At the close of transactions, the leading US index rose 2.47 percent to 31,083 points. It’s an increase of 4.9 percent for the week it booked – also thanks to significant gains on Monday and Tuesday.
Market-wide, the S&P 500 rose 2.37 percent to 3753 points at the end of Friday’s trading, while the Nasdaq 100 index, full of technology stocks, rose 2.39 percent to 11,310 points. Weekly gains for the two indices reached 4.7 percent and 5.8 percent, respectively, the highest level since June this year.
The development of US bond yields continues to set the direction for stock markets, including the New York stock market. On Friday, the much-notable yield on ten-year government bonds temporarily rose to 4.33 percent, the highest since 2007, but then fell to 4.22 percent.
Regarding the recent crackdown on yields, traders cited an article in the Wall Street Journal in which some representatives of the US Federal Reserve expressed concern about excessive monetary tightening. After all, in the fight against inflation, the Fed has raised the key interest rate by three percentage points overall since the beginning of the year.
Central bankers will also discuss whether to signal a smaller increase in interest rates in December is possible. Because with a strong tightening, the Fed risks stopping economic activity too much in terms of investment and lending.
The key interest rate is currently between 3.0 percent and 3.25% and is likely to be raised again at meetings in November and December.
(SDA)