(MENAFN- Baystreet.ca) Equities Hike Despite Inflation Leap
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The major averages in the States rose on Friday, extending Wall Street's strong rally this week, despite inflation hitting a 39-year high.
The Dow Jones Industrials ballooned 126.11 points to 35,880.80
The S&P 500 index acquired 27.75 points to 4,695.20.
The NASDAQ jumped 99.54 points at 15,616.91.
Nevertheless, they all are on track to finish the week higher. The Dow is up 3.8% this week. The S&P 500 and NASDAQ have risen about 3.5% each since Monday.
Inflation soared 6.8% year-over-year in November to highest rate since 1982, the U.S. Labor Department said Friday. The print came in slightly higher than the 6.7% Dow Jones estimate. The consumer price index, which measures the cost of a wide-ranging basket of goods, rose 0.8% for the month.
Core CPI, which excludes food and energy prices, rose 0.5% for the month and 4.9% from a year ago, in line with estimates.
Oracle shares soared more than 19%, a day after the company posted better-than-expected quarterly results.
Airlines ticked lower on Friday. Southwest Airlines dropped 2.5% following another downgrade on Wall Street, this time from Goldman Sachs. United Airlines dropped 1% and Delta Air Lines dropped 1.2%.
Interactive fitness company Peloton added to its woes, slipping 1% after tumbling 11.3% on Thursday. Credit Suisse cut its view on the company, saying a return to gyms and shifts in consumer spending will weigh on profitability.
Prices for 10-year Treasurys gained some ground, lowering yields to 1.47% from Thursday's 1.49%. Treasury prices and yields move in opposite directions.
Oil prices picked up 54 cents to $71.49 U.S. a barrel.
Gold prices added $5.10 to $1,781.9 0 U.S. an ounce.
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