Stock market news live updates: S&P 500, Nasdaq fall to four-week low as investors weigh bank earnings, inflation data
Growth stocks rally as earnings season commences
STORY: U.S. stocks rallied on Wednesday, powered by a recovery in growth stocks as investors digested a mixed bag of quarterly results and hot inflation data.The Dow rose by a percent. The S&P 500 finished up more than a percent, while the Nasdaq ended two percent higher.Payne Capital Management’s president Ryan Payne said the market may have concluded that the inflation wave has crested.”I definitely think inflation peaked in March and now you’re going to see for the rest of the year is inflation start coming down, contrary to popular belief, because oil prices are already down. You’re already looking at the used car market, it’s already coming down in price. And you look at the fact that we’re going to start moving our spending from goods to services, so supply chains are going to start getting fixed. So it all bodes well for lower inflation as we move into the latter part of the year.”Megacaps Apple and Microsoft both finished more than a percent and a half higher, while Amazon and Tesla each rose more than three percent.And shares of chipmakers Nvidia and AMD also gained after getting battered earlier this week.Delta Air Lines jumped more than six percent after forecasting a return to profit in the current quarter due to booming travel demand. Other airline stocks followed suit including United, Southwest and American Airlines, which soared more than 10% higher.But capping market gains were shares of JPMorgan, which fell more than 3% after the largest U.S. bank posted a 42% drop in first-quarter profit.More big banks are set to report earnings on Thursday, including Morgan Stanley, Goldman Sachs, Citigroup, and Wells Fargo.