S&P 500 surges after strong GDP report, Nasdaq jumps nearly 1% on Tesla results

Sanctuary Wealth's Bartels says the market is really struggling with which direction it wants to go

The Nasdaq Composite Index rose Thursday as fourth-quarter gross domestic product came in above expectations, and investors parsed through The latest batch of corporate earnings.

The heavy technology index jumped 0.8%, while the Dow Jones Industrial Average rose 23 points, or 0.1%. The S&P 500 rose 0.4%.

gross domestic product Data released on Thursday showed the economy expanding at an annual rate of 2.9% during the fourth quartersaid the Ministry of Commerce. That’s higher than the Dow Jones estimate of 2.8%, but it’s a slight slowdown from the third quarter’s reading.

“With today’s better-than-expected GDP number, I think investors are thinking, maybe we can survive a very soft, mild recession that is unlikely to send us into a deeper bear market when all is said and done,” said Sam Stovall, chief investment analyst at CFRA. Research.

Meanwhile, earnings season continued strong Results from Tesla Give Nasdaq and Electric vehicle stocks impulse. Tesla It jumped 9% after publication Strong revenue and profit recording. Struggling tech giants Microsoft, Apple, Amazon and Alphabet added more than 1% each.

Airline earnings were also thrown in, with Southwest falls on larger than expected Loss Fueled by the holiday meltdown. American Airlines pose got a win in the fourth quarter.

in another place, chevron Added 3% after the announcement of a $75 billion stock repurchase program.

Wall Street is coming out of a mixed session, but all the major averages are heading for weekly and monthly gains. The Dow Jones and the Standard & Poor’s are up 1.5% and 1.9% so far this week, respectively. The Nasdaq is up 3.1% this week and is on track for its best month since July.

Focus now turns to Fed policy next week, when the central bank is widely expected to announce a 25 basis point hike as it battles soaring inflation. Investors will be looking for an idea of ​​how far the Fed intends to hike before it cuts interest rates.

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