4.05pm: S&P 500 has its best week since 2020
US stocks finished the trading session sharply higher as investors continue to process the latest Federal Reserve moves as well as the ongoing war between Russia and Ukraine
At the close, the Dow gained 274 points to 34,755, while the S&P 500 added 51 points at 4,463 and the tech-heavy Nasdaq climbed 279 points to 13,894.
Notable movers included shares of Moderna Inc, which climbed more than 5% after the biotech giant said it is seeking FDA approval for a second COVID-19 booster shot for adults 18 years or older.
12:05pm: US equities mixed following three-day S&P 500 rally
US stocks were mixed midday Friday after a three-day rally for the S&P 500 that put the flagship benchmark on pace for its biggest weekly gain since 2020.
Stocks took a breather as investors continued to digest the news from the Federal Reserve earlier this week -- as well as the ongoing war between Russia and Ukraine and a rise in COVID-19 cases in Europe stemming from an emerging subvariant.
As of noon, the Dow Jones Industrial Average was down 106 points, or 0.31%, to 34,371. The S&P 500 increased 5 points, or 0.12%, to 4,416.
And the tech-heavy Nasdaq rose 118 points, or 0.87%, to 13,733.
10.50am: Proactive North America headlines:
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Moderna requests emergency approval for a second Covid booster for all adults
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Trees Corporation (NEO:TREE.AQN) appoints Lisa Dea as independent board director
Idaho Champion (CSE:ITKO, OTCQB:GLDRF) Gold Mines Canada says latest drill results from Champagne project continue to point to porphyry potential
Looking Glass Labs announces C$6.8 million in total revenues for the first half of fiscal 2022
IAE proposes lower speed limits, cheaper public transport among measures to avoid Russia oil demand
9.40am: US stocks open in the red
US stocks started Friday in the red, as expected, as investors fret about the global economy, inflation, and the Russia-Ukraine conflict.
The Dow Jones Industrial Average shed over 153 points at 34,327 in early deals, while the S&P 500 lost around 13 at 4,397.
The tech-heavy Nasdaq composite index lost around 34 points to stand at 13,577 in early deals.
The share declines come after a three-day rally for the broad-based S&P 500, which have put the index on pace for its biggest weekly gain in over a year.
7.35am: US shares seen starting lower
US stocks are expected to open slightly lower on Friday, snapping a three-session rally, on renewed concerns that the war in Ukraine will weigh heavily on the global economy.
Fluctuations in the price of oil and worries about runaway inflation are also depressing sentiment. Benchmark oil prices remain above $100 a barrel, off a high of over $130, having risen from around $90 before the war broke out. Constraints in the supply of commodities are also a concern.
Futures for the Dow Jones Industrial Average shed around 0.6%, while those for the broader S&P 500 index fell 0.6% and contracts for the tech-heavy Nasdaq-100 were down 0.7%
Ipek Ozkardeskaya, senior analyst at Swissquote commented: “In the US, major indices traded in the green (on Thursday) yet investors brace for a highly volatile session, as it’s the triple witching day, where a large number of options are set to expire, and there is an unusual amount of near-the-money options that could exacerbate the trading volumes and cause high volatility before the weekly closing bell.”
“There is relief after Russia avoided default on its interest payment, yet oil prices jump again, and boost inflation expectations and central bank hawks - except in Japan, where inflation surged to a 3-year high, but remained soft enough to bring the Bank of Japan to say that they would ease policy more, if necessary.”
While the Federal Reserve's rate hike earlier this week – its first since 2018 -- was broadly expected, the hawkish tone set by officials served to reinforce concerns that inflation-busting moves may sharply damage US growth prospects. The Fed is seen acting aggressively, raising interest rates at each of its remaining six policy meetings for the year.
US stocks have surged over the past three days and the S&P 500, having risen nearly 5%, may be heading for its best weekly performance in over a year although nervousness over the situation in Ukraine continues. Talks between Russia and Ukraine have not progressed and a cease fire still looks a distant prospect. Investors will also keep an eye out for President Biden’s scheduled call with China’s Xi Jinping for any possible developments.
On the corporate front, GameStop tumbled 7% in premarket trading after the company posted a surprise loss in the last quarter on Thursday after markets closed. FedEx (NYSE:FDX) fell 3% after it reported lower shipping volumes and said profit margins were coming under pressure.
Contact author at jon.hopkins@proactiveinvestors.com