U.S. stocks rose on Friday, with the S&P 500 snapping its longest losing streak in nearly two years on the back of technology and communications companies. The cryptocurrency market was little changed after Thursday’s sharp retreat as bitcoin found stability near $6,300.
Stocks Mount Modest Comeback
All of Wall Street’s major indexes booked gains in the final session of the week. The large-cap S&P 500 Index advanced 1.4% to 2,767.13, with information technology and communications services leading the way higher. Tech shares spiked 3.2% on average.
The Dow Jones Industrial Average climbed 287.16 points, or 1.2%, to 25,339.99. The blue-chip index plunged more than 1,300 points on Wednesday and Thursday combined.
The Nasdaq Composite Index outperformed its peers on Friday, gaining 2.3% to 7,496.89.
A measure of implied volatility known as the CBOE VIX pivoted sharply lower on Friday. The so-called “fear index” settled down 13.6% at 21.59 after hitting a session high of 26.80. VIX spiked by a combined 56.3% in the last two sessions en route to fresh six-month highs.
Earnings Season Underway
Corporate earnings season began in earnest Friday with a trio of Wall Street banks reporting third-quarter results. JPMorgan Chase & Co (JPM), Wells Fargo & Co (WFC) and Citigroup Inc. (C) all reported rising profits.
Wall Street is coming off back-to-back quarters of stellar earnings growth thanks to a synchronized global recovery and corporate tax cuts at home. It remains to be seen whether U.S. firms can withstand the latest turmoil engulfing emerging markets like Turkey, South Africa and Argentina. The International Monetary Fund (IMF) earlier this week downgraded it outlook on global growth, citing trade risks as the biggest barrier moving forward.