S&P 500 and Nasdaq rise as investors ponder interest rates, Ukraine war

The S&P 500 rose on Friday, continuing on track for its best week since November 2020, as investors digested the Federal Reserve’s rate hike and surveyed developments in Ukraine.

The broad US stock index added 0.1%, building on three consecutive days of gains. The Dow Jones Industrial Average was down 0.3%, or about 98 points, while the Nasdaq Composite Index of tech weights was up 0.8%.

The S&P 500 is on track for a 5% gain this week, while the Nasdaq Composite is heading for a 6.9% weekly advance.

As per investor evaluation war effect In Ukraine on the US economy, they say companies still have strong fundamentals. The recent rise in oil prices may dampen sentiment and spur more Concerns about inflationthe investors said.

“Sentiment remains fragile, and the risk of further escalation remains a real concern despite the gains in the past two weeks,” said Michael Hewson, chief market analyst at CMC Markets.

Oil prices hovered at high levels, with Brent crude adding 0.1% after jumping more than 8% on Thursday. The global benchmark was trading at $106.77 a barrel. Traders remain concerned about reduced oil supplies due to long-term sanctions on Russia amid signs that the conflict may continue.

Russian and US officials said on Thursday that talks between Moscow and Kiev on a ceasefire had not yielded progress. President Biden spoke with On Friday, China’s Xi Jinping is expected to try to deter Beijing from supporting Russia in the Ukraine war.

Traders worked on the floor of the New York Stock Exchange on Wednesday.


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Spencer Platt / Getty Images

The yield on the US 10-year Treasury fell to 2.146% on Friday from 2.192% on Thursday, reversing the trend after four consecutive days of gains. Yields decrease as prices rise.

between individual stocks,

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It fell 4.7% after it reported lower freight volumes and said profit margins were under pressure.

Offshore, the Stoxx Europe 600 continental index was up 0.2%.

The Russian stock market remained closed. The country’s central bank has yet to say whether it will open next week. The central bank kept the key interest rate at 20%. The ruble rose 0.7% against the dollar, trading at about 105 rubles to one dollar, after the Russian state avoided default by making Coupon payments on sovereign dollar-denominated bonds on Thursday.

“The markets were in a position to face a technical shortcoming of Russia, people were surprised,” said Ludovic Subran, chief economist at Allianz. He added that this gives a boost to the currency.

Russian government bonds also rose. Bonds maturing next year are trading around 55 cents on the dollar, up from 25 cents at the start of the week, according to AdvantageData.

In Asia, most major benchmarks have risen. Chinese stocks were mixed, with the Shanghai Composite Index rising for a third trading session in a row and extending the momentum spurred by policy makers in Beijing. Which indicates the support of capital markets earlier in the week. Hong Kong’s Hang Seng fell 0.4% on Friday but closed more than 4% higher for the week.

Karen Langley contributed to this article.

write to Anna Hertenstein at [email protected]

Corrections and amplifications
European stocks started trading at 4 AM ET. An earlier version of this article mistakenly described the moves as of the end of Thursday as having occurred on Friday morning.

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