S&P 500, Nasdaq on 8th winning streak, best run in 2024

Monday’s stock gains built on the market’s recovery as investors prepare for the widely anticipated Federal Reserve symposium later this week. To close at 40,896.53 index points, the Dow Jones Industrial Average gained 236.77 points, or 0.58%.

The Nasdaq Composite finished 1.39% higher at 17,876.77 index points, while the S&P 500 increased 0.97% to settle at 5,608.25. It was the first time the S&P 500 and the Nasdaq had seen eight straight days of gains, the first this year.

The actions on Monday represent a continuation of the current rebound surge, the most recent shift in an unstable period for the stock market. Interestingly, the three main indexes saw their largest gains of the year last week.

August got off to a rocky start as concerns about the Federal Reserve’s slow rate of interest rate reduction and the escalation of recessionary fears were reinforced by weak data. These concerns of a worldwide sell-off, caused the S&P 500 to have its worst day since 2022 on August 5.

However, new information released this week appeared to calm market jitters and increase optimism that the economy can achieve a gentle landing. In addition to Walmart’s impressive profits, investors received positive statistics on retail sales and the number of initial jobless claims.

In addition, the consumer price index for July showed the lowest annualized inflation rate in almost three years. Following this month’s exaggerated fears of an impending recession, the market has nearly recovered.

With expectations for a rate cut on the rise, investors are now looking for information about the trajectory of interest rates. The Fed Chair Jerome Powell’s remarks on Friday at the U.S Fed’s symposium in Jackson Hole, Wyoming. Traders will analyze the minutes of the Fed’s most recent meeting, due on Wednesday, before then.