Dow Extends Its Winning Streak
The Dow Jones Industrial Average brought its winning streak to six sessions on a mixed Wednesday for the broader market.
The Dow Jones Industrial Average was up 171 points, or 0.4%. The S&P 500 was flat. The Nasdaq Composite was down 0.2%.
The yield on the 2-year Treasury note rose to 4.841%. The 10-year yield hit 4.491% after an auction for 10-year notes experienced somewhat weak demand.
Earnings reports were mixed, and the latest comments from Federal Reserve officials failed to move the market. That is not necessarily a bad thing, especially with the S&P 500 coming off its best three-day stretch of the year.
“Getting through last week in constructive fashion was significant,” Frank Cappelleri, founder of technical analysis firm CappThesis, told Barron’s. “The six percent sell off from the March highs produced the true dip that previously reluctant traders had been waiting for all year. With the initial reactions to the FOMC, AAPL and jobs report being good, it gave them the green light to be more aggressive.”
The next major test for bonds and stocks, alike, will be next week’s consumer price index for April. A cooler than expected inflation report would be welcomed by the market, especially if it helps pave the way for interest rate cuts in the months ahead.