Get 40% Off
🚀 AI-picked stocks soar in May. PRFT is +55%—in just 16 days! Don’t miss June’s top picks.Unlock full list

U.S. stocks rise on JPMorgan earnings; Dow up 1.62%

Published 07/13/2012, 04:32 PM
Updated 07/13/2012, 04:33 PM
NDX
-
UK100
-
FCHI
-
DJI
-
DE40
-
STOXX50
-
BAC
-
CAT
-
PFE
-
IXIC
-
CCF
-
Investing.com - U.S. stocks rose Friday after JPMorgan said it would report record earnings this year despite a botched trade that recently cost the bank billions.

Chinese second-quarter growth figures pushed up stocks as well

At the close of U.S. trading, the Dow Jones Industrial Average ended up 1.62%, the S&P 500 index was up 1.65% while the Nasdaq Composite index was up 1.48%.

JPMorgan earned USD5 billion, or USD1.21 per share, for the second quarter, even after a massive trading loss cost the bank USD4.4 billion in the period, though company CEO Jamie Dimon said the financial institution was on track to post record earnings this year, which sent stock indices gaining.

Meanwhile in China, the country's gross domestic product rose 7.6% in the second quarter, largely in line with expectations, which sparked demand for riskier currencies and asset classes like stocks.

However, China's economy grew a more robust 8.1% in the first quarter of this year, and the cool-down in the second quarter fueled sentiment China may cut interest rates and take other steps to steer its economy to more robust growth rates down the road, which further fueled the risk-on trading session.

In the U.S., soft consumer sentiment figures rekindled talk the Federal Reserve will roll out credit easing measures designed to spur recovery, which often send stock prices rising by design.

In the U.S., the Thomson Reuters/University of Michigan's preliminary reading on the overall index on consumer sentiment fell to 72.0 in July from 73.2 in June.

Analysts were expecting a 73.4 reading.

Leading Dow Jones Industrial Average gainers included JPMorgan Chase, up 5.96%, Bank of America, up 4.55%, and Caterpillar, up 3.05%.

Leading Dow Jones Industrial Average decliners included Hewlett-Packard, down 1.91%, McDonald's Corp., up 0.39%, and Pfizer, up 0.62%.

European indices, meanwhile, finished up.

After the close of European trade, the EURO STOXX 50 rose 1.39%, France's CAC 40 rose 1.46%, while Germany's DAX 30 finished up 2.15 %. Meanwhile, in the U.K. the FTSE 100 closed up 1.03%.







Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.