Stocks concluded higher on Friday, with the S&P 500 and Nasdaq closing out the session at record levels.

The S&P 500 and Nasdaq each rose about 0.5 %, even though the Dow ended simply a tick above the flatline. U.S. stocks shook off earlier declines after monitoring a drop in overseas equities, after new data showed that UK gross domestic product (GDP) slumped by a report 9.9 % in 2020 as a virus-induced recession swept the country.

Shares of Dow component Disney (DIS) reversed earlier benefits to fall more than one % and take back out of a record high, after the company posted a surprise quarterly profit and produced Disney+ streaming prospects more than expected. Newly public organization Bumble (BMBL), which began trading on the Nasdaq on Thursday, rose another seven % after jumping sixty three % in the public debut of its.

Over the older couple weeks, investors have absorbed a bevy of much stronger than expected earnings results, with company profits rebounding much faster than expected inspite of the ongoing pandemic. With over eighty % of companies now having claimed fourth-quarter outcomes, S&P 500 earnings per share (EPS) have topped estimates by 17 % in aggregate, and bounced back above pre-COVID amounts, according to an analysis by Credit Suisse analyst Jonathan Golub.

“Prompt and good government action mitigated the [virus related] damage, leading to outsized economic and earnings surprises,” Golub said. “The earnings recovery has been considerably more powerful than we might have dreamed when the pandemic first took hold.”

Stocks have continued to set up fresh record highs against this backdrop, and as monetary and fiscal policy assistance remain robust. But as investors become accustomed to firming business performance, businesses might need to top even greater expectations in order to be rewarded. This could in turn put some pressure on the broader market in the near-term, as well as warrant much more astute assessments of individual stocks, according to some strategists.

“It is no secret that S&P 500 performance has been quite strong over the past few calendar years, driven primarily through valuation development. However, with the index P/E [price-to-earnings ratio] recently eclipsing its previous dot-com high, we think that valuation multiples will start to compress in the coming months,” BMO Capital Markets strategist Brian Belski wrote in a note Thursday. “According to the work of ours, strong EPS growth will be required for the following leg greater. Fortunately, that is precisely what existing expectations are forecasting. Nonetheless, we in addition discovered that these kinds of’ EPS-driven’ periods tend to be more challenging from an investment strategy standpoint.”

“We think that the’ easy money days’ are over for the time being and investors will have to tighten up the focus of theirs by evaluating the merits of individual stocks, instead of chasing the momentum laden practices which have recently dominated the expense landscape,” he added.

4:00 p.m. ET: Stocks end higher, S&P 500 and Nasdaq reach record closing highs
Here is exactly where the main stock indexes finished the session:

S&P 500 (GSPC): +18.55 points (+0.47 %) to 3,934.93

Dow (DJI): +27.44 points (+0.09 %) to 31,458.14

Nasdaq (IXIC): +69.70 points (+0.5 %) to 14,095.47

2:58 p.m. ET:’ Climate change’ is the most cited Biden policy on corporate earnings calls: FactSet
Fourth-quarter earnings season marks the first with President Joe Biden in the White House, bringing an innovative political backdrop for corporations to contemplate.

Biden’s policies around climate change as well as environmental protections have been the most-cited political issues brought up on company earnings calls so far, according to an analysis from FactSet’s John Butters.

“In terms of government policies talked about in conjunction with the Biden administration, climate change and energy policy (28), tax policy (20 ) and COVID-19 policy (19) have been cited or maybe discussed by probably the highest number of companies with this point in time in 2021,” Butters wrote. “Of these twenty eight firms, 17 expressed support (or perhaps a willingness to your workplace with) the Biden administration on policies to greatly reduce carbon as well as greenhouse gas emissions. These 17 companies possibly discussed initiatives to reduce their own carbon as well as greenhouse gas emissions or perhaps services or products they supply to assist clientele & customers reduce their carbon and greenhouse gas emissions.”

“However, 4 businesses also expressed some concerns about the executive order setting up a moratorium on new oil and gas leases on federal lands (plus offshore),” he added.

The list of 28 companies discussing climate change and energy policy encompassed organizations from a broad array of industries, like JPMorgan Chase, United Airlines Holdings and 3M, alongside conventional oil majors like Chevron.

11:36 a.m. ET: Stocks combined, S&P 500 and Nasdaq turn positive
Here’s where markets had been trading Friday intraday:

S&P 500 (GSPC): +7.87 points (+0.2 %) to 3,924.25

Dow (DJI): 8.77 points (0.03 %) to 31,421.93

Nasdaq (IXIC): +28.15 points (+0.21 %) to 14,053.77

Crude (CL=F): +$0.65 (+1.12 %) to $58.89 a barrel

Gold (GC=F): +$0.20 (+0.01 %) to $1,827.00 per ounce

10-year Treasury (TNX): +2.7 bps to deliver 1.185%

10:15 a.m. ET: Consumer sentiment suddenly plunges to a six month low in February: U. Michigan
U.S. consumer sentiment slid to probably the lowest level after August in February, based on the Faculty of Michigan’s preliminary once a month survey, as Americans’ assessments of the path forward for the virus stricken economy suddenly grew more grim.

The headline consumer sentiment index dipped to 76.2 from 79.0 in January, sharply losing out on expectations for an increase to 80.9, based on Bloomberg consensus data.

The complete loss of February was “concentrated in the Expectation Index and among households with incomes below $75,000. Households with incomes in the bottom third reported considerable setbacks in the current finances of theirs, with fewer of the households mentioning recent income gains than anytime since 2014,” Richard Curtin chief economist for the university’s Surveys of Consumers, said in a statement.

“Presumably a new round of stimulus payments will bring down financial hardships with those with the lowest incomes. More surprising was the finding that customers, despite the expected passage of a grand stimulus bill, viewed prospects for the national economy less favorably in early February compared to last month,” he added.

9:30 a.m. ET: Stocks open lower, but speed toward posting weekly gains
Here is in which markets had been trading only after the opening bell:

S&P 500 (GSPC): 8.31 points (-0.21 %) to 3,908.07

Dow (DJI): -19.64 (0.06 %) to 31,411.06

Nasdaq (IXIC): 53.51 (+0.41 %) to 13,970.45

Crude (CL=F): 1dolar1 0.23 (0.39 %) to $58.01 a barrel

Gold (GC=F): 1dolar1 10.70 (-0.59 %) to $1,816.10 per ounce

10-year Treasury (TNX): +3.2 bps to deliver 1.19%

9:05 a.m. ET: Equity funds see highest weekly inflows actually as investors pile into tech stocks: Bank of America
Stock funds just saw their largest ever week of inflows for the period ended February ten, with inflows totaling a record $58.1 billion, according to Bank of America. Investors pulled a total of $800 million out of gold and $10.6 billion out of cash during the week, the firm added.

Tech stocks in turn saw their very own record week of inflows during $5.4 billion. U.S. large cap stocks saw their second-largest week of inflows ever at $25.1 billion, and U.S. tiny cap inflows saw the third-largest week of theirs at $5.6 billion.

Bank of America warned that frothiness is rising in markets, however, as investors keep piling into stocks amid low interest rates, as well as hopes of a good recovery for corporate profits and the economy. The firm’s proprietary “Bull as well as Bear Indicator” tracking market sentiment rose to 7.7 from 7.5, nearing an 8.0 “sell” signal.

7:14 a.m. ET Friday: Stock futures point to a lower open
The following were the main moves in markets, as of 7:16 a.m. ET Friday:

S&P 500 futures (ES=F): 3,904.00, down 8.00 points or perhaps 0.2%

Dow futures (YM=F): 31,305.00, down 54 points or even 0.17%

Nasdaq futures (NQ=F): 13,711.25, printed 17.75 points or perhaps 0.13%

Crude (CL=F): 1dolar1 0.43 (0.74 %) to $57.81 a barrel

Gold (GC=F): -1dolar1 9.50 (0.52 %) to $1,817.30 per ounce

10-year Treasury (TNX): +0.5 bps to deliver 1.163%

6:03 p.m. ET Thursday: Stock futures tick higher
Here is in which markets had been trading Thursday as overnight trading kicked off:

S&P 500 futures (ES=F): 3,904.50, printed 7.5 points or perhaps 0.19%

Dow futures (YM=F): 31,327.00, down thirty two points or 0.1%

Nasdaq futures (NQ=F): 13,703.5, printed 25.5 points or even 0.19%