Marketbites: S&P Notches Best Week Since March
Portfolio Manager Commentary:
Stocks fell Friday as GOP negotiators halted ongoing debt ceiling negotiations, stoking doubt of a deal being reached soon. However, the S&P 500 still notched its best week since March. All three major averages closed the week with gains. The S&P 500 rose 1.65% in its biggest one-week advance since March. Meanwhile, the Nasdaq Composite gained 3.04% for the week, also its best weekly performance since March. The Dow added 0.38%. A chunk of those gains came Thursday, as traders mounted bets that a U.S. debt ceiling deal could be reached. Comments from House Speaker Kevin McCarthy Thursday seemed to suggest a potential deal could come as soon as next week.
However, stocks turned lower Friday after GOP negotiators walked out of a debt ceiling meeting, with Rep. Garret Graves saying the White House team is “unreasonable,” according to NBC News. “We’re not going to sit here and talk to ourselves,” Graves said. Friday’s losses were kept in check, however, after Federal Reserve Chairman Jerome Powell said interest rates may not have to rise as much as expected to quell inflation.
Chart of the Day:
For AT&T, the fastest home internet needs wires. The telecommunications giant is expanding its network of fiber-optic cables to deliver fast internet speeds for customers, including those in places where it doesn’t provide broadband. The plan will cost billions of dollars over the next several years, a price tag that AT& T— whose debt load outstrips its annual revenue—doesn’t want to carry alone. It tapped an outside investor and wants to access government funding to accelerate the build-out. Fiber-optic cables, wired directly to or near Americans’ homes, contain easy-to-upgrade glass strands that can carry much more data than radio waves. That higher capacity is crucial for video calls, streaming, videogames and other services, which use more internet data than most smartphone apps.
What else is happening:
The high school sprint phenom who beat her prom date - read here
Negotiators pause debt-ceiling talks - read here
Why wealthy homebuyers are flocking to Puerto Rico - read here
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