On Thursday, all three key indices of Wall St. had winded up the session over 1.5 per cent higher as heavy-weight US stocks such as Morgan Stanley alongside UnitedHealth had surged after robust third-quarter earnings’ report, while upbeat labour market data alongside hints of further rise in inflation indicators had eased investors’ angsts over a rate-hike as early as by mid-to end-2022.
In point of fact, in the day’s Wall Street, riant Q3, 2021 earnings’ report from top four US lenders such as JPMorgan, Citi, Wells Fargo and Bank of America, often dubbed as an economic bellwether to the broader economy, had set off a jubilant advent, while shares’ prices of Citi, Morgan Stanley and Bank of America had fleshed up on Thursday after surpassing analysts’ estimates, as an economic rebound had helped large lenders release a large sum which they had to set aside to cover up pandemic associated bad-debts.
Adding to further impetus, US Labour Department data had revealed earlier in the day that US initial weekly jobless claims had fallen below a 300,000-mark for the first time in more than 19 months over the week that ended on October 19, while other economic data released earlier in the day had unmasked that US PPI (Producers Price Index) rose by 0.5 per cent last month, suggesting a further hike in inflation indicators over coming months which would eventually put pressure on US Federal Reserve to foster a hawkish monetary policy.
Wall St. ends in a jubilant vibe
Citing statistics, in the day’s Wall St. round-off, trade-sensitive Dow jumped 1.55 per cent to 34,910.02 and benchmark S&P 500 leapt as much as 1.70 per cent to 4,438.15, while tech-heavy Nasdaq climbed 1.71 per cent to 14,824.90.
Meanwhile, addressing to a gallant gale in the day’s Wall Street, President of Alan B Lancz & Associates Inc., an advisory firm based on Toledo, Ohio, Alan Lancz, said, “Some of the things that worried the market in September, and even last week, as far as the inflation aspect and higher interest rates and the Delta variant, maybe have lessened.
Not that it's all over, but on a temporary scale at least, you can make a case for it trending in the right direction”.