Dow jumps 200 points as Wall Street seeks to break 3-week slump
U.S. stocks rose on Friday after a choppy trading session as traders scrutinized Federal Reserve Chairman Jerome Powell’s latest comments on inflation.
The Dow Jones Industrial Average rose 268 points, or 0.85%. The S&P 500 and the Nasdaq Composite climbed 1.10% and 1.52% respectively.
Shares of DocuSign jumped more than 17% in extended trading after the electronic agreements company reported an increase in profits. The company also released third-quarter revenue forecasts that beat expectations.
The Dow Jones Industrial Average jumped 193 points, or 0.61%, in Thursday’s regular session – closing higher after alternating between gains and losses throughout the day. The S&P 500 rose 0.66% and the Nasdaq Composite rose 0.60%.
Those gains put the top three averages on pace to break a three-week losing streak. Through Thursday, the Dow is up 1.45%. Meanwhile, the S&P 500 is up 2.09% and the Nasdaq Composite is up 1.99%.
Stocks have been volatile recently as expectations of a 0.75 percentage point rate hike this month rose on Wall Street, after the Fed Chairman again said he was “strongly determined” to bring inflation down.
“I think people are grossly underestimating what the Fed is going to have to do to fight inflation,” Bernstein Advisors CEO Richard Bernstein said Thursday on CNBC’s “Closing Bell: Overtime.”
“It’s incredibly ironic that investors are even considering a Fed pivot while the real fed funds rate remains about as negative as it has been historically. So the Fed isn’t even really fighting the Fed yet. inflation. We don’t have a positive real rate. The fed funds rate. It’s hard to argue that we should go extremely bullish anytime soon,” he added.