The market is moving higher Thursday after Wednesday’s quiet session, with the S & P 500 less than 1% away from its record close on March 28. The Dow is also up around 270 points, on pace for its seventh straight winning day. Stocks are getting support from the bond market, as the yield on the 10-year Treasury note retreated after initial jobless claims hit their highest levels since August, indicating a loosening labor market. Yields dipped again in reaction to a solid demand for a $25 billion auction of 30-year bonds. Economic data reports, including the University of Michigan’s May consumer sentiment survey and the April producer price index and consumer price index, are expected next week and will be closely monitored by Wall Street.
The only S & P 500 sector in the red Thursday was technology, with solar stocks under pressure after SolarEdge gave disappointing second-quarter guidance. Chip stocks were also mostly lower, potentially linked to soft quarterly guidance from chip designer Arm Holdings. Despite short-term challenges, the long-term growth story for AI chips remains positive. Salesforce, a club holding, was the worst performer in the Dow on Thursday, down about 1.5%, possibly due to competitive concerns about Alphabet’s interest in buying HubSpot. Real estate, utilities, and energy were the top-performing sectors in the S & P 500 on Thursday, with utilities leading the way by being up nearly 4% for the week.
The week’s big earnings reports have concluded, with Array Technologies, Insulet Corp, and Akamai Technologies reporting Thursday, and Enbridge scheduled to report on Friday. Subscribers to the CNBC Investing Club with Jim Cramer receive trade alerts before Jim makes a trade, and he waits 45 minutes to execute the trade. If Jim has discussed a stock on CNBC TV, he waits 72 hours before making a move. It is important to note that the club’s information is subject to terms and conditions, privacy policy, and a disclaimer, and no fiduciary obligation or duty exists for recipients of the information. Specific outcomes or profits are not guaranteed.
Overall, the market is showing positive momentum on Thursday, with the S & P 500 and Dow both making gains. While technology stocks are struggling, other sectors like real estate, utilities, and energy are performing well. Economic data reports and earnings reports will be closely watched in the coming days, with the University of Michigan’s consumer sentiment survey and the producer and consumer price indices expected to provide valuable insights. Subscribers to the CNBC Investing Club with Jim Cramer receive trade alerts before trades are made, with specific waiting periods in place to ensure transparency and fairness in decision-making. It is essential for members to be aware of the terms and conditions, privacy policy, and disclaimer associated with the club’s information.
