Wall Street’s major indexes jumped on Monday, with Bank of America leading gains among creditors after reporting better-than-expected results, supported by rapid rate hikes by the Federal Reserve.
Bank of America Corp rose 4.53% as the lender benefited from higher net interest income in the third quarter, although it added $378 million to its loan loss reserves.
Overall, higher rates boosted interest income for lenders in the third quarter, but turbulent markets hampered deal-making and banks set aside more funds to prepare for an economic downturn.
The S&P 500 Bank Index rose 3.14%. All 11 S&P 500 industry indices were up, with technology, communications services and consumer discretionary leading gains with gains of nearly 3% each.
Analysts now expect earnings for S&P 500 companies to have risen just 3.6% from a year earlier, far below the 11.1% rise expected in early July, according to Refinitiv data.
The S&P 500 and Nasdaq marked their fourth weekly loss in five weeks on Friday after data showed little sign that inflation was cooling, leading traders to start predicting chances of a 1 percentage point rate hike by the Federal Reserve at its November meeting.
At 11:34 am (GMT), the S&P 500 index [F2>0] gained 2.50%, at 3,672.78 points, while the Dow Jones was up 1.68%, at 30,131.52 points. The Nasdaq Composite technology index rose 3.36% to 10,668.49 points.
Source: CNN Brasil
Joe Jameson, a technology journalist with over 2 years of experience, writes for top online news websites. Specializing in the field of technology, Joe provides insights into the latest advancements in the industry. Currently, he contributes to covering the world stock market.
.jpg "Heels? No thanks, women now prefer the heasins")
