The Dow Jones Industrial Average closed higher than 35,000 for the first time in history on Friday. Its gains for the year are now over 14 percent higher, and on Friday, the Dow rose 238.20 points to 35,061.55. The blue-chip average had gains four days in a row.
The Nasdaq also saw gains on Friday, climbing to 14,836.99, or 1.04 percent higher than the previous close. The S&P 500 also gained 1.01 percent and closed at 4,411.79.
Earlier in the week, Wall Street struggled over economic concerns due to the latest strain and outbreak of the COVID-19 virus. The Delta strain has been making its way across many states in the U.S. But stocks seemed to overcome those concerns, hitting record highs along the way.
U.S. equities ended higher on Friday. The 10-year Treasury yield gained 1.281 percent. Earlier in the week, the yield had fallen to 1.13 percent, marking a five-month low.
Tech stock earnings were also robust, encouraging investors as earnings reports are released in the coming week. Snap Inc. and Twitter both jumped higher on Thursday after posting optimistic second-quarter earnings. Twitter shares ended 3 percent higher, while Snap Inc. skyrocketed a healthy 24 percent higher.
Facebook also saw gains of 5 percent, while Alphabet traded 3 percent higher. The tech companies will release their earnings report this coming week, as will Amazon, Apple, and Microsoft.
Tech shares have performed relatively well during the pandemic, particularly during outbreaks.
The three major stock indexes closed positive for the week. Monday saw sharp sell-offs, continuing their losses from the previous week. Yields fell on Monday, and the Dow plummeted more than 700 points, beginning the week unsettled and leaving equity investors worried about the U.S. economy.
But Friday’s win’s helped the Nasdaq end 2.8 percent higher for the week, while the S&P 500 settled at 2 percent higher. The Dow had smaller gains for the week of 1 percent.
According to FactSet, the S&P 500 has surprised investors, with 88 percent of companies who’ve already released their earnings reporting in the green. Just under one-quarter of S&P 500 companies have released their reports thus far.
Refinitiv said that it expects a 76 percent increase in profit growth for the second quarter of 2021. It would make it the best season of growth since 2009. Companies are averaging 12.8 percent in profit margins for the second quarter, despite the current inflation trends.