S&P, Dow hit records on upbeat Intel, AbbVie earnings

Adjust Comment Print

The reports helped investors look beyond data that showed USA economic growth unexpectedly slowed in the fourth quarter as strong consumer spending resulted in a surge in imports.

Buoyed by AbbVie, the S&P healthcare index.SPXHC gained 2.17 percent, scored its best day since November 2016 and was the best performer among the 11 major S&P sectors.

The Dow is up 1,673.57 points, or 6.8 percent.

The dollar index, which measures the greenback against a basket of six major currencies, was down 0.44 percent at 89.002, and on track for its worst weekly performance since May.

Intel's (O:) shares jumped more than 9 percent to their highest in nearly two decades, after strong results offered the clearest sign yet that its years-long effort to shift away from a slowing PC business was paying off.

Shares of drugmaker AbbVie Inc also climbed 10 per cent after the company significantly boosted its 2018 earnings forecast and said it hopes to accelerate dividend growth and share buybacks.


As of Thursday, 77 per cent of the S&P 500 companies that had reported surpassed earnings expectations, while 79 per cent of those companies had beaten sales estimates, according to USA financial information company FactSet. Fourth-quarter gross domestic product increased at a 2.6 per cent annual rate, the Commerce Department reported.

The dollar continued to weaken.

The Dow Jones industrial average added 171 points, or 0.7 percent, to 26,422.

Canada's main stock index rose on Friday, led by shares in Bombardier, which closed up 15 per cent after it won an unexpected trade victory against US planemaker Boeing Co. The S&P 500 jumped 1.2 per cent, its biggest daily percentage gain since March 1.

Pfizer PFE.N rose 3.6 percent after European regulator recommended granting marketing approval to a diabetes drug developed by the company and Merck MRK.N . Benchmark 10-year notes last fell 11/32 in price to yield 2.6599 percent, from 2.621 per cent late on Thursday. On the Nasdaq, 1,451 issues rose and 1,403 fell.

Comments