Friday's session on Wall Street brought a return to growth after a short break, and investors focused on Amazon's better-than-expected quarterly results. The main US stock indexes ended the week and the entire October on a positive note.
The Dow Jones Industrial was up 0.09% at the close. and amounted to 47,562.87 points.
The S&P 500 increased by 0.26% at the end of the day. and amounted to 6,840.20 points.
The Nasdaq Composite rose 0.61%. up to 23,724.98 points
The Russell 2000 mid-cap index is up 0.54%. up to 2,479.38 points
The VIX index increases by 3.13%. up to 17.44 points
Friday ended a strong week and month on Wall Street. The S&P 500 index gained 0.7% this week, while the Nasdaq and Dow Jones rose 2.2% and 0.8%, respectively.
The entire October – which in the past has experienced one of the largest one-day declines in the history of the stock exchange – brought an increase in the S&P 500 index by 2.3%. The Nasdaq rose by 4.7% in the last month, and the Dow Jones, which includes 30 companies, gained 2.5%. The Dow recorded a sixth consecutive month of positive gains, the first such long streak since 2018.
The index of the main technology companies in the US (Magnificent Seven) will most likely record the seventh month in a row with an increase – this would equal the second longest sequence in history from 2 years ago. A record 11 months of increases in total for these companies were recorded in 2016-17.
The Nasdaq is on track for its seventh consecutive monthly gain, its longest streak since May 2017. The S&P 500 and blue-chip Dow are heading for their sixth straight month of gains.
“Big tech is driving the stock market, so if this group starts to decline, it will drag the entire market down with it. At the same time, their results brought a lot of relief, because before the season there were concerns about what their reports would look like after the recent record increases,” says Matt Maley, chief strategist of Miler Tabak.
Amazon shares rose nearly 10% after the e-commerce giant reported that revenue for its cloud computing division rose 20%. in the third quarter, beating Wall Street estimates.
Company CEO Andy Jassy said the AWS segment is “growing at a pace we haven't seen since 2022,” with artificial intelligence and underlying infrastructure seeing “strong” demand.
“AI adoption is accelerating, making business investments in Gemini's growing computing power and functionality worthwhile. This will be a key metric going forward as we have committed over $600 billion in capital expenditures for next year,” Brian Mulberry, client portfolio manager at Zacks Investment Management, told CNBC.
Following Amazon's results, Wall Street investors also bought shares of other companies related to artificial intelligence on Friday. AI software company Palantir rose 3 percent, while leading artificial intelligence player Oracle gained 2.2 percent.
“Investors will be paying attention to how this spending translates into growing AI sales at individual companies,” Mulberry said.
Apple shares were largely unchanged after a mixed quarterly report: the company's revenues beat expectations, but results were weighed down by problems with the iPhone supply chain. In recent months, the company's capitalization increased by USD 1 trillion.
Shares of streaming giant Netflix rose 2.7%. after it announced a 10-to-1 stock split.
Electric car maker Tesla also gained in value, rising more than 3% at the end of the day.
On the oil market, WTI contracts for November are up by 0.54%. to USD 60.90 per barrel, and December Brent futures increase by 0.11%. up to USD 65.07/b. (PAP) Business)
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