Stocks Soar as Investors Weigh Earnings
3:38 pm Friday, October 28th, 2022
The stock market had a strong showing today with all the major averages enjoying sizable gains thus far. A sharp move lower for Amazon.com (AMZN) following its disappointing Q4 guidance is being offset by a big earnings-driven gain in Apple (AAPL). The 10-yr Treasury note yield hit 4.00% again a short time ago, but that has not deterred buyers in the equity market.
Aside from Amazon, the mega cap stocks are proving to be an important upside driver today. The Vanguard Mega Cap Growth ETF (MGK) was up 2.2% versus a 1.6% gain in the Invesco S&P 500 Equal Weight ETF (RSP).
Generally broad buying has advancing issues outpacing declining issues by a 10-to-4 margin at the NYSE and a nearly 2-to-1 margin at the Nasdaq.
Ten of the 11 S&P 500 sectors exhibit gains currently, led by information technology (+4.3%). The sector is boosted by Apple, but Intel (INTC) shows the biggest gain among sector components thanks to its favorable quarterly results.
Meanwhile, the consumer discretionary (-1.4%) is the lone holdout in negative territory due to Amazon’s poor performance.
Energy complex futures are trending lower this session. WTI crude oil futures are down 1.8% to $87.52/bbl and natural gas futures are down 4.0% to $5.89/mmbtu.
Also, market participants received economic data today that did not contain anything that will prompt the Fed to reconsider its aggressive rate hike campaign, which the market has taken in stride.
