Last week in markets was a volatile one, with the Dow Jones Industrial Average (DJIA) and the S&P 500 both experiencing losses. The Nasdaq Composite, however, managed to close the week with a gain.
The DJIA and S&P 500 both fell 1.2 percent and 0.9 percent respectively, as investors continued to grapple with uncertainty surrounding the economic outlook and the potential impact of the coronavirus pandemic. The Dow and S&P 500 both closed the week below their 50-day moving averages, a technical indicator that many traders use to gauge the strength of the market.
The Nasdaq Composite, on the other hand, gained 0.6 percent for the week, boosted by strong gains in technology stocks. The Nasdaq closed above its 50-day moving average, signaling that the tech-heavy index may be on the path to recovery.
In terms of sector performance, the energy sector was the biggest loser, falling 2.3 percent, followed by financials and materials, which both dropped 1.7 percent. The technology sector was the biggest gainer, rising 1.5 percent, followed by consumer discretionary and healthcare, which both gained 0.9 percent.
On the economic front, the Labor Department reported that the number of Americans filing for unemployment benefits rose slightly last week, but remained below the one million mark. This suggests that the job market is continuing to recover from the coronavirus pandemic, although there are still millions of Americans out of work.
Looking ahead, investors will be closely watching the release of the latest inflation data, which is due out next week. The data will give investors an indication of whether the Federal Reserve will continue to keep interest rates low in order to support the economic recovery.
Overall, last week in markets was a volatile one, with the Dow and S&P 500 both ending the week lower, while the Nasdaq managed to close with a gain. Investors will be closely watching the release of the latest inflation data, which is due out next week, as they look for signs of a continued economic recovery.