After positive results from European stocks on Friday, US markets ended the week higher; the S&P 500 was up 1.89% to 3,972.61, the Dow Jones rose 1% to 33,375.49, and the Nasdaq was up 2.66% to 11,140.44.
Earlier in the week, housing and labor market data from the US and closer scrutiny of the industrial sector caused US indices to drop as markets opened on Thursday.
Similarly, European markets were also impacted by fears that the Federal Reserve may inflate interest rates more than expected by a quarter of a percentage point. Investors remained vigilant, and extensive tech stocks pushed the market higher.
Shares of Netflix rose 8.5% on Thursday on its statement about a surprising number of subscribers, even as its quarterly profits fell short of analyst forecasts.
Netflix has entered a new period in its history. CEO and co-founder Reed Hastings is transitioning to the role of executive chairman, and chief operating officer Greg Peters will take his place as co-CEO alongside Ted Sarandos, who has held the position since 2020.
Hastings indicated that the board has been working on this succession plan for some time, and the three have collaborated for many years.
Alphabet posted 5% growth on Thursday, the day it revealed it would cut headcount. Alphabet is following in the footsteps of other big tech companies like Microsoft, Amazon, and Meta Platforms by planning drastic reductions in their workforce.
Specifically, 12,000 employees, 6% of their global total, will be made redundant. All divisions within and outside the core business focus and all geographies will be affected, emphasizing personnel and non-core projects.
The yield on the 10-year Treasury note fell three basis points to 3.48% on Friday. It had dropped as much as 3.37% on the week, the lowest in four months. The February crude oil futures contract expiry saw a 1.8% increase to close at $81.31 a barrel. The March contract, a relatively recent deal, finished the week at $81.64.
