Strong earnings results from some of the biggest banks and firms marked the beginning of the earnings season, lifting the Dow Jones Industrial Average on Friday.
The Nasdaq and S&P 500 have reached their best levels since April 2022, and Wall Street is coming off its fourth straight day of gains.
JPMorgan Chase increased more than 2% in the premarket following the release of earnings that exceeded expectations. Higher interest rates and increasing interest income helped the bank. In the premarket, Wells Fargo also gained more than 3% due to earnings that exceeded expectations.
Following the insurance juggernaut’s release of better-than-anticipated earnings and sales, UnitedHealth shares increased by 3%. The company increased the lower end of its earnings guidance for the entire year.
According to FactSet, analysts are projecting a roughly 7% year-over-year decline in S&P 500 earnings this season, which is a pessimistic outlook. The S&P 500’s profits decreased by 31.6% in the second quarter of 2020, making that the poorest earnings season since then.
The Bureau of Labour Statistics reported on Friday that import prices into the United States dropped 0.2% in June. Adding to earlier economic data from this week that came in colder than anticipated, this was the sixth month in 2023 that import prices have decreased.
Source (CNBC)