks have continued to set fresh record highs against this backdrop, and as monetary and fiscal policy assistance stay robust. But as investors become comfortable with firming business performance, companies might need to top even bigger expectations in order to be rewarded. This can in turn put some pressure on the broader market in the near-term, and warrant more astute assessments of specific stocks, in accordance with some strategists.

“It is no secret that S&P 500 performance continues to be extremely formidable over the past few calendar years, driven primarily through valuation expansion. Nevertheless, with the index P/E [price-to-earnings ratio] recently eclipsing its previous dot com extremely high, we think that valuation multiples will start to compress in the coming months,” BMO Capital Markets strategist Brian Belski wrote in a note Thursday. “According to the job of ours, strong EPS growth will be required for the next leg greater. Thankfully, that’s precisely what existing expectations are forecasting. Nevertheless, we also realized that these types of’ EPS-driven’ periods tend to become more complicated from an investment strategy standpoint.”

“We believe that the’ easy money days’ are actually over for the time being and investors will have to tighten up the aim of theirs by evaluating the merits of specific stocks, instead of chasing the momentum-laden strategies which have just recently dominated the investment landscape,” he added.

4:00 p.m. ET: Stocks end higher, S&P 500 and Nasdaq reach history closing highs
Here is where the key stock indexes finished the session:

S&P 500 (GSPC): +18.55 points (+0.47 %) to 3,934.93

Dow (DJI): +27.44 points (+0.09 %) to 31,458.14

Nasdaq (IXIC): +69.70 points (+0.5 %) to 14,095.47

2:58 p.m. ET:’ Climate change’ is the most cited Biden policy on corporate earnings calls: FactSet
Fourth-quarter earnings season marks the pioneer with President Joe Biden in the White House, bringing a new political backdrop for corporations to contemplate.

Biden’s policies around environmental protections and climate change have been the most-cited political issues brought up on corporate earnings calls thus far, according to an analysis from FactSet’s John Butters.

“In terms of government policies mentioned in conjunction with the Biden administration, climate change as well as energy policy (28), tax policy (20 ) and COVID-19 policy (nineteen) have been cited or maybe talked about by probably the highest number of companies through this point on time in 2021,” Butters wrote. “Of these twenty eight companies, seventeen expressed support (or perhaps a willingness to work with) the Biden administration on policies to greatly reduce carbon and greenhouse gas emissions. These 17 corporations both discussed initiatives to reduce the own carbon of theirs and greenhouse gas emissions or perhaps goods or services they give to help clients & customers lower the carbon of theirs and greenhouse gas emissions.”

“However, four businesses also expressed a number of concerns about the executive order establishing a moratorium on new engine oil as well as gas leases on federal lands (and also offshore),” he added.

The list of 28 companies discussing climate change and energy policy encompassed businesses from an extensive array of industries, like JPMorgan Chase, United Airlines Holdings and 3M, alongside conventional oil majors as Chevron.

11:36 a.m. ET: Stocks combined, S&P 500 and Nasdaq turn positive
Here is where marketplaces were trading Friday intraday:

S&P 500 (GSPC): +7.87 points (+0.2 %) to 3,924.25

Dow (DJI): 8.77 points (-0.03 %) to 31,421.93

Nasdaq (IXIC): +28.15 points (+0.21 %) to 14,053.77

Crude (CL=F): +$0.65 (+1.12 %) to $58.89 a barrel

Gold (GC=F): +$0.20 (+0.01 %) to $1,827.00 per ounce

10-year Treasury (TNX): +2.7 bps to yield 1.185%

10:15 a.m. ET: Consumer sentiment unexpectedly plunges to a six-month lower in February: U. Michigan
U.S. consumer sentiment slid to the lowest level after August in February, based on the Faculty of Michigan’s preliminary monthly survey, as Americans’ assessments of the road forward for the virus-stricken economy unexpectedly grew more grim.

The headline consumer sentiment index dipped to 76.2 from 79.0 in January, sharply losing out on expectations for an increase to 80.9, as reported by Bloomberg consensus data.

The entire loss of February was “concentrated in the Expectation Index and involving households with incomes under $75,000. Households with incomes of the bottom third reported significant setbacks in their present finances, with fewer of the households mentioning recent income gains than anytime since 2014,” Richard Curtin chief economist for the university’s Surveys of Consumers, said in a statement.

“Presumably a brand new round of stimulus payments will bring down fiscal hardships among those with probably the lowest incomes. A lot more surprising was the finding that customers, despite the likely passage of a large stimulus bill, viewed prospects for the national economy less favorably in early February compared to last month,” he added.

9:30 a.m. ET: Stocks open lower, but speed toward posting weekly gains
Here’s where marketplaces were trading just after the opening bell:

S&P 500 (GSPC): 8.31 points (-0.21 %) to 3,908.07

Dow (DJI): -19.64 (-0.06 %) to 31,411.06

Nasdaq (IXIC): -53.51 (+0.41 %) to 13,970.45

Crude (CL=F): -1dolar1 0.23 (-0.39 %) to $58.01 a barrel

Gold (GC=F): 1dolar1 10.70 (-0.59 %) to $1,816.10 per ounce

10-year Treasury (TNX): +3.2 bps to yield 1.19%

9:05 a.m. ET: Equity funds see highest weekly inflows ever as investors pile into tech stocks: Bank of America
Stock funds just saw their largest-ever week of inflows for the period ended February 10, with inflows totaling a record $58.1 billion, according to Bank of America. Investors pulled a total of $800 million out of gold and $10.6 billion out of profit during the week, the firm added.

Tech stocks in turn saw their very own record week of inflows during $5.4 billion. U.S. large cap stocks saw the second largest week of theirs of inflows ever at $25.1 billion, and U.S. smaller cap inflows saw their third largest week at $5.6 billion.

Bank of America warned that frothiness is actually rising in markets, nevertheless, as investors continue piling into stocks amid low interest rates, as well as hopes of a strong recovery for corporate earnings and the economy. The firm’s proprietary “Bull as well as Bear Indicator” monitoring market sentiment rose to 7.7 from 7.5, nearing an 8.0 “sell” signal.

7:14 a.m. ET Friday: Stock futures point to a lower open
Here had been the principle actions in markets, as of 7:16 a.m. ET Friday:

S&P 500 futures (ES=F): 3,904.00, down 8.00 points or perhaps 0.2%

Dow futures (YM=F): 31,305.00, down 54 points or perhaps 0.17%

Nasdaq futures (NQ=F): 13,711.25, down 17.75 points or perhaps 0.13%

Crude (CL=F): -1dolar1 0.43 (-0.74 %) to $57.81 a barrel

Gold (GC=F): -1dolar1 9.50 (-0.52 %) to $1,817.30 per ounce

10-year Treasury (TNX): +0.5 bps to deliver 1.163%

6:03 p.m. ET Thursday: Stock futures tick higher
Here is where markets were trading Thursday as over night trading kicked off:

S&P 500 futures (ES=F): 3,904.50, down 7.5 points or perhaps 0.19%

Dow futures (YM=F): 31,327.00, down thirty two points or 0.1%

Nasdaq futures (NQ=F): 13,703.5, printed 25.5 points or 0.19%