FYI: U.S. stocks rose Friday as investors analyzed a batch of new economic data and waited for signs about U.S.-China trade talks.
The Dow Jones Industrial Average rose 110 points, or 0..43%, to 26026, pulling back after climbing more than 200 points in early trading. The S&P 500 rose 0..69% and Nasdaq Composite added 0..29%. As of the 4 p.m. close of trading, the Nasdaq was up 0.9% for the week, giving the technology-heavy index a 10th consecutive weekly gain.
Despite a bumpy week, the Dow and S&P 500 are off to their best start to a year in about three decades and closed out February with gains of at least 3%. This year’s gains have propelled both indexes within 5% of their records.
Other asset classes have also gained, with U.S. oil prices surging 26% in 2019 after sliding in November into a bear market, typically defined as a decline of 20% from a market peak.
Shares of Gap surged 16% after the apparel retailer topped analysts’ earnings estimates in the latest quarter. The company also said it is separating Old Navy from the rest of the business, creating two publicly traded companies. Meanwhile, Foot Locker ’s stock jumped more than 5% after the sporting-goods retailer delivered better-than-expected sales growth in the fourth quarter.
Meanwhile, data showed Americans pulled back spending sharply in December, a sign households were cautious on spending in recent months, the Commerce Department said Friday. Consumer spending drives about two-thirds of U.S. economic output. Personal-consumption expenditures, a measure of household spending, fell to a seasonally adjusted 0.5% in December from the prior month.
Investors had feared that fading windfalls from the tax overhaul and the tariff battle between the Washington and Beijing would weigh on corporate profits. But results have largely been better than feared. With results in from about 97% of the companies in the S&P 500, fourth-quarter earnings are up 13% from a year earlier, according to FactSet.
Still, mixed data out of China and Europe hasn’t reassured investors about the pace of global growth. Many remain concerned about how long the U.S. expansion can continue.
“The stock market likes certainty,” Ms. Sissel said. “Having a U.S.-China trade resolution come to fruition will be positive for the markets. Once that’s resolved, the markets will have a catalyst to move higher.”
The WSJ Dollar Index, which tracks the dollar against a basket of 16 currencies, was up 0.3% on Friday.
The 10-year U.S. Treasury yield jumped to about 2.74%, from 2.711% on Thursday, according to Tradeweb. Yields rise as bond prices fall.
Elsewhere, the Stoxx Europe 600 rose 0.4%. In Asia, the Shanghai Stock Exchange climbed 1.8%, Hong Kong’s Hang Seng Index rose 0.6% and Japan’s Nikkei climbed 1%.
Eight of the eleven S&P 500 Sectors, led by Energy finished in positive territory. Real Estate, Materials and consumer Staples were negative for the day.
Regards,
Ted
Bloomberg Evening Briefing:
https://www.bloomberg.com/news/articles/2019-03-01/your-evening-briefingWSJ:
https://www.wsj.com/articles/global-stocks-move-higher-after-a-bumpy-week-11551431198Bloomberg:
https://www.bloomberg.com/news/articles/2019-02-28/asian-stocks-set-for-mixed-start-dollar-climbs-markets-wrapIBD:
https://www.investors.com/market-trend/stock-market-today/stock-market-up-nasdaq-extends-win-streak/Reuters:
https://www.reuters.com/article/us-usa-stocks/wall-street-rises-on-trade-optimism-in-slow-week-idUSKCN1QI4KHCNBC:
https://www.cnbc.com/2019/03/01/stock-market-dow-futuresin-focus-after-strong-economic-growth-data.htmlU.K.:
https://www.marketwatch.com/story/ftse-100-boosted-by-chinese-manufacturing-data-advertising-giant-wpp-adds-8-2019-03-01/printEurope:
https://www.marketwatch.com/story/european-indexes-positive-amid-renewed-trade-deal-hopes-wpp-gains-8-2019-03-01/printAsia:
https://www.marketwatch.com/story/asian-markets-rise-on-trade-deal-hopes-msci-expansion-2019-02-28/printBonds:
https://www.cnbc.com/2019/03/01/us-bonds-treasury-yields-move-higher-as-investors-await-economic-data.htmlCurrencies:
https://www.cnbc.com/2019/03/01/forex-markets-dollar-yen-us-gdp-in-focus.htmlOil:
https://www.cnbc.com/2019/03/01/oil-markets-opec-us-crude-exports-global-economy-in-focus.htmlGold
https://www.cnbc.com/2019/03/01/gold-markets-us-economic-data-dollar-in-focus.htmlWSJ: Markets At A Glance:
https://markets.wsj.com/usMajor ETFs % Change:
https://www.barchart.com/etfs-funds/etf-monitorSPDR's Sector Tracker:
http://www.sectorspdr.com/sectorspdr/tools/sector-trackerSPDR's Bloomberg Sector Performance Pie Chart:
https://www.bloomberg.com/markets/sectorsCurrent Futures:
https://finviz.com/futures.ashx 
