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Weekly Comic: Fed Stimulus Helps Power Stocks Back Toward Record Highs

Published 08/01/2020, 07:31 AM
Updated 08/01/2020, 07:32 AM

By Jesse Cohen

Investing.com - Stocks on Wall Street ended higher on Friday, with the major averages wrapping up their fourth straight monthly gain thanks to an ongoing flood of stimulus from the Federal Reserve.

The Dow Jones Industrial Average rose 114 points, or 0.4%, to end the week at 26,428, the S&P 500 gained 0.7%, or 24 points, to 3,271, while the Nasdaq Composite jumped 1.4%, or 157 points, to 10,745, led by a 10% jump in Apple shares (NASDAQ:AAPL).

For the week, stocks put in a mixed performed, with Dow sliding 0.2% to suffer its second straight weekly decline amid faltering economic data and a resurgence in coronavirus cases.

The S&P and Nasdaq, however, rose 1.7% and 3.7%, respectively, boosted by a rally in the Big Tech shares.

Wall Street’s major indexes closed out the month of July with solid gains and posted their fourth straight positive month in a row. The Dow gained 2.3% in July, while the S&P 500 and Nasdaq soared 5.5% and 6.8%, respectively.

At current levels, the benchmark S&P 500 index is now about 4% shy of its February all-time high. The index has rallied nearly 49% from an intraday low set on March 23, when coronavirus-related lockdowns shocked the stock market.

To see more of Investing.com’s weekly comics, visit: http://www.investing.com/analysis/comics

Latest comments

I got burnt badly friday when cogress said no deal. It tanked, i sold and went short. It turned around when they said they come back saturday. It is not only Fed.
Sounds like you are catching a k n i f e in both directions.
globally mkts are going to correct hold short positionz, there is going to be a severe depression ahead. with so much stimulus Gdp is down by 32 percent . be careful on longs, biggies tend to play this game of getting the retail or small fish stuck by showing extreme bullishness followed by a vertical fall.
Get lots of guns, ammo and food. This may be the beginning of a collapse that will wipe out the market economy. Possibly start WW3 as elites go for the throat in their latest power grab. Don't get vaccinated, it will be full of mind enslaving nanotech and poison.
How much of that consumer stimulus in July was allocated to cash savings vs stocks
Savings give u zero return. At zero, u look for better return in stocks, gold,etc. my guess is over 80%.
This demographic has a lower probability for buying stocks. Hopefully they saved and did not overspend as there will be many permanent layoffs.
3380 on s and P is a big hurdle. A giant double top. Big M.
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