- US stocks rose as the S&P 500 hovered near record highs on Friday as investors remained bullish on the US economy.
- The benchmark index broke its intraday and closing records on Thursday.
- The 10-year Treasury yield was around 1.455% on Friday, a sign that the market believes high inflation will prove to be transient
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US stocks rose on Friday, with the S&P 500 hovering near record highs as investors remain bullish on the US economy thanks to support from the Federal Reserve.
The benchmark index broke both its intraday high and its closing high on Thursday, to end the session at 4,239.18.
Tom Lee, managing partner and head of research at Fundstrat Global Advisors, said the breakout to new highs was foreshadowed by last week’s bullish breakout.
“Our baseline scenario of an increase in the S&P 500 to 4,400 by mid-2021 remains intact,” Lee said in a note.
While data on Thursday showed U.S. inflation rose more than expected in May, weekly jobless claims fell to a pandemic-era low.
The 10-year Treasury yield was trading around 1.455%, two basis points above its March low, a sign that the market believes high inflation will be transient, as the Federal Reserve said.
Here is where the American indices were at 9:30 am open Friday:
Bitcoin was trading at $ 37,421. The world’s most popular cryptocurrency peaked in a week on Thursday, hitting $ 38,000 as the cryptocurrency ignored renewed calls for tighter regulation.
Gold slipped 0.57% to 1,887.18 an ounce. The precious metal lost ground with the rise of the US dollar.
Oil prices have fallen. West Texas Intermediate crude edged down 0.07% to $ 70.24 a barrel. Brent crude, the international benchmark for oil, fell 0.07% to $ 72.47 per barrel.
The International Energy Agency said on Friday that global demand for oil is expected to return to pre-pandemic levels by the end of 2022, but new outbreaks of COVID and low levels of immunization in developing countries. development will make the recovery uneven.