The stock market soared Friday in spite of Russia's attack on the capital of Ukraine as President Joe Biden and other Western leaders appeared to take a hands-off approach to the invasion.
Meanwhile, shares in Etsy and Block jumped by double digits on a percentage basis after both companies topped earnings estimates.
The Nasdaq composite, after being down early Friday, gained 1%. Technology Select Sector SPDR gained 1.2% as tech stocks continued to rebound.
The S&P 500 climbed 1.9%. Despite its positive reversal, the stock market faces major hurdles as it tries to sustain the rebound.
The Dow Jones Industrial Average rose 2.3%. The Russell 2000 gained 1.7%.
U.S. Stock Market Today Overview |
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|---|---|---|---|---|
| Index | Symbol | Price | Gain/Loss | % Change |
| Dow Jones | (0DJIA) | 34007.32 | +783.49 | +2.36 |
| S&P 500 | (0S&P5) | 4372.17 | +83.47 | +1.95 |
| Nasdaq | (0NDQC ) | 13615.34 | +141.75 | +1.05 |
| Russell 2000 | 201.48 | +3.44 | +1.74 | |
| IBD 50 | 37.37 | +0.83 | +2.27 | |
Last Update: 1:32 PM ET 2/25/2022 |
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Volume fell compared with the same time on Thursday.
Yields Rise; Oil And Gold Decline
The 10-year Treasury yield ticked up to 1.99% Friday. The yield is recovering from sharp losses earlier this week when the yield fell to 1.85%. Meanwhile, U.S. oil prices fell 2.3% Friday, and gold prices declined to $1,889 after reaching as high as $1,973 on Thursday.
The war in Ukraine remains a major concern for investors, although Russia appeared to ignore the sanctions and pushed deeper into Ukraine. Russian troops drew closer to the Ukrainian capital of Kyiv, while the Russian government agreed to talks with Ukraine's leaders.
Russian troops linked up with armored forces at an airfield near Kyiv, the Wall Street Journal reported. Gunfire broke out in parts of Kyiv in what Ukrainian officials said were clashes with Russian infiltrators.
Western leaders, including President Biden, have taken sanctions against Russia but have decided not to remove Russia from the SWIFT financial system — a move that the Ukrainian president insisted on.
Sempra, Square Parent, Etsy Among Stock Market Movers
Sempra Energy gained more than 5% after the company topped Wall Street's earnings estimates. The stock broke into its buy zone, passing a buy point of 139.53 from a cup-with-handle base. The gas and electric utility earned an adjusted $2.16 per share, topping FactSet analyst expectations of $2 per share.
Block roared 23% after the payments company posted Q4 earnings and sales that topped estimates. Analysts saw many positives in the results for Block, the parent of Square. Even so, Needham & Co., Credit Suisse and Deutsche Bank cut their price targets on the stock. Block stock had sunk to a June 2020 low before today's bounce.
Etsy shares rocketed 13% after a mixed fourth-quarter report. Results beat expectations, but the crafts marketplace Q1 forecast was below views. Active sellers jumped 72% and active buyers rose 17.6%. Etsy shares had plummeted more than 60% from the November peak.
CarGurus soared 40% to a new high. The car-buying website easily beat fourth-quarter profit expectations and gave bullish guidance. The stock surged back above the 35.99 buy point of a double-bottom base.
Shares initially topped the entry last week but tumbled below it.
Online travel operator Expedia and health insurance provider Anthem, both IBD 50 stocks, each jumped more than 2%. Expedia is in a buy zone after soaring past its buy point of 191.95. It reported fourth-quarter results on Feb. 10 that soundly beat Wall Street estimates, but the stock faltered amid rising market tensions over Russia's invasion of Ukraine. Anthem is climbing toward a buy point of 461.64.
Expedia and Anthem also own a spot in IBD Leaderboard.
Innovator IBD 50 rose 0.7% in early afternoon trading on Friday.
Financial stocks rebounded Friday after Thursday's decline. Bank of America, JPMorgan Chase, Citigroup and Wells Fargo were all up more than 3%.
Global Ship Lease and Matson rose 4% and 2%, respectively, on expectations of higher shipping costs.
Stock Market Weighs Economic Reports
Personal spending rose 2.1% in January from the previous month, the best increase since March 2021, says BMO Capital Markets economist Jennifer Lee. Incomes were flat, but spending and incomes came in above economists' forecasts.
The core PCE price index, the Fed's main measure of inflation, jumped 5.2% from a year ago, meeting the Econoday forecast.
Durable goods orders rose 1.6% in January, and 0.7% excluding transportation, also above estimates.
Follow Michael Molinski on Twitter @IMmolinski
