Wall Street rallies on stronger than expected earnings, DJIA flips better bid (up 270 points on the day)

  • The Dow Jones Industrial Average (DJIA), put up 269.25 points, or 1%, to close at 26,412.30.
  • S&P 500 index climbed by 19.09 points, or 0.7%, to end at 2,907.41. 
  • The Nasdaq Composite Index added 36.80 points, or 0.5%, to finish up at 7,984.16.

Wall Street was sharply higher on Friday with investors cheering a strong set of bank earnings. JPMorgan's quarterly results for the Dow component were better than expected and Wells Fargo & Co. followed, posted strong revenue and in-line earnings. For the DJIA, JPMorgan set the scene followed by Walt Disney Company which unveiled plans for its new streaming service, sending the price of stocks higher. The risk on sentiment sent US rates lower across the curve with the 10y yield climbed to its highest level in nearly a month (+6.3 to 2.56%). 

US data:

Import prices rose at a higher than expected pace in March (0.6% m/m vs 0.4% consensus) largely on the back of rising imported energy prices. The monthly increase took the y/y rate to flat from -1.6% in February. Then, UMich's preliminary April consumer sentiment was a touch weaker than expected at 96.9 vs 98.2 consensus, down from 98.4 in March.

DJIA levels

From a technical perspective, there was a sharp turn around in price action. There is room to the top side in pursuit of the October highs but bulls will be fearful of overstretched momentum indicators in time.  On the flipside, the first key bearish target will be the 20-D SMA and 26000 ahead of the 25700s and then the 200-DMA guarding a break all the way down to 24800 gap area ahead of the 24500s and then 50% of the upside run made at the end of Dec at 24200.


Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility.

Feed news

Latest Forex News

Editors’ Picks

EUR/USD remains depressed but off daily lows

The EUR/USD pair is recovering from a daily low of 1.1216, although holding in negative territory for the day. US preliminary Michigan Consumer Sentiment Index improved by less-than-anticipated in July, coming in at 98.4 vs. the 98.5 expected.


GBP/USD trading marginally lower daily basis but above 1.2500

The Pound gave back some of its Thursday’s gain on dollar’s relief. The GBP/USD pair broke a daily descendant trend line coming from June’s high and holds above it, leaving little room for sellers to act.


USD/JPY: bears pausing, still in control

Japanese National Inflation steady at 0.7%YoY in June. US Michigan Consumer Sentiment Index expected at 98.5 in July. USD/JPY corrective advance falling short of signaling an interim bottom in place.


Gold consolidates around $ 1440, eyes US data for fresh direction

Gold (futures on Comex) extends its side-trend around the 1440 mark into the mid-European session, having stalled its retreat from 2019 highs of 1454 near 1437 region.

Gold News

Something has spooked the Fed

We wish we knew what it is. Wild talk of the US joining Japan and Europe with zero or negative return on the 10-year is or should be very frightening.

Read more