Stocks rose on Friday, capping a successful week fueled by better-than-expected economic growth and a pop in Tesla shares.
The Nasdaq Composite rose 0.95% to 11,621.71, while the S&P 500 added 0.25% to 4,070.56. The Dow Jones Industrial Average added 28.67 points, or 0.08%, to end at 33,978.08.
All major averages recorded a positive week and are on pace for a monthly gain. The tech-heavy index rose 4.32% to close its fourth straight week of gains. It is on pace for its best monthly performance since July. The S&P and Dow added 2.47% and 1.81% respectively this week.
Earnings season is stressful, with strong guidance American Express Although shares are 10.5% Miss a top and bottom line. Some chip stocks even rose Intel fell more than 6% in a Bad earnings report It missed expectations.
So far this year, markets have been bullish on the 2022 sales trend. The Dow is up 2.5%, while the S&P is up 6%. The Nasdaq rose 11%.
“We’re putting the finishing touches on a very strong January based on low inflation and the economy hanging in there,” said Ryan Dedrick, chief market strategist at the Carson Group. “We’re not out of the woods. We’ve got the Fed next week, and they might want to throw some water on this rally.”
Investors weighed more economic data on Friday ahead of next week’s Federal Reserve policy meeting. The Commerce Department said prices rose 4.4% from a year ago, the index of personal consumption expenditures excluding energy and food, and Dow Jones estimates. The so-called PCE is the central bank’s favorite measure of inflation.
Better than expected Fourth Quarter Gross Domestic Product Report Thursday helped boost confidence that the central bank could manage a soft landing.
These are some of the last data points ahead of the Fed’s widely expected 25 basis point hike.