Wall Street rallied on Friday, ending a week of wild market gyrations marked by signs of peaking inflation and worries that the Federal Reserve might tighten policy too aggressively.
Rebounding megacap tech and tech-adjacent growth stocks led the market higher. These shares thrived when interest rates were low and Fed policy accommodative during the pandemic, but they sold off in recent sessions.
Despite the gains, the S&P 500 and the Nasdaq were on course to post their sixth consecutive weekly loss. It would be the longest losing streak for the S&P 500 since fall 2012 and for the Nasdaq since spring 2011.
The Dow was on course for its seventh consecutive weekly dip, the blue chip average’s longest losing streak since late winter of 1980.
“It’s a pretty bleak past couple of months, we’re at or very close to bear market territory for just about every major index,” said Peter Tuz, president of Chase Investment Counsel in Charlottesville, Virginia. “It’s too early to tell whether we’re approaching a bottom and at least stabilizing.”