Today’s stock market: real-time updates

The S&P 500 rose slightly on Friday as stocks extended their incredible rebound after Monday’s plunge. The broad index nearly reversed its losses for the week.

this S&P 500 It rose 0.3% this week and fell 0.2%. Nasdaq Composite Index An increase of 0.5%. Dow Jones Industrial Average Flashes near the horizon.

This week has been the most volatile in the market since 2024. The Dow Jones Industrial Average fell 1,000 points on Monday, while the S&P 500 fell 3%, its biggest one-day drop since 2022. Disappointing U.S. jobs data last week and concerns that the Federal Reserve was too late to cut interest rates were the main reasons for the sell-off, with hedge funds unwinding their popular foreign exchange trades.

However, the major indices rebounded, with Thursday’s Weekly unemployment claims The figure helped ease investor concerns about the U.S. economy. The S&P 500 rose 2.3% on Thursday, its best one-day gain since November 2022, while the 30-stock Dow Jones Industrial Average surged about 683 points. The tech-heavy Nasdaq Composite rose nearly 2.9%.

Currently, the major indices are set to turn positive for the week, with the Dow down just 0.3% for the week and the Nasdaq up nearly 0.1%.

At Monday’s low, the S&P 500 was down nearly 10% from its recent all-time high. The Nasdaq Composite’s correction has reached full correction territory of more than 10%. Cboe Volatility Index — an index used by Wall Street to measure fear — reached levels last seen during the coronavirus pandemic and the financial crisis.

But investors bought the dips because they didn’t think another crisis or recession was imminent. The decline earlier this week had more to do with hedge funds unwinding long-term bets on a weaker yen than with fundamental threats to the economy.

It’s not just the stock market that’s had a turbulent week. The 10-year Treasury yield fell below 3.70% at one point, but rebounded to 4% on Thursday. It last traded around 3.93%.

Jay Hatfield, CEO of Infrastructure Capital Advisors, said the volatile trading activity is comparable to what you see in late summer, when there isn’t as much information flowing and earnings season is starting to wind down, which doesn’t indicate the economy is deteriorating.

Hatfield said much of the selling in the market stems from “hedge fund themes” rather than long-term investors.

“So the rally makes sense. The violent sell-off and rally is just normal for August and September; markets are thin, hedge funds are crazy, and the sell-off is irrational. The recent market activity has no impact on our long-term outlook,” Hatfield added.