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S&P 500 Posts Back-to-Back Weekly Gains

S&P 500 Posts Back-to-Back Weekly Gains

May 07, 2024

U.S. stock markets, including the well-known S&P 500 index, finished the week with gains, helped by a report that fewer jobs than expected were added in April. This report made people hopeful that interest rates might be lowered next year. The S&P 500 increased by 0.56% last week, adding to its growth from the previous week.

In addition to hopes about interest rates, the stock market was buoyed by strong earnings reports from big technology companies and updated estimates showing companies are doing better than initially thought this year. The stock market saw particular strength in sectors like utilities, consumer products, and technology, although energy and financial companies didn't do as well.

The job report also indicated a slight increase in the unemployment rate to 3.9%, and slower wage growth, suggesting that the job market might not be as robust, which can influence decisions on interest rates.

In the bond market, prices of U.S. Treasury bonds went up as yields fell, also reflecting the hopes for lower interest rates. As for commodities, both gold and crude oil prices fell last week, with oil experiencing a significant drop due to unexpected increases in oil inventories.

The views stated herein are not necessarily the opinion of Cetera Advisor Networks LLC and should not be construed directly or indirectly as an offer to buy or sell any securities mentioned herein. Due to volatility within the markets mentioned, opinions are subject to change without notice. Information is based on sources believed to be reliable; however, their accuracy or completeness cannot be guaranteed. Past performance does not guarantee future results.

S&P 500 – A capitalization-weighted index of 500 stocks designed to measure performance of the broad domestic economy through changes in the aggregate market value of 500 stocks representing all major industries.

Investors cannot invest directly in indexes. The performance of any index is not indicative of the performance of any investment and does not take into account the effects of inflation and the fees and expenses associated with investing.