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Wall Street Ends Week Higher On US Soft Landing Faiths

All three major US indexes closed the week with gains after a deal of Big Tech earnings, economic data.

All three major US indexes closed with gains after a deal of Big Tech earnings, economic data and central bank notices increased investor confidence in a soft landing for the US economy.

US annual inflation decelerated much in June, probably pushing the Federal Reserve earlier to ending its fastest interest rate hiking cycle since the 1980s.

In the 12 months from June, the PCE price index rose 3.0%, a smaller annual gain since March 2021 and a 3.8% rise in May.

The Dow Jones Industrial Average surged 176.37 bps, or 0.5%, to 35,459.09, the S&P 500 grew 44.76 bps, or 0.99%, to 4,582.17 and the Nasdaq Composite added 266.55 bps, or 1.9%, to 14,316.66.

The Nasdaq mounted 2.02% for the week, while the S&P rose 1.01%, with Dow at 0.66%. The gains gave the S&P 500 its uppermost close since April 4, 2022.

US exchanges volumes were 10.10 billion shares, versus a 10.45 billion average for the entire session since 20 trading days.

According to Refinitiv data, half-plus firms listed on the S&P 500 have testified second-quarter earnings as of Friday, of which 78.7% have exceeded analyst expectations.

Barclays mentioned investors flocked to equities, with inflows of $10 billion to US-listed stocks. Eleven major S&P 500 sectors gained, led by communications services, which grew 2.3% as big tech companies kept up the trend after announcing earnings.

On Thursday, the blue-chip Dow broke its longest winning streak since 1987 as US Treasury yields pressured stocks after the Bank of Japan’s long-term interest rates rose. The yield on the US 10-year note skidded from 4% in the previous session, lifting mega-cap growth and technology stocks higher.

Procter & Gamble mounted 2.83%, beating analysts’ estimates for quarterly sales.

Enphase Energy chopped 7.48% as solar inverter maker’s third-quarter revenue forecast missed prospects, while Juniper Networks (JNPR.N) tumbled 6.94%, forecasting Q3 revenue below market estimates.

Exxon Mobil cut down 1.19% as the oil giant posted a 56% slump in quarterly profit, while peer Chevron shack 0.50%, forecasting annual production low end of its before estimated range.

Reata Pharmaceuticals flowed 54.02% after Biogen bought the rare disease drugmaker for $6.5 billion.

The S&P 500 sent 27 new 52-week highs and two lows; the Nasdaq Composite logged 83 new highs and 84 new lows.

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