NEW YORK (AP) — U.S. stocks closed higher on Friday after a volatile trading session, though all major indexes posted weekly losses amid ongoing economic uncertainty and shifting Federal Reserve expectations.
The S&P 500 rose 0.6%, the Dow Jones Industrial Average gained 0.5%, and the Nasdaq Composite advanced 0.7%. However, all three indexes logged a third consecutive weekly decline, reflecting investor concerns about inflation, interest rates, and economic growth.
Weekly Performance
Despite Friday’s rally, the S&P 500 fell 3.1% for the week, marking its biggest weekly drop since September. The Dow Jones Industrial Average slid 2.4%, while the Nasdaq Composite dropped 3.5%. Investors grappled with fresh economic data, geopolitical tensions, and Federal Reserve signals that interest rate cuts may not arrive as soon as previously expected.
For a detailed market breakdown, visit Investopedia.
Economic Data and Fed Remarks
The Labor Department reported that the U.S. economy added 151,000 jobs in February, falling short of analysts’ expectations. The unemployment rate increased to 4.1%, raising concerns about slowing labor market momentum.
Federal Reserve Chair Jerome Powell noted that the economy remains “in a good place” but reiterated that the Fed is not rushing to cut interest rates. Investors now expect fewer rate cuts in 2025 than initially projected.
Read Powell’s full remarks at Reuters.
Sector Highlights
- Technology: Broadcom Inc. (AVGO) surged 8.6% after reporting strong quarterly earnings, fueled by robust demand for its AI semiconductors.
More details at Investopedia. - Consumer Staples: Walgreens Boots Alliance (WBA) gained 7.5% after announcing a $10 billion acquisition deal with private equity firm Sycamore Partners.
Read more at Investopedia. - Retail: Costco Wholesale Corp. (COST) tumbled 6.1% following mixed earnings, as weaker discretionary spending dented revenue growth.
Check the report at Investopedia. - Technology: Hewlett Packard Enterprise (HPE) dropped 12% after issuing a disappointing forward earnings outlook.
See the full report at Reuters.
Global Market Impact
European markets mirrored Wall Street’s turbulence. Germany’s DAX index declined 1.8%, as investors reacted to uncertainty around U.S. economic policies and global growth prospects.
For more on global markets, visit AP News.
Investor Sentiment and Outlook
Investor caution remains high amid uncertainties surrounding U.S. trade policies and monetary policy shifts. The CBOE Volatility Index (VIX), Wall Street’s so-called “fear gauge,” reflected heightened market anxiety throughout the week.
Check market sentiment analysis at Axios.
Looking ahead, traders will focus on upcoming economic reports and Federal Reserve statements for further clarity on inflation and interest rate trends.
For a deeper dive into this week’s market action, see Business Insider.
Anna Kim is a media reporter for the Rockland Daily News, covering the business of Rockland County and digital disruption in the entertainment industry. She has been a member of the Company Town team for more than a decade. She previously wrote for the Miami Herald and the Palm Beach Post. A native of Wyoming, she is a graduate of the University of Colorado and Columbia University