Wall Street Rises Amid Reduced Bets on a U.S. Recession

By sector, non-essential consumer goods companies led the gains with a 3.38% rise, driven by Tesla's strong 6.34% advance.

Ignacio Teson•Thursday, August 15, 2024•1 min read

New York indices rose, supported by retail sales and labor data that helped ease fears of a U.S. economic recession.

All three major Wall Street indices closed Thursday’s session with gains. The averages climbed, buoyed by strong retail and labor data that reduced concerns about a potential U.S. economic downturn.

The Dow Jones, comprised of 30 major companies, advanced by 1.39% to 40,563.06 points. The S&P 500, which tracks 500 stocks, rose by 1.61% to 5,543.22 points. The tech-heavy Nasdaq gained 2.34%, closing at 17,594.50 points.

U.S. retail sales grew by 1.0% in July, well above the expected 0.3% and the previous 0%, which was revised to -0.2%. This report follows two inflation indicators that showed easing pressure.

SPX

Additionally, weekly jobless claims totaled 227,000, better than the expected 235,000 and the previous 233,000, further demonstrating the strength of the U.S. labor market.

In another positive sign for the markets, retail giant Walmart reported better-than-expected revenue and earnings. Its shares ended the day up 6.5%, generating optimism about the health of consumer spending in the world’s largest economy.

By sector, non-essential consumer goods companies led the gains with a 3.38% rise, driven by Tesla’s strong 6.34% advance. The technology sector also performed well, climbing 2.54%, with Nvidia shares up 4%. Within the Dow Jones, Cisco stood out with a 6.8% gain after reporting strong quarterly figures yesterday.

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ABOUT THE AUTHOR See More

Ignacio Teson

Economist and Financial Analyst

Ignacio Teson is an Economist and Financial Analyst. He has more than 7 years of experience in emerging markets. He worked as an analyst and market operator at brokerage firms in Argentina and Spain.