US stock market indexes closed the week with mixed results after a turbulent few days influenced by inflation concerns and strong earnings reports. The week saw the Dow Jones Industrial Average drop by 2.4%, the S&P 500 trade flat, and the Nasdaq 100 rise by 1.4%.
Investors were rattled by robust economic data, particularly the PMI release on Thursday, which heightened fears of inflation leading to speculation that the Federal Reserve might maintain higher interest rates for a longer period. This sentiment pushed back expectations for a Fed rate cut.
Looking ahead, investors are eagerly anticipating the release of next week’s PCE data to assess the direction in which inflation is heading. Moreover, Nvidia’s impressive first-quarter earnings report significantly boosted tech stocks, propelling the Nasdaq 100 to close the week at a record high.
The daily closing bell on Friday saw the S&P 500 up 0.7%, the Dow Jones Industrial Average flat, and the Nasdaq composite up 1.1%. While Nvidia celebrated its strong performance this week, analysts are cautious about the future, with predictions of a potential 20% drop in the company’s stock value over the next 18 months due to increasing competition.
In other news, an NBA Championship parlay ticket resulted in an astounding 80,860% gain for a lucky bettor, while predictions suggest Ether could surge by up to 60% if spot ETFs are approved by the SEC. Additionally, Apple’s upcoming WWDC AI event and the launch of the iPhone 16 are expected to contribute to the company’s projected worth of over $4 trillion next year, according to Wedbush.
On the commodities front, West Texas Intermediate and Brent crude oil prices rose, gold prices slightly dipped, the 10-year Treasury yield decreased, and Bitcoin’s value increased.
The stock market’s mixed performance this week underscores the ongoing volatility and uncertainty driven by economic data, corporate earnings, and market speculation. As investors continue to monitor inflation indicators and company reports, the coming weeks are expected to bring further clarity to market trends and investor sentiment.
