Stock Market This Week (US): Tech, Banking Stocks Led the Rally

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Stock Market This Week

Stock Market This Week (US)

All three major averages snapped three-week losing streaks, and the market closed out the second-best week of 2022. The S&P 500 is up nearly 6.5% for the week, while the Nasdaq Composite gained 7.5%. The Dow is 5.4% higher.

US stock market this week: Stocks movement this week

US Markets remained closed on Monday as the United States commemorated the end of slavery by observing Juneteenth.

The market rose on Tuesday after last week's sell-off as investors assessed a more aggressive Federal Reserve and increasing chances of a recession. The energy was the best-performing sector in the S&P 500 following a surge in oil prices. 

Stocks fell on Wednesday in a choppy trading session as investors struggled to sustain a rebound at the start of the day. Growing concerns of a recession on Wall Street have recently weighed on stocks.

US stocks closed higher in a choppy session on Thursday. The Labor Department reported that applications for unemployment insurance totaled 229,000 for the week ended June 18. Fed Chair Powell said the Fed is strongly committed to bringing down inflation.

The Dow Jones rallied more than 800 points on Friday, rebounding off the lows of the bear market last week. The market rally was broad-based as all 11 sectors were up for the day. The financial sector was a notable gainer in the broader market index.

US stock market this week: Major events

Fed on inflation: Federal Reserve Chairman Jerome Powell doubled down on his commitment to tame inflation. He said that we don't have precision tools, so there is a risk that unemployment would move up, from what is historically a low level though. A labor market with 4.1% or 4.3% unemployment is still a robust labor market.

Consumer sentiment survey: A widely followed consumer sentiment survey released Friday showed inflation expectations have eased slightly. The University of Michigan’s Surveys of Consumers said consumers expect inflation to rise at a 5.3% annualized rate as of the end of June.

Lower oil prices: Oil prices have moved significantly lower this week after reaching $120's/barrel earlier this month. There is a confluence of factors surrounding the move, but lower demand from softening economic growth projections is likely the biggest factor.

Treasury bond: US Treasury yields were higher on Friday but closed for the week. The yield on the benchmark 10-year Treasury note was trading higher at 3.134%, down from last Friday’s close of 3.231%. Meanwhile, the yield on the 30-year Treasury bond rose around 8 basis points to 3.263%, compared to last Friday’s close of 3.282%.

  • Why is FedEx in the news this week?

  • Why did oil prices fall this week?

  • How did major indices perform during the week?

  • What to expect from the US market next week?

  • Will recession come in the US?