Wall St. ekes out gains as growth stocks surge



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Wall St. ekes out gains as growth stocks surge

On Wednesday, a slew of Wall St. stock indices had winded up the session in a mixed complexion with Wall Street bellwether S&P 500 alongside tech-heavy Nasdaq having been heaved by mega-cap tech stocks like of Amazon.com Inc alongside Microsoft Corp., however, JPMorgan Chase & Co had been a drag in banking stocks sub-index even as the largest US lender by revenues had handily beaten earnings expectations.

In point of fact, in the day’s swift upward spiral in growth stocks was almost entirely galvanized by an increase in US Consumer Prices Index (CPI) last month, as Americans were reportedly paying off lofty amounts for basic goods such as foods and household items with prospects of further price hike lurking over the horizon in an alignment with a steep uproar in energy prices.

Nonetheless, earlier in the day, US Labour Department’s much-awaited CPI data had unveiled that US Consumer Prices Index rose 0.4 per cent last month following an increase of 0.3 per cent in August, eventually putting pressure on US Fed to taper off fiscal support for the economy while yielding a rate-hike as early as by mid- to end-2022 as anticipated.

Apart from that, later in the day, Minutes from September 21-22 US Fed policy meet had unveiled that the policymakers had tentatively agreed to a tapering off fiscal support by mid-November, however, signs of debates had been reported about the extent of an ease in fiscal support for the economy.

Wall St. ends mixed after CPI data, FOMC Minutes

Citing statistics, in the day’s Wall St. closing bell, trade-sensitive Dow ended almost dithered at 34,377.81 and benchmark S&P 500 gained 0.30 per cent to 4,363.80, while tech-heavy Nasdaq rose 0.73 per cent to 14,571.64.

Meanwhile, addressing to a growing market concern ahead of Q3, 2021 earnings’ season, a senior managing director at Clearstead Advisors LLC in New York, Jim Awad, said, “My hope is that as we work out way through earnings season that the forward-looking guidance will be good enough that we’ll close the year higher. But right now, the market is in a show-me phase”.