Stocks Extend Weekly Gains After Recession Fears Eased On Wall Street

Barry Adams
09 Aug, 2024
New York City

Stocks on Wall Street seesawed in early trading on Friday amid a lack of economic catalysts and corporate news. 

The S&P 500 index and the Nasdaq Composite struggled to advance following a surge in the previous session after jobless claims rose less than expected. 

Earlier in the week, stocks turned volatile after nonfarm payrolls rose at a slower-than-expected pace in July, stoking fears that weakening labor market conditions are signaling a possible economic slowdown. 

Those fears were compounded by fewer new job openings in June and worries about the possible slowdown in capital spending for artificial intelligence infrastructure. 

However, market indexes attempted to rebound after weekly jobless claims in the previous week rose less-than-expected by 233,000, soothing fears of an imminent economic slowdown. 

 

U.S. Indexes and Treasury Yields

The S&P 500 index gained 0.2% to 5,327.20, the Nasdaq Composite advanced 0.2% to 16,693.24, and the Russell 2000 index declined 0.3% to 2,077.57. 

The yield on 2-year Treasury notes edged higher to 4.02%, 10-year Treasury notes increased to 3.93%, and 30-year Treasury bonds inched lower to 4.22%.

WTI crude oil increased $0.35 to $76.51 a barrel, and natural gas prices edged up 2 cents to $2.15 a thermal unit.

Gold increased by $6.71 to $2,431.13 an ounce, and silver increased by $0.01 to $27.52. 

The dollar index, which weighs the US currency against a basket of foreign currencies, edged lower to 103.13.

 

U.S. Stock Movers 

Expedia Group increased 10.3% to $130.10 after the online travel agency reported better-than-expected revenue of $3.56 billion and earnings per share of $3.51 in its latest quarter. 

The company also said travel demand softened in July because of a challenging macroeconomic environment. 

Paramount Global advanced 4.1% to $10.63 after the media company reported better-than-expected 54 cents per share earnings in the second quarter. 

The company also announced its plan to cut 15% of its U.S. employees ahead of its merger with Skydance Media. 

Unity Software jumped 6.5% to $15.30, and video game developers reported better-than-expected second quarter results. 

The company estimated revenue for the third quarter to range between $415 million and $420 million, below market expectation of $445 million. 

Take Two Interactive increased 3.5% to $143.65, and the video game developer reported fiscal first-quarter revenue of $1.3 billion compared to $1.26 billion, net loss expanded to $262 million from $206 million, and diluted loss per share increased to $1.52 from $1.22 a year ago. 

The company guided full-year net bookings between $5.55 billion and $5.65 billion.