Overview of the Weekly Performance
This week, U.S. major indices closed mixed on Friday as investors’ risk appetite diminished towards the end of a tumultuous week marked by Intel’s decline amidst a gloomy outlook.
- The Dow Jones Industrial Average dropped 0.58% to 49,098.71 points.
- The S&P 500 rose 0.03% to 6,915.61 units.
- The Nasdaq Composite increased 0.28% to 23,501.24 points.
Despite Friday’s gains, the indices accumulated their second consecutive week of losses, with the S&P 500 falling 0.35%, Dow losing 0.53%, and Nasdaq retreating 0.06% for the week.
Investor Confidence Amidst Global Uncertainty
Despite the pullback, investors seem to maintain confidence that while geopolitical-induced volatility poses a present threat, the overall U.S. economic condition remains robust.
Out of the sectors that make up the S&P 500, seven ended in positive territory, led by a 1.71% increase in communication services.
“As we look ahead to earnings, we will be in a ‘show me’ period where we truly need to deliver revenue growth to justify the stock price increases,” said Julian McManus, portfolio manager of Janus Henderson’s Global Alpha Equity team.
Key Earnings and Policy Decisions Ahead
This week, investors anticipate earnings from Tesla, Microsoft, Meta Platforms, and Apple – members of the “Seven Dwarfs” group – as well as the Federal Reserve’s first policy decision on Wednesday.
Mexican Equity Market Slows Despite Positive Start to Year
Meanwhile, Mexico’s equity market halted its positive streak that marked the beginning of this year, amidst reduced international tensions and local operators absorbing domestic data.
- Mexico’s principal index, the S&P/BMV IPC, fell 0.22% to 68,195.15 points on Friday.
- The FTSE-BIVA of the Bolsa Institucional de Valores dropped 0.08% to 1,350.02 points.
The indices have maintained a positive trend for three consecutive weeks, with the IPC rising 1.57% and the FTSE gaining 1.35% in the week.
