Market Snapshot: Stocks attempt to build on gains ahead of this week’s Powell testimony, jobs data

by | Mar 6, 2023 | Stock Market

U.S. stocks on Monday attempted to build on last week’s strong finish as investors look ahead to this week’s calendar, which will feature potentially market-moving testimony by Federal Reserve Chair Jerome Powell and an eagerly awaited February jobs report.What’s happening
The Dow Jones Industrial Average
rose 58 points, or 0.2%, to 33,450.

The S&P 500
was up 15 points, or 0.4%, at 4,061.

The Nasdaq Composite
advanced 56 points, or 0.5%, to 11,742.

Stocks bounced last week, with the Dow snapping a run of four straight weekly losses and the S&P 500 breaking a three-week streak. The Dow gained 1.8% last week, while the S&P 500 advanced 1.9% and the Nasdaq Composite added 2%.

Need to Know: Why the stock-market rally can keep going, says Morgan Stanley strategist who only recently warned of a death zoneWhat’s driving markets The S&P 500 recovered the 4,000 mark last week as investors welcomed the sight of benchmark bond yields pulling back below 4%, despite a report on Friday showing that the U.S. services sector remains in robust health. “Last week ended the [S&P 500’s] string of three consecutive down weeks, and while the index’s net decline was much smaller than other recent three-week downturns, snapping the losing streak hasn’t necessarily resulted in an uninterrupted rally,” said Chris Larkin, managing director for trading at Morgan Stanley’s E-Trade. “Traders are still anticipating a 25-basis-point hike in a few weeks, and investors should prepare for volatility if the jobs read surprises in either direction, especially as some Fed officials have indicated a 50-basis-point hike remains on the table,” Larkin wrote in emailed comments. See: Why the February jobs report is unlikely to reverse a January blowout in this week’s key economic data release Also read: Pair of Wall Street firms see Friday’s job data coming in way above consensus The 10-year Treasury yield
which hit 4.081% last Thursday before pulling back, extended a decline in early trade Monday, but has subsequently pushed back to the upside. It recently was near 3.97%. Bond Report: ‘Buckle up.’ Treasury yields hold steady as Powell testimony and jobs data loom Investors’ attention will now turn to Powell’s semiannual congressional testimony on Tuesday and Wednesday, and then on Friday to the nonfarm payrolls report, which will show whether wage growth is being contained, an important consideration for the central bank. Preview: Powell to talk to Congress about t …

Article Attribution | Read More at Article Source

Share This