Wall Street ends 3-day losing streak as tech stocks rise


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(Reuters) – Major Wall Street indices rebounded Thursday after a three-day drop, supported by gains in tech stocks, as the smallest weekly jobless claims since the start of a pandemic recession boosted morale.

Bitcoin recovered lost ground to trade nearly $ 40,000 a day after a sharp sell-off, helping to renew appetite for risk. Crypto exchange operator Coinbase Global rose 3.83%, while crypto miners Riot Blockchain and Marathon Digital Holdings gained 0.17% and 0.83% respectively.

“There is a big risk, a regulatory risk, to crypto that is not fully appreciated,” said Jay Hatfield, founder and CEO of Infrastructure Capital Management in New York City. “Central banks have a monopoly on money. And we just think it’s a little surprising that they didn’t enforce this monopoly.

The number of Americans filing new unemployment benefits fell to 444,000 in the week ended May 15, down for the third time in a row, suggesting that job growth has resumed this month here, even if companies are always desperate for workers.

Major Wall Street indices fell on Wednesday, prolonging losses as, following the minutes of the Federal Reserve meeting last month, some policymakers felt it would be appropriate to discuss easing support in times of crisis. , such as the reduction in bond purchases, at the next meetings if the strong economic momentum is sustained.

“Right now there is really only one market driver, and that is the Fed and the potential timing of quantitative reduction and easing,” Hatfield added.

Signs of rising inflation have heightened bets that the Federal Reserve may tighten policy soon, hitting rate-sensitive growth stocks that have put the tech-savvy Nasdaq on track for its release. fifth consecutive weekly decline.

The Dow Jones Industrial Average rose 188.11 points, or 0.55%, to 34,084.15, the S&P 500 gained 43.44 points, or 1.06%, to 4,159.12 and the Nasdaq Composite added 236.00 points, or 1.77%, at 13,535.74.

Volume on the US exchanges was 9.30 billion shares, compared to an average of 10.05 billion for the full session over the last 20 trading days. Retailers were a weak point. Ralph Lauren Corp fell 7.01% after forecasting full-year sales below analyst estimates, making it the biggest percentage decline in the S&P 500

Kohl’s Corp fell 10.17% after warning of a severe blow to its annual profit margin due to rising labor and shipping costs, as well as selling fewer products to the high price.

Rising issues outnumbered falling issues on the NYSE by a 2.25 to 1 ratio; on the Nasdaq, a ratio of 2.42 to 1 favored the advancers.

The S&P 500 posted 17 new 52-week highs and no new lows; the Nasdaq Composite recorded 66 new highs and 28 new lows.

Reporting by Echo Wang in New York; Additional reports from Medha Singh and Shashank Nayar in Bengaluru; Editing by Maju Samuel and Aurora Ellis

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