US: S&P 500, Nasdaq end at records as Wall Street rallies

[NEW YORK] Wall Street stocks powered to fresh records on Thursday behind another round of strong results that offset disappointing US economic growth figures.

The Nasdaq finished at 15,448.12, up 1.4 per cent, an all-time high, and the broad-based S&P 500 jumped one per cent to 4,596.42, its fourth record in the last week and half.

The Dow Jones Industrial Average advanced 0.7 per cent to 35,730.48.

Several leading companies surged after reporting earnings, including Ford, which jumped 8.7 per cent after results topped estimates, and Caterpillar, which gained 4.1 per cent after executives said they had passed on price increases to customers.

"The market has looked through supply chain challenges and looked at the surge in growth," said Art Hogan, chief strategist at National Securities.

Hogan also said markets were feeling more optimistic about the prospects for major infrastructure and social spending legislation after the latest push by President Joe Biden who unveiled a new framework he said would have Democratic support.

Strong earnings overshadowed data showing the US economy grew by just two percent in the third quarter, down from the 6.7 per cent annual rate in the prior quarter as resurgent Covid-19 infections slowed consumer activity amid supply bottlenecks.

Meanwhile, the Labor Department reported 281,000 new jobless benefit claims were filed in the week ended October 23, 10,000 less than the prior week and fewer than analysts had forecast.

AFP