by Sinéad Carew and Johann M Cherian

(Reuters) – The New York Stock Exchange ended higher on Wednesday, with the S&P-500 once again breaking its closing record, as strong quarterly results fueled optimism among investors, who also listened closely attentive to the comments of officials of the American Federal Reserve (Fed) about interest rates.

The Dow Jones index gained 0.40%, or 156.00 points, to 38,677.36 points.

The broader S&P-500 gained 40.83 points, or 0.82%, to 4,995.06 points.

The Nasdaq Composite advanced 147.65 points (0.95%) to 15,756.64 points.

More than half of the S&P-500 companies have reported their quarterly results. Among them, 81.2% exceeded expectations, according to LSEG data released on Tuesday.

“Optimism linked primarily to better-than-expected results continues to keep the market on a positive bias,” commented Michael James, managing director of Wedbush Securities in Los Angeles.

However, he added, investors are battling “negativity hanging over the market” amid concerns about the banking sector, as regional bank New York Community Bancorp reported an unexpected loss and decline last week. of its dividend.

Down more than 2% during the session, the KBW regional banks index nevertheless erased part of its losses to finish at -0.1%.

This volatility was also noted for New York Community Bancorp, up 6.7% after plunging 13%. The bank’s new chief executive has promised to reduce exposure to the struggling commercial real estate sector.

Investors also scrutinized the comments of Fed officials after the president of the American central bank, Jerome Powell, on Sunday ruled out a rate cut as early as March.

While Minneapolis Fed President Neel Kashkari has said he currently anticipates two or three rate cuts this year, Governor Adriana Kugler has stressed the need for more certainty before reducing borrowing costs. .

Among the eleven major sectors of the S&P-500, nine ended the session in the green, led by technologies, up 1.4%.

Despite a quarterly profit forecast above expectations, Uber did not record significant gains, ending only at +0.3%, due to the postponement of the announcement of its capital distribution plans.

Snap plunged 34.6%, to a two-month low, after posting disappointing quarterly revenue due to its difficulties in attracting advertisers.

Chipotle Mexican Grill jumped 7.2% after reporting better-than-expected quarterly results Tuesday evening. Ford rose 6% after announcing it was raising its dividend for the first quarter.

( Jean Terzian)

Copyright © 2024 Thomson Reuters