Stock Market Today: S&P 500 rides strong GDP data to fifth record close in a row
Investing.com — The S&P 500 closed at record levels for the fifth-straight session Thursday as investors mulled mostly upbeat corporate earnings, while stronger-than-expected economic growth and slowing inflation bolstered expectations for a soft landing, pushing Treasury yields lower.
By 16:00 ET (21:00 GMT), the Dow Jones Industrial Average was up 242 points, or 0.6%, the S&P 500 traded 0.5% higher to close at record of 4,894.92. The Nasdaq Composite closed 0.2% higher.
Economic data released earlier Thursday showed that the U.S. economy grew at a faster than anticipated rate in the fourth quarter, with further signs that inflation pressures are receding supporting bets that the economy is likely to avoid a recession.
Real gross domestic product in the world's largest economy expanded at an annual rate of 3.3% in the three months to the end of December, decelerating from 4.9% in the third quarter, though well above economists' forecast for 2%, driven by stronger consumer spending. Core personal consumption expenditure prices, the Fed's preferred inflation measure, remained at 2% for the second-straight month.
«Bottom line, the consumer went nuts in Q3, spending tons of money on vacation, entertainment, and recreation experiences,» Jefferies said in a Thursday note, though cautioned that «signs of broader weakness in the data should emerge soon.»
Treasury yields fell following the data, with the yield on the 10-year down 4.5 basis points to 4.135%.
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