(Reuters) – U.S. stocks were higher in late afternoon trading on Friday but had bounced between losses and gains as bargain hunting following a sharp losses a day earlier was offset by continued worries about the economy.
Traders exit the 11 Wall St. door of the New York Stock Exchange (NYSE) in New York City, New York, U.S., June 11, 2020. REUTERS/Brendan McDermid
The S&P 500 was on track for its worst week in nearly three months after falling 5.9% on Thursday, its biggest daily percentage drop since mid-March.
The Federal Reserve’s indication earlier this week of a long road to recovery and rising COVID-19 cases in the United States have cast a pall over investor bets on a swift economic rebound.
“Yesterday was a massive down day… so I think short-term investors probably came in today looking for a bounce,” said Willie Delwiche, investment strategist at Baird in Milwaukee.
Earlier this week, the tech-heavy Nasdaq .IXIC confirmed it had been in a bull market since March 23 and the S&P 500 briefly tuned positive on the year.
On Friday, the S&P 500 .SPX was moving above and below its 200-day moving average, a closely watched technical level that was last at about 3,013, as volatility rose.
The Dow Jones Industrial Average .DJI rose 191.88 points, or 0.76%, to 25,320.05, the S&P 500 .SPX gained 10.96 points, or 0.37%, to 3,013.06 and the Nasdaq Composite .IXIC added 12.22 points, or 0.13%, to 9,504.95.
Financials .SPSY were providing the biggest boost to the benchmark S&P 500.
“It would be dispiriting to close lower today going into a weekend. I’d be hesitant to make too much of it, but you don’t want see evidence of a renewed pattern of selling,” Delwiche said.
Photoshop maker Adobe Inc (ADBE.O) rose after posting a better-than-expected quarterly profit, driven by strong demand for its cloud software.
Advancing issues outnumbered declining ones on the NYSE by a 1.96-to-1 ratio; on Nasdaq, a 1.65-to-1 ratio favored advancers.
The S&P 500 posted one new 52-week high and no new lows; the Nasdaq Composite recorded 19 new highs and seven new lows.
Reporting by Medha Singh and Devik Jain in Bengaluru, additional reporting by Terence Gabriel in New York and Pawel Goraj in Gdansk; Editing by Cynthia Osterman