WEEKLY SUMMARY: Stocks, Bonds & Gold soar as inflation cools down
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The S&P 500 closed at a fresh all-time high on Friday, rising for a 5th consecutive week, its longest weekly winning streak since 2024. This brings the index up +15% since the March 30 low, also marking April as the best month for stocks since November 2022. Stocks largely shrugged off the stream of sometimes conflicting headlines about the war in the Middle East and a surprisingly hawkish Federal Reserve policy meeting to post solid gains in most major indexes. Large-cap stocks outpaced small-caps, and value outperformed growth. Five of the “Mag 7” companies reported earnings, with financial results generally meeting or exceeding expectations for these bellwether firms. Meanwhile, major central banks keep rates on hold amid war uncertainty.
Most major U.S. stock indexes finished the week higher, with several hitting record highs. Positive economic data, ongoing strength in AI-linked stocks, and upbeat earnings results helped offset continued uncertainty surrounding the U.S.-Iran conflict. The technology-heavy Nasdaq Composite led gains, followed by the S&P 500 and Russell 2000 Indexes. The Dow Jones Industrial Average declined. With nearly 20% of the S&P 500 companies reporting during the week, 84% of S&P 500 companies that had reported through Friday beat estimates, with a blended yoy earnings growth rate of 15.1%—on pace for a sixth consecutive quarter of double-digit growth.
U.S. stocks posted strong gains for the third straight week, with several major indexes notching new all-time-highs amid signs of de-escalating conflict in the Middle East, upbeat earnings results, and a series of generally positive economic data releases. The Nasdaq Composite led indexes higher, gaining 6.84%, followed by the Russell 2000 and S&P 500 Indexes. Large-cap growth stocks outperformed their value counterparts for the third consecutive week, supported in part by ongoing enthusiasm around artificial intelligence-linked stocks. Positive sentiment was supported by the ongoing U.S.-Iran ceasefire as well as optimism around continuing negotiations between the two countries.


