NEW YORK, New York - There is no holding back U.S. stocks. Despite the Covid-19 Delta variant sweeping the country, investors are weighing into sharemarkets like hotcakes.
All the major indices traded higher for the fourth day in a row, with the Nasdaq Composite, Standard and Poor's 500, and Dow Jones index, each hitting new all-time closing highs.
"Both Twitter and Snap posted strong earnings and revenue beats, and guided well ahead of estimates," Edward Moya, senior markets analyst at Oanda, said in a note to clients, according to MarketWatch.
"If these results are a sign of what to expect next week, many traders might start buying ahead of next week's big tech earnings," he said. But the sharp rebound for stocks might not be cause for near-term comfort, Moya warned, arguing that the short-lived nature of the pullback means "investors should not be surprised if another pullback presents itself."
The four-day rally, pushing all the major indices to record highs, followed a disastrous sell-off on Monday, based on fears of the rapidly spreading Coronavirus variant Delta. While those concerns linger, the appetite for stocks has resumed with a vengeance.
"We see a continuation of the last couple of days. It's a roller coaster in reverse. We did the drop first, and we've been climbing back to the top ever since," Chris Zaccarelli, chief investment officer at Independent Advisor Alliance in Charlotte, North Carolina told Reuters Thomson Friday.
"There's push and pull, there's clearly conflict in the market," he said. "There's a strong difference of opinion as to whether the future's bright or whether there are clouds on the horizon."
"We're going for a fourth consecutive up day after the Delta scare earlier in the week," Joseph Sroka, chief investment officer at NovaPoint in Atlanta," told Reuters Thomson earlier on Friday, as reported by Yahoo! Finance.
"The U.S. still looks like the best house on the block when you look around the world, even though there are concerns about inflation and labor," he said.
"We've seen some increase in cases in COVID, it hasn't been enough to give people too much pause in the market."
At the close on Friday, the Dow Jones, which only broke through the 30,000 level in late November last year, was perched comfortably above the 35,000 level for the first time. The key index jumped 238.20 points or 0.68 percent to close at 35,061.55.
The Standard and Poor's 500 accelerated 44.31 points or 1.01 percent to 4,411.79, another record high.
The tech-laden Nasdaq Composite added 152.39 points or 1.04 percent to 14,836.99, an all-time high.
The U.S. dollar traded in a tight range. The euro remained weak at 1.1773. The British pound edged up to 1.3750. The Japanese yen declined to 110.54. The Swiss franc was slightly weaker at 0.9196.
The Canadian dollar was unchanged at 1.2567. The Australian dollar too was unmoved after weakening in Asia. It last traded at 0.7367. The New Zealand dollar was steady at 0.6984.
On overseas equity markets, the CAC 40 in Paris did best, rising 1.35 percent Friday. The German Dax gained 1.00 percent, while in London the FTSE 100 advanced 0.85 percent.
On Asian markets, stocks were mixed. The Nikkei 225 rose 159.80 points or 0.58 percent to 27,548.00.
China's Shanghai Composite declined 24.34 points or 0.68 percent to 3,550.40.
The Australian All Ordinaries gained 12.00 points or 0.16 percent to 7,670.90.
The Hang Seng in Hong Kong was the biggest mover, shedding 428.54 points or 1.55 percent to 27,295.30.