Wall St ends mixed in truncated Black Friday trading

Traders work on the floor of the New York Stock Exchange (NYSE) in New York City, U.S., November 17, 2023. REUTERS/Brendan McDermid/File Photo Acquire Licensing Rights

  • Nvidia falls as Reuters reports AI chip launch delay in China
  • iRobot up on report Amazon wins EU approval for takeover
  • Vista Outdoor wins on Colt CZ’s merger offer
  • Indices: Dow up 0.33%, S&P up 0.06%, Nasdaq off 0.11%

NEW YORK, Nov 24 (Reuters) – U.S. stocks ended little changed in holiday-shortened trading on Friday, on low volume and conviction, as investors watched the start of the seasonal shopping season for signs of consumer resilience.

The S&P 500 (.SPX) closed nominally higher, while the Dow (.DJI) posted modest gains. The Nasdaq (.IXIC) was dragged slightly lower by weakness in megacap momentum stocks.

All three indexes posted their fourth straight weekly gain.

“We had mixed macroeconomic data, and the post-Thanksgiving session is only a half day, so there aren’t as many participants,” said Peter Cardillo, chief market economist at Spartan Capital Securities in New York. “But we see a market that is on track for a year-end rally.”

Retailers around the world tried to attract millions of shoppers, many of whom offered steep “Black Friday” discounts the day after the US Thanksgiving holiday.

“Consumers are very thrifty, and while they may be spending, they’re looking for bargains,” Cardillo added. “The higher cost of money hits consumers’ wallets.”

A survey by NRF, a U.S. retail trade group, found that U.S. shoppers plan to spend an average of $875 on holiday purchases this year, an annual increase of about 5%.

Area chart with data from Insider Intelligence showing US retail e-commerce sales from Thanksgiving to Cyber ​​Monday in 2017 to 2023, with 2023 as the forecast.
Area chart with data from Insider Intelligence showing US retail e-commerce sales from Thanksgiving to Cyber ​​Monday in 2017 to 2023, with 2023 as the forecast.

S&P Global’s advance purchasing managers’ index (PMI) showed steady U.S. business activity in November, but private sector employment fell for the first time in nearly 3-1/2 years, possibly due to the Federal Reserve’s tight monetary policy.

Next week’s most anticipated data includes the Commerce Department’s second estimate of third-quarter gross domestic product on Thursday, followed by Friday’s comprehensive personal consumption expenditures (PCE) report, which will provide further clues about the extent of the Fed’s interest rate hike.

Focus has increasingly shifted to the likely timing of the US central bank’s first interest rate cut, which will be largely determined by the speed at which inflation cools towards the Fed’s 2% average target.

Sales of new and pending housing, housing prices, consumer prices and the ISM PMI are also expected next week.

The Dow Jones Industrial Average (.DJI) rose 117.12 points, or 0.33%, to 35,390.15, the S&P 500 (.SPX) added 2.72 points, or 0.06%, to 4,559.34 and the Nasdaq Composite fell . 5IC)0 points (1IX. 0.11% to 14,250.86.

Of the 11 major sectors in the S&P 500, nine finished higher, led by health care (.SPXHC). Communications services (.SPLRCL) and tech (.SPLRCT) closed in the red.

Nvidia ( NVDA.O ) fell 1.9% after Reuters reported a delay in the launch of the company’s China-focused AI chip designed to comply with U.S. export rules until the first quarter of 2024.

IRobot ( IRBT.O ) surged 39.1% following a report that Amazon ( AMZN.O ) is set to win unconditional EU antitrust clearance for its $1.4 billion acquisition of the robot vacuum cleaner.

Vista Outdoor ( VSTO.N ) rose 3.9% after Czech arms maker Colt CZ Group’s ( CZG.PR ) merger offer valued at nearly $1.7 billion.

U.S.-listed shares in Chinese electric car maker Xpeng rose 6.085% after Volkswagen ( VOWG_p.DE ) said it will develop a new platform for entry-level electric cars in China.

Advancing issues outnumbered decliners on the NYSE by a ratio of 2.64 to 1; on the Nasdaq, has a 2.29-to-1 ratio favored to advance.

The S&P 500 posted 23 new 52-week highs and no new lows; The Nasdaq Composite recorded 77 new highs and 51 new lows.

Volume on US exchanges was 4.97 billion shares, compared to the 10.49 billion average for the full session over the last 20 trading days.

Reporting by Stephen Culp; Additional reporting by Sruthi Shankar and Shristi Achar A in Bengaluru; Editing by Richard Chang

Our standards: Thomson Reuters Trust Principles.

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