US markets ended the week on a high note after shaking off a rough start to the day.
The Nasdaq and S&P 500 each closed at all-time highs as investors responded to better-than-expected GDP growth.
It was quite the turnaround from the first hours of the session. Intel, which lost 9% after posting disappointing second quarter guidance late Thursday, managed to pull down the Dow, the Nasdaq and the S&P 500 all at once at the open.
The blue chips also managed to get back into the green on growth from Procter & Gamble Co (NYSE:PG) and UnitedHealth Group (NYSE:UNH).
Driving stocks higher was GDP growth that exceeded expectations. US GDP increased 3.2% in the first quarter, according to data from the US Commerce department released Friday, outpacing the top of the consensus range at 2.8%.
The Dow gained 0.3%, 80 points, to close at 26,543.3. The Nasdaq finished 0.3% higher at 8,146.4, and the S&P 500 advanced 0.5% to end the day at 2,939.9.
At the small-cap level, the Russell 2000 rose 1% to settle at 1,591.8, and the S&P SmallCap 600 finished the session nearly 1% ahead at 972.9.
2:30 pm: Wall Street recovers as strong GDP growth spurs investors
Stocks recovered Friday afternoon as major indices found their way back into positive territory.
The blue chips churned back above the flatline on growth from Procter & Gamble Co (NYSE:PG) and UnitedHealth (NYSE:UNH).
Intel, which lost 10% after posting disappointing second quarter guidance late Thursday, managed to pull down the Dow, the Nasdaq and the S&P 500 all at once at the open.
Meanwhile, nvestors cheered better-than-expected GDP growth. GDP increased 3.2% in the first quarter, according to data from the Commerce Department released Friday, outpacing the top of the consensus range at 2.8%.
The Dow rose 0.1%, 30 points, to 26,488.7. The Nasdaq increased 5 points to 8,123.4, and the S&P 500 ticked up 5 points to 2,921.5.
At the small-cap level, the Russell 2000 climbed 0.8% to 1,587.5, and the S&P Smallcap 600 advanced 0.6% to 970.1.
In Europe, the London FTSE closed 6 points lower at 7,428.8, the French CAC gained 0.2% to finish at 5,569.4 and the German DAX grew 0.3% points to end the day at 12,315.2.
10:00 am: Wall Street stumbles at the open as weak earnings offset GDP growth
US markets trailed off at the open Friday, blunted by a weak day of earnings season.
Intel, which lost 9% after posting disappointing second quarter guidance late Thursday, managed to pull down the Dow, the Nasdaq and the S&P 500 all at once.
It was enough to outweigh better-than-expected GDP growth released Friday. GDP increased 3.2% in the first quarter, according to data from the Commerce Department, outpacing the top of the consensus range at 2.8%.
The Dow slowed 0.2%, 40 points, to 26,422.3. The Nasdaq decreased 0.4% to 8,086.1, and the S&P 500 ticked down 3 points to 2,923.
At the small-cap level, the Russell 2000 was flattish at 1,576.1, and the S&P Smallcap 600 lost 1 point to 963.1.
In Europe, the London FTSE fell 0.3% to 7,414.8, the French CAC held at 5,557 and the German DAX grew 11 points to 12,293.8.
7:36 am: Wall Street stocks set for mixed start Friday as US economy and Uber float in focus
US stocks are set for another mixed session Friday as the bounce-back in the US economy is in focus along with more details on the Uber initial public offering (IPO).
The first quarter gross domestic product (GDP) figures are expected later this morning and economists polled by Refinitiv are forecasting a 2.1% annualized growth, which would be only slightly lower than the previous quarter's 2.2% and after two decent quarters in mid-2018.
BREAKING: Uber expects to be valued as high as $84 billion when it issues its IPO.
— The Spectator Index (@spectatorindex) 26 April 2019
Meanwhile, ride hail app Uber is targeting an eye-watering valuation of up to $90 billion in the float, after pricing it in the range of $44 to $50 a share.
Wall Street closed Thursday mixed as the Dow Jones Industrial Average lagged behind other major indices. The index couldn’t recover after it shed over 200 points on news that 3M Co (NYSE:MMM) was cutting its 2019 guidance. The industrials manufacturer dropped nearly 13% on the day.
The DJIA closed at 26,462 - down nearly 135 points; while the tech-heavy Nasdaq closed up around 16 at 8,118. The S&P 500 finished around a point lower at 2,926.
In US futures today, the Dow Jones is trading 35 points lower, while the Nasdaq is up ten points; the S&P 500 is down 1.25 at the time of writing.
Elsewhere in Europe, the FTSE 100 is down around 12 points at the time of writing, at 7,422, the German DAX is ahead by around 18 at 12,300. The French CAC 40 is up around ten.
In Asia overnight, the general mood was negative. The Nikkei 225 index lost nearly 49 points at 22,258, while the Shanghai Composite Index shed around 37 at 3,806.