The Dow Jones Industrial Average finished a week of strong gains with a record close Friday afternoon as Federal Reserve Chairman Jerome Powell's speech at the Jackson Hole Economic Symposium raised hopes for a September rate cut. Dow components surged more than 800 points, with gains fronted by Caterpillar, Home Depot, and Goldman Sachs on the stock market today.
Just three stocks in the Dow fell while the index's rise of 846 points, or 1.9%, won it a record close. Blue chips hurdled well over the 45,000 mark, a sticking point in recent trading sessions. Caterpillar stock led the charge, climbing more than 4%, while Home Depot and Goldman Sachs rose nearly 4%. For the week, Dow leaders gained 1.6%.
The Nasdaq composite marched up 1.9%, helped by a recovery for Nvidia, which reversed higher after a weak opening. The artificial intelligence heavyweight is due to report second-quarter results on Wednesday. Palantir Technologies also reversed course, rising more than 1% and taking a stand at its 10-week moving average. The tech-dominated index finished the week with a 0.6% loss.
The S&P 500 tacked on 1.5% Friday, aided by a rise of more than 8% for Builders FirstSource. The stock was just slightly below an alternate entry of 144.75. Enphase Energy was the biggest gainer in the benchmark index, popping more than 10%. Weekly gains for the index stood at 0.2%.
Volume on the New York Stock Exchange and on the Nasdaq was higher compared with the same time on Thursday. Winners trounced losers on the Nasdaq exchange by around 5-to-1. The ratio was nearly 10-to-1 positive on the NYSE. The yield on the benchmark 10-year Treasury note fell to 4.25%.
Small caps on the Russell 2000 outperformed the major indexes, with a push of nearly 4%.
3:46 p.m. ET
Intel Jumps On Trump News
Elsewhere, Bloomberg reported Friday that President Donald Trump's administration is set to take a stake in beleaguered chip giant Intel. According to several sources, Trump told reporters that Intel agreed to the administration taking a 10% stake. Intel stock raced up 7% on the news.
2:38 p.m. ET
Gold Stocks Head Higher
In commodities, gold rose to near $3,420 an ounce. That prompted several gold stocks to head higher.
Gold Fields surged, climbing nearly 3% in afternoon trades. AngloGold Ashanti gained 1.7% while Triple Flag Precious Metals moved 1.4% higher. Agnico-Eagle Mines added 0.9%.
Stock Market Rallies To Highs On Powell. This Is The Next Big Test.
1:29 p.m. ET
S&P 500 Sectors Mostly Gain
Ten out of 11 sectors in the S&P 500 were in the green. Consumer staples alone lagged.
Meanwhile, the Nasdaq was on track for a small loss for the week as it tested its 10-week moving average. The S&P 500 headed for a weekly gain of 0.2% with the Dow on track to rise 1.6%.
12:47 p.m. ET
Stock Market Today: Three Breakouts
Three stocks broke out in Friday trading. Northeast Bank cleared a buy point of 105.50 in a cup-with-handle base with a gain of more than 5%. SkyWest tested a buy point of 119.44, also in a cup with handle, by rising more than 4%. Amer Sports surged nearly 9% and moved past a flat base's buy point of 40.21.
11:52 a.m. ET
Homebuilders Rally As Yields Fall
Stocks in the building sector, including homebuilders, rallied sharply, with the 10-year Treasury yield down eight basis points to 4.25%. The SPDR S&P Homebuilders ETF jumped 5% and cleared a cup-with-handle base with a 116.24 entry.
Among individual builders, PulteGroup, Toll Brothers and Taylor Morrison Home all surged roughly 6% each. D.R. Horton was up nearly 5%.
The group got a boost from Powell, who said "the balance of risks appear to be shifting" in his remarks at Jackson Hole, indicating that the Fed will likely cut rates at the Sept. 16-17 meeting. Before Powell's speech, the chances were around 70% for a rate cut in September. After the speech, the number jumped to 89%.
Powell and several Fed governors have faced pressure in recent months from President Donald Trump to lower interest rates. Trump on Friday also reportedly threatened to fire Fed Gov. Lisa Cook if she doesn't resign.
10:45 a.m. ET
Nvidia Wavers; Tech Stocks Hold Up
Technology stocks held up well despite an early 2% drop for Nvidia. Sentiment was negative early after The Information reported that Nvidia has told some component suppliers to stop work related to the H20 chip, an artificial intelligence chip designed for the Chinese market to comply with U.S. exports curbs. Nvidia reversed higher for a gain of more than 1%.
Nvidia Chief Executive Jensen Huang arrived in Taipei, Taiwan, today to visit Taiwan Semiconductor, the world's largest chip foundry, which makes chips for Nvidia.
Powell Jackson Hole Speech: Live Blog
The Innovator IBD 50 ETF jumped 1.8%. Early outperformers in the IBD 50 index of leading growth stocks included Chinese stocks like online brokerage Futu and electric-vehicle maker Xpeng. Both stocks were up roughly 5%.
Stock Market Today: Ross Climbs, PDD Rallies
In earnings news, Ross Stores moved up near the 150 level, helped by a strong earnings report. The results come after competitor TJX Companies delivered solid results earlier in the week.
Ross Stores was one of the best gainers in the Nasdaq 100, along with China-based online retailer PDD, which rallied more than 3%. PDD's strength comes after the stock cleared a technical level Thursday, rising above its recent high of 121.49.
The 10-year Treasury yield slumped seven basis points to around 4.26%. Oil prices rose, as West Texas Intermediate futures edged higher to around $63.65 a barrel.
9:41 a.m. ET
Nasdaq 100 Winners, Losers: Alphabet, Micron, Palantir, Strategy
Among the Nasdaq 100 stocks, Alphabet and Micron Technology advanced roughly 1% each, making them some of the top performers in morning trading.
On the downside, Palantir Technologies and bitcoin stock Strategy declined nearly 1% each. Palantir is testing support at the key 50-day moving average.
9:01 a.m. ET
Dow Jones Movers: Amazon, Apple, UnitedHealth
Inside the blue chip Dow industrials, Amazon.com, Apple and UnitedHealth Group were early gainers on the stock market today.
Amazon stock climbed 0.4%, attempting to find support at the 50-day line. Apple shares gained 0.4%, looking to snap a six-day losing streak. UnitedHealth stock rallied 1.3% in premarket trading, on pace to add to Thursday's 1.2% gain.
8:11 a.m. ET
Stock Market Today: Nvidia Slides On AI Chip News
Nvidia reportedly has told some component suppliers to suspend work related to the H20, The Information said Thursday night, citing two sources. The H20 is an AI chip specifically designed for the Chinese market to comply with U.S. exports curbs.
Nvidia stock declined 1.3% in premarket trading, threatening to extend a losing streak to four sessions.
Earnings Movers: Intuit Dives
Key earnings movers include BJ's Wholesale, Intuit, Ross Stores, Workday and Zoom Communications.
Shares of BJ's Wholesale climbed more than 2%, while Intuit stock plunged more than 6%. Ross Stores moved up nearly 4% as Workday stock sold off more than 4%. Zoom shares jumped more than 4% in premarket trading.
Stock Market Today: Powell Jackson Hole Speech
Fed Chair Powell is due to speak at 10 a.m. ET. at the annual economic symposium in Jackson Hole, Wyo. This time last year, Powell used the annual monetary policy conference to set the stage for the start of rate cuts at the next meeting.
"The time has come for policy to adjust," he said, warning of downside risks to employment. Last year's speech fueled a rally among all three major indexes of more than 1%.
Compared with last year, the job market looks worse in many respects. That has Wall Street focused on whether Powell will use this year's Jackson Hole speech to telegraph a resumption of Fed rate cuts at next month's policy meeting and perhaps hint at further cuts beyond that.
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