PARIS (Reuters) – The New York Stock Exchange rose at the start of the session on Thursday, driven by the rise in growth stocks with the relaxation of bond yields and by a well-received economic indicator.
In early trading, the Dow Jones index gained 260.46 points, or 0.79%, to 33,136.17 points and the broader Standard & Poor’s 500 rose 1.14% to 3,826.31 points.
The Nasdaq Composite takes 1.55%, or 158.711 points, to 10,371.999.
The slightly higher weekly jobless claims figures supported the idea that the Federal Reserve’s monetary tightening is paying off, easing concerns about future rate hikes.
“Signs of the beginning of a weaker job market are evident,” said Peter Cardillo, chief economist at Spartan Capital Securities. “We’re at the end of the year and of course the market hasn’t been performing well. We’re seeing some sort of bargain hunting happening.”
Traders thus continue to anticipate a rate hike of half a point at the Fed meeting and see rates peak at 4.92% next June, according to the monitoring tool “FedWatch”.
On the equity side, the major technology stocks are moving forward again after having suffered the day before from an increase in government bond yields: Apple, Alphabet, Microsoft and Amazon gained between 1.67% and 2.67%.
The yield on ten-year Treasuries fell three basis points to 3.856% the day after a six-week peak at 3.892%.
(Laetitia Volga, edited by Sophie Louet)
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