(CercleFinance.com) – Wall Street ended the week on a stellar session, with the Dow Jones gaining 1% at 33,375 points and the Nasdaq Composite nearly 2.7% at 11,140 points, with an enthusiastic reception by investors to Netflix’s quarterly results.
The stock jumped 8.5% on a better-than-expected release, and as analysts expected the video streaming platform to continue its favorable momentum in 2023 thanks to the launch of its ad-supported offering. .
More broadly, technology stocks had the wind in their sails, like Alphabet which climbed 5.3% with the announcement of the loss of around 12,000 jobs at Google, its main subsidiary, in the anticipation of the coming economic downturn.
On the macroeconomic front, however, the rather gloomy picture of the current situation was reinforced by sales of existing homes in the United States which fell by 1.5%, to 4.02 million in annualized numbers.
“Buyers continue to face limited inventory and high mortgage rates,” said Lawrence Yun, chief economist of the NAR, who however hoped for a recovery in sales soon.
In view of the deterioration of the economic context, certain analysts did not hesitate to express their caution, such as Mike Gibbs, who ‘does not think that the stock markets are ready to embark on a lasting recovery’.
‘We remain optimistic about the performance of stock market indices for the next 12 months, but too many contrary elements are likely to slow them down in the short term’, judged this strategist at Raymond James.
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