{"id":136332,"date":"2021-08-20T21:12:13","date_gmt":"2021-08-20T21:12:13","guid":{"rendered":"https:\/\/precoinnews.com\/?p=136332"},"modified":"2021-08-20T21:12:13","modified_gmt":"2021-08-20T21:12:13","slug":"wall-street-rallies-as-fed-jitters-wane-but-ends-down-for-the-week","status":"publish","type":"post","link":"https:\/\/precoinnews.com\/business\/wall-street-rallies-as-fed-jitters-wane-but-ends-down-for-the-week\/","title":{"rendered":"Wall Street rallies as Fed jitters wane, but ends down for the week"},"content":{"rendered":"
NEW YORK (Reuters) – Wall Street rallied to close sharply higher on Friday, closing a tumultuous week on easing concerns over whether the U.S. Federal Reserve could begin tightening its dovish monetary policy sooner than expected.<\/p> While all three major U.S. indexes ended solidly green, all posted weekly losses after a steep mid-week sell-off pulled the S&P 500 and the Dow away from a string of record closing highs.<\/p>\n \u201cTowards the beginning of the week you saw traders balancing their books ahead of the Fed statement,\u201d said Matthew Keator, managing partner in the Keator Group, a wealth management firm in Lenox, Massachusetts. \u201cAnd once the statement came out, you saw a bit of \u2018sell the rumor buy the news.\u2019\u201d<\/p>\n Market-leading tech and tech-adjacent megacaps, which weathered the pandemic recession better than most, once again provided the biggest lift.<\/p>\n Growth stocks were also given a boost by U.S. Treasury yields, which ended the week lower due to concerns the health crisis could be a longer than expected hindrance to economic revival.<\/p>\n Announcements from a host of Asian nations that they are implementing drastic measures to curb the resurgence of COVID-19 due to the rise of the disease\u2019s highly contagious Delta variant, put a damper on stocks associated with economic re-engagement.<\/p>\n Mixed economic data from the U.S. and China suggested the ongoing recovery from the most abrupt recession on record has passed its peak and lost some momentum.<\/p>\n Market participants now look to next week\u2019s Jackson Hole Symposium in Wyoming, a gathering of major central bank leaders, for clues from Fed Chair Jerome Powell regarding the expected pace of recovery and the timeline for policy tightening.<\/p>\n \u201cWe\u2019ve seen times in history where the Jackson Hole Symposium has drawn a lot of eyeballs but this year more so,\u201d Keator added. \u201cThe Fed might use this opportunity to communicate what their plan is going forward.\u201d<\/p>\n The Dow Jones Industrial Average rose 225.96 points, or 0.65%, to 35,120.08, the S&P 500 gained 35.87 points, or 0.81%, to 4,441.67 and the Nasdaq Composite added 172.88 points, or 1.19%, to 14,714.66.<\/p>\n All 11 major sectors of the S&P 500 ended the session higher, with tech stocks and utilities enjoying the largest percentage gains.<\/p>\n Second-quarter reporting season has essentially run its course, with 476 of the companies in the S&P 500 having posted results. Of those, 87.4% have beaten consensus, according to Refinitiv data.<\/p>\n Farm and construction equipment manufacturer Deere & Co beat quarterly profit expectations and raised its full year guidance due to robust demand. Still, its shares ended the session down 2.1%.<\/p>\n Bristol-Myers Squibb advanced 1% after the U.S. Food and Drug Administration approved the drugmaker\u2019s cancer drug Opdivo.<\/p>\n U.S.-listed shares of China-based tech-related companies oscillated market participants as they digested recent sell-offs resulting from Beijing\u2019s ongoing regulatory crackdown, which has wiped half a trillion dollars from Chinese markets this week.<\/p>\n Alibaba Holding Group closed down 1.6%, while Tencent Music Entertainment Group, Didi Global and iQiyi Inc gained between 1.6% and 3.7%.<\/p>\n Advancing issues outnumbered declining ones on the NYSE by a 2.37-to-1 ratio; on Nasdaq, a 2.21-to-1 ratio favored advancers.<\/p>\n The S&P 500 posted 50 new 52-week highs and 1 new lows; the Nasdaq Composite recorded 59 new highs and 200 new lows.<\/p>\n Volume on U.S. exchanges was 8.72 billion shares, compared with the 9.21 billion average over the last 20 trading days.<\/p>\n