The S&P 500 index has smashed through the 5,800 barrier for the first time, marking its 45th all-time high this year.
Simultaneously, the Dow Jones Industrial Average achieved its own record high on October 11, kickoff of the third-quarter earnings season saw robust results from major banking giants such as JPMorgan Chase and Wells Fargo.
On this remarkable day, the S&P 500 surged by 0.61%, closing at 5,815.03, while the Dow Jones Industrial Average jumped by 1%, a whopping 440 points, sealing the day at 42,863.86. Meanwhile, the Nasdaq index, laden with technology stocks, concluded trading at 18,342.94, up by 0.33%. Notwithstanding this upward trajectory, Tesla Inc. plunged by 8% after its highly-anticipated Robotaxi event fell short of expectations.
The Bullish Start of Q3 Earnings Season
With both the Dow and the S&P 500 clinching record-breaking highs, the Nasdaq looms close behind, a mere 2% shy of its all-time peak. Market analysts foresee continued zeniths for all three indices in the coming weeks, largely propelled by robust corporate earnings.
The onset of the Q3 earnings season has been nothing short of stellar, with prominent U.S. financial institutions surpassing expectations. JPMorgan Chase’s shares soared by 5% post the bank’s outperformance in profit and revenue, while Wells Fargo saw a 6% uptick in its stock price on the back of strong earnings. The banking sector, often considered a gauge of the U.S. economy’s well-being, continues to exhibit strength.
Evaluating the SPDR S&P 500 ETF Trust
The SPDR S&P 500 ETF Trust (SPY), a tracker of the S&P 500 index, currently holds a consensus Moderate Buy rating from 504 analysts on Wall Street. This rating stems from 402 Buy recommendations, 94 Holds, and eight Sells issued over the past three months. With an average price target of $633.45, the SPY ETF indicates a potential upside of 9.29% from its present value.
Interested in more analyst insights on the SPY ETF?