Wall Street | The S&P 500 opens above the 5,000 point mark for the first time

(New York) The broader S&P 500 index moved just above the symbolic 5,000 point mark for the first time on Friday on the New York Stock Exchange.

The S&P 500 advanced 0.22%, nine points above this threshold. The Dow Jones lost 0.11% and the technology-dominated NASDAQ gained 0.56% around 10:15 a.m.

This threshold, more psychological than technical for brokers, had been crossed briefly the day before one minute before closing. But ultimately the S&P 500 closed less than three points from the peak, at 4997.91 points (+0.06%).

On Wednesday, the Dow Jones gained 0.13% to 38,726.33 points, a new high, and the NASDAQ advanced 0.24% to 15,793.71 points.

If it carries out the test and successfully crosses 5000 points at closing, the index, created in 1957, will have taken almost three years, since April 2021, to go from 4000 points to 5000.

Since the start of the year, the most representative index of the American market has increased by 4.5%.

Investors watched with apprehension before the opening, an annual revision of estimates of the CPI consumer price index by the Labor Department.

These revisions ultimately “didn’t change much,” noted Kieran Clancy, economist for Pantheon Macroeconomics. If December inflation was revised downward to +0.2% instead of +0.3%, good news, that of November and October were revised slightly upwards.

For Rubeela Farooqi of HFE there is also “nothing major in the revisions that could change the overall picture”. “Basically, inflation continues to decline gradually. Fed officials will be happy to see that this post-revision data bears this out,” she added.

Bond rates rose slightly to 4.18% compared to 4.15% for ten-year bonds.

Tech mega-caps were pulling the market, such as Nvidia which gained 1.55% or Tesla which climbed 2.13% around 10 a.m. (Eastern time).

The semiconductor sector was in the green like Intel (+0.65%) or AMD (+0.80%).

Pepsico shares fell 3.67% after falling sales in the fourth quarter, weighed down in particular by Quaker cereals, but the agri-food group expects a return to growth this year.

Revenues stood at $27.8 billion, down 0.5% year-on-year and below analysts’ projections.

The microprocessor manufacturer Arm Holding, which had made a staggering 48% jump the day before, adding some $100 billion in capitalization in a single session, returned 3.28%.

SoftBank, its Japanese parent company, announced Thursday that it had generated a net profit of 950 billion yen (5.9 billion euros), compared to a heavy loss equivalent to 5.5 billion euros a year earlier, welcoming to have diversified its investment portfolio in recent years, to initiate a shift towards artificial intelligence via Arm.

The very volatile action of the AMC cinema chain gained more than 6 ¨% to 4.35 dollars after mixed quarterly results which nevertheless showed growth in subscribers to its streaming service.

The social network Pinterest fell 11.48% to $36 after disappointing sales and projections below analysts’ hopes.

reference: www.lapresse.ca

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