On Friday, stocks increased and Treasury yields decreased as traders scrutinised key bank earnings.
183 points, or 0.5%, were added to the Dow Jones Industrial Average. The S&P 500 increased by 0.5%, while the Nasdaq Composite increased by 0.2%.
With higher-than-expected profit and revenue figures for the third quarter, JPMorgan Chase and Wells Fargo started the earnings season for significant financial institutions on Friday. JPMorgan Chase and Wells Fargo both saw greater than 2% growth in share price. Following a sales beat, Citigroup also saw a 2% increase.
The decrease in U.S. Treasury yields helped stocks as well. The 10-year Treasury yield decreased by more than 11 basis points to 4.598%. At 5.02%, the 2-year Treasury yield was almost 5 basis points lower. Prices and yields have an opposite connection.
Friday morning, Philadelphia Federal Reserve President Patrick Harker said he believed the government should “keep rates where they are.”
Traders are also keeping an eye on the October preliminary data on consumer mood due out on Friday.
Source (CNBC)
