Wall Street: Uptrends end a strong week

The U.S. market is little changed and positive in two of the three indexes in the last session of the week, with technology having lost some of its momentum after disappointing results from Snap.

In particular, the Dow Jones Industrial Average rose 0.4% to 32,158 points, the broad S&P 500 rose slightly by 0.1% to 4,004 points, while the technology-weighted Nasdaq fell 0.2% to 12,035 points.

Tech today appears to be taking a step back after back-to-back rallies over the past few days, as negative results from Snap and Twitter weigh on the sector.

In particular, Snap posted an adjusted net loss of 2 cents per share, double the market’s expectations, while its revenue came in at $1.11 billion versus expectations for $1.4 billion and sees its stock loaded by 35%.

Meanwhile, Twitter saw its revenue fall 1% in the quarter from a year ago, posting its first annual decline since the middle of the pandemic in 2020, but its stock edged up 0.4%.

However, Twitter added 8.8 million new users during the quarter, as predicted by the market, while it pointed to “uncertainty related to its impending acquisition” by Elon Musk for the decrease in its revenue.

In any case the indices are on course to close out a strong week, with the Nasdaq up +5.3% before the session started, the Dow Jones up +2.4% and the S&P 500 up +3.5%.

The investment climate generally appears strengthened recently, boosted by corporate results that exceed – albeit low – expectations.

Notably, with nearly 21% of S&P 500 companies reporting earnings, 70% have beaten market estimates, according to FactSet.

Yesterday, after all, the tech-weighted Nasdaq completed its third straight up session, boosted by results from Tesla which jumped nearly 10% in trading.

“This shows that market expectations are really low, that some good news can go a long way when you have low expectations,” Truist’s Keith Lerner said, noting that investors returned to growth stocks even amid weak economic data.