© Reuters.
By Yasin Ebrahim
Investing.com – The Dow turned higher on Friday, led by tech as investors weighed up further evidence of weakness in the economy against the backdrop of fresh economic stimulus measures.
The was up 0.60%, the rose 0.84%, while the gained 1.03%.
In a further sign the economic downturn is likely to be severe, U.S. durable goods orders fell by 14.4% last month, the biggest slide since 2014, led by waning demand for big-ticket items such as cars and slump in orders for Boeing (NYSE:) passenger planes.
But some on Wall Street suggested the underlying data was more resilient and the weakness was largely driven by transportation orders.
“Outside of transportation, we saw an underlying resiliency in the face of the lockdowns, at least in March,” Jefferies said in a note.
The weaker-than-expected data come just as President Donald Trump signed the $484 billion coronavirus stimulus package into law to ease the Covid-19 hit to the economy at a time when some states are set to reopen.
But with worries over the pandemic still running high, some of the biggest companies are wary of opening for business, with Macy’s (NYSE:), Gap (NYSE:), and TGI Fridays choosing to remain shuttered in states such as Georgia and South Carolina.
Energy stocks, meanwhile, moved off session lows to trade 1% higher even as oil prices lost some gains into settlement.
But ahead of major tech earnings next week, including from Facebook (NASDAQ:), Alphabet (NASDAQ:), Apple (NASDAQ:) and Amazon (NASDAQ:), investors showed some interest in the sector.
Chip stocks also edged higher, with the up about 2%, as Intel (NASDAQ:) cut its losses to trade flat.
Intel reported earnings that topped estimates, but the chipmaker pulled its guidance, stoking concerns its future growth is more likely to ease rather than accelerate.
Airlines, meanwhile, were given a slight lift off the lows after President Trump reportedly suggested the government should buy “4-5 years worth of airline tickets” in advance to boost airlines.
American Airlines (NASDAQ:) was up about 0.9%, United Airlines (NASDAQ:), and Delta Air Lines were down about 0.5%.
Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.
Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.
