Weighed by the dismal GDP growth rate in the United States, the major stock indexes of Wall Street closed the day on a negative note on Friday but recorded substantial weekly gains as the big corporations reported strong earnings throughout the week.
The U.S. economy recorded an annual 0.7% growth in the first quarter of 2017 on weak consumer spending, business investing and higher imports. This number marked the slowest growth rate of the past three years. Other data showed that the final reading of the UoM consumer confidence eased to 97 from 98. On the bright side, commenting on the UoM report, Richard Curtin, Surveys of Consumers chief economist, underlined that the level of optimism among Independents was pointing toward continued growth in consumer spending in 2017 at about a 2.5% pace.
The Dow Jones Industrial Average dropped 40.82 points, or 0.19 %, to 20,940.51, the S&P 500 fell 5.75 points, or 0.24%, to 2,384.19 and the Nasdaq Composite lost 1.33 points, or 0.02%, to 6,047.61.
On a weekly basis, the Dow gained 1.9%, while the S&P rose 1.5% and the Nasdaq added 2.3%, including a record close on Wednesday. For the month of April, the Dow was up 1.3%, the S&P rose 0.9%, and the Nasdaq gained 2.3%.
Headlines from the U.S. session
- CME Group FedWatch: Market expectations for a June rate hike at 63.1%
- US Dollar Index posts lowest monthly close since October
- US: Key events for next week - Danske Bank
- NY Fed Nowcast: GDP growth 2.7% for 2017:Q1 and 2.3% for 2017:Q2
- US Q1 GDP: Sluggish start of the year, rebound expected - Wells Fargo
- U.S. Secretary of State Tillerson: Threats of nuclear attack on Japan and South Korea 'are real'
- British PM May: North Korean missile tests represent threat to global peace and stability
- US: Consumer sentiment eases to 97 in final (Apr) reading - UoM
- US: Real GDP increased at an annual rate of 0.7% in the first quarter of 2017
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. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.
Recommended content
Editors’ Picks
EUR/USD stabilizes near 1.0800 as trading action turns subdued
EUR/USD holds steady near 1.0800 on Thursday and remains on track to end the day in negative territory following upbeat macroeconomic data releases from the US. The action in financial markets turn subdued as trading volumes thin out heading into Easter holiday.
GBP/USD extends sideways grind above 1.2600
GBP/USD fluctuates in a narrow channel above 1.2600 on Thursday. The better-than-expected Initial Jobless Claims data from the US and the upward revision to the Q4 GDP growth help the USD stay resilient against its rivals and limits the pair's upside.
Gold pulls away from daily highs, holds above $2,200
Gold retreats from daily highs but holds comfortably above $2,200 in the American session on Thursday. The benchmark 10-year US Treasury bond yield stays near 4.2% after upbeat US data and makes it difficult for XAU/USD to gather further bullish momentum.
XRP price falls to $0.60 support as Ripple ruling doesn’t help Coinbase lawsuit against SEC
XRP programmatic sales ruling by Judge Torres was completely rejected by another US Court that ruled in favor of the SEC in a lawsuit against Coinbase.
Portfolio rebalancing and reflation trades emerge into Q2
Yesterday’s price action pointed at a possible end-of-quarter portfolio rebalancing as the session saw the laggards of the quarter like Apple and Tesla gain, and the stars like Microsoft and Nvidia retreat.