Dan Veru, co-chairman and chief investment officer at Palisade Capital Management, talks the markets recent rally, earnings season and weakened economic data amid the coronavirus pandemic. The Dow Jones Industrial Average rallied on Thursday, wrapping up its best week in more than 80 years, after the Federal Reserve gave more details on how it will support the economy amid the coronavirus pandemic.
The Dow jumped 422 points, or 1.8%. The S&P 500 gained 1.7% while the Nasdaq Composite advanced 0.8%. The U.S. stock market will be closed Friday due to Good Friday. Stocks came off their highs after Democrats in Congress blocked a Republican effort for unanimous support for $250 billion in small-business aid.
Thursday’s gains put the major averages on pace for strong weekly gains. Dow was up more than 13% for the week, putting it on pace for its biggest weekly gain since 1938. The S&P 500 was up 12.7% week to date, on pace for its best week since 1974. The Nasdaq had gained 10.5% and was headed for its best weekly performance since 2009.
“It’s been a strong week in equities and probably for good reason,” said Terry Sandven, chief equity strategist at U.S. Bank Wealth Management. “Many stocks were widely considered to be in oversold, and then you’ve got policy assistance that’s in motion at the Fed and in fiscal policy.”
“That’s clearly helping sentiment, but we still find it difficult to get overly bullish when the duration of COVID-19 remains unknown,” Sandven added.
The Fed announced as slew of programs, including loans geared towards small and medium sized businesses, that will total up to $2.3 trillion. The central bank also gave more details on its plans to buy investment-grade and junk bonds.
“This Fed is the most aggressive Fed. They do not want to be known as the reason why we went into a depression,” CNBC’s Jim Cramer said on “Squawk Box” on Thursday. “I’m very impressed. The Fed is on its game and this is what is needed because we got to fight off a depression, we got to get America open for business.”
For access to live and exclusive video from CNBC subscribe to CNBC PRO:
» Subscribe to CNBC TV:
» Subscribe to CNBC:
» Subscribe to CNBC Classic:
Turn to CNBC TV for the latest stock market news and analysis. From market futures to live price updates CNBC is the leader in business news worldwide.
Connect with CNBC News Online
Get the latest news:
Follow CNBC on LinkedIn:
Follow CNBC News on Facebook:
Follow CNBC News on Twitter:
Follow CNBC News on Instagram:
#CNBC
#CNBC TV
0 Comments