Weekly Market Insights: Big Win For Big Tech

Stocks finished higher last week, with big tech again leading amid lingering uncertainty over how continued economic strength would influence the Fed’s rate decision.

Stocks Dip, Then Rally 

Stock prices dropped early in the week before rising to new highs as the week ended. The four-day trading week began with more Q4 bank earnings, which disappointed. The news pushed the financial sector and the broader S&P 500 Index lower on Tuesday. The yield on the 10-year Treasury climbed after a Fed Governor said the central bank may adjust rates as much as markets expect. That and a stronger-than-expected holiday retail sales report put pressure on stock prices.^1,2,3

Tech stocks drove the Thursday rally, with the S&P and Nasdaq recouping their 2024 losses. Stocks continued their tech-led climb on Friday, with the S&P 500 rising to an all-time high—its first record close in over two years. The Nasdaq gained 1.70% on Friday, capping a solid week for the tech-heavy index.

Footnotes and Sources

1. ^{CNBC.com, January  16, 2024.}
2. ^{CNBC.com, January 17, 2024.}
3. ^{CNBC.com, January 17, 2024.}
4. ^{CNBC.com, January 16, 2024.}
5. ^{MarketWatch.com, January 17, 2024}
6. ^{CNBC.com, January 18, 2024.} 
7. ^{The Wall Street Journal, January 19, 2024.}