Market Resilience Shines Through Economic Data

In a surprising turn of events, the US markets closed higher on Wednesday, with the Dow Jones Industrial Average gaining 140 points. This uptick came despite earlier concerns sparked by a reported 0.3% year-on-year GDP decline in Q1—the first contraction since November 2022—and a slowdown in private sector hiring to just 62,000 jobs in April.

Late-Session Rally Boosts Investor Confidence

Investors initially reacted with pessimism to the disappointing economic data. However, a late-session rally, fueled by anticipation of upcoming earnings reports from tech giants Meta and Microsoft, as well as from Robinhood, helped major indexes rebound. By the close at 4:00 pm ET, the Nasdaq 100 and the S&P 500 also saw modest gains of 0.13% and 0.15%, respectively.

Currency Movements Reflect Market Sentiment

Meanwhile, the euro experienced a slight decline against the dollar, selling for $1.13303 at 3:58 pm ET, down by 0.48%. This movement underscores the dynamic interplay between economic indicators and market performance.

More to come...