Stocks Rise on Earnings as Tech Rallies; Oil Gains: Markets Wrap
Trade issues are the "biggest risk" to the global economy, BlackRock's Philipp Hildebrand says in Davos.U.S. stocks rose a third day, while emerging-market equities hit the highest in a decade as synchronized global growth boosts corporate profits. Oil jumped as the dollar fell.
The S&P 500 Index closed at a fresh record as the strong start to earnings continued, with 82 percent firms that have reported topping estimates. Tech shares lifted the Nasdaq 100 Index to a fifth straight gain and the MSCI Emerging Markets Index powered to an eighth day of advances. The 10-year Treasury yield fell for a second session, while the dollar dropped toward lows of the year.
President Donald Trump imposed tariffs on imported solar panels and washing machines.
Source: Bloomberg)“The earnings season is going phenomenally well, and the government shutdown on Friday was reversed yesterday, so we’ve got the government behind us for the next couple of weeks,” Phil Orlando, chief equity market strategist at Federated Investors, said by phone. “But the reason the stock market is up is very simply that investors are reflecting on the fact that earnings are much better than expected.”
With earnings season in full swing, investors held to the risk-on stance that’s taken stocks around the world higher. The synchronized global economic recovery shows no signs of slowing and the BOJ’s signal added to optimism that central banks won’t rush to tap the brakes. Investors also kept an eye on Davos, Switzerland, where the world’s business elites gathered for an annual conference roiled by protectionist moves across the Atlantic.
Terminal users can read more in our markets blog.
Here’s what to watch out for this week:
These are the main moves in markets:
Stocks
Currencies
Bonds
Commodities
— With assistance by Todd White, and Kailey Leinz
Before it's here, it's on the Bloomberg Terminal.LEARN MOREHave a confidential news tip?Get in touch with our reporters.Most Read