US Market rises on sign of moderating inflation

The US stocks were mostly higher on Friday, 27 January 2023, with the Dow, the S&P500, and the Nasdaq Composite indexes settling firmly in positive territory, thanks to data showing further ebbing of US inflation and mixed earnings

At the close of trade, the Dow Jones Industrial Average index advanced 28.67 points, or 0.08%, to 33,978.08. The S&P500 index was up 10.13 points, or 0.25%, to 4,070.56. The tech-heavy Nasdaq Composite Index increased by 109.30 points, or 0.95%, to 11,621.71.

For the week, the tech-heavy Nasdaq Composite Index rose 4.32%. The S&P and Dow added 2.47% and 1.81%, respectively.

Total 6 of 11 sectors ended higher along with the S&P500 Index. Consumer discretionary was top performing sector, gaining 2.27%, followed by real estate (up 0.94%), and information technology (up 0.44%). Energy was worst performing sector, falling 2% followed by healthcare (down 0.69%).

Market risk sentiments underpinned after a benchmark of inflation closely-watched by the Federal Reserve showed further moderation in December, opening the door to smaller interest rate hikes as efforts to cool the economy ripple through sectors.

Among individual stocks, American Express jumped 10.5% after its forecast topped market expectations despite a top-and bottom-line miss. Tesla rose 11% after reporting record revenue.

Shares of Intel plunged around 10% after it reported lower profits and projected a loss in the first quarter of 2023 as it contends with weakening demand and oversupply of chips in key markets.

Chevron fell nearly 5% after reporting lower-than-expected profits despite notching record earnings in 2022. The oil giant had rallied in the prior session after announcing a new $75 billion share repurchase program and hiking its corporate dividend

Hasbro shares closed nearly 7% lower after the toymaker warned of weak holiday quarter results and said it would cutting around 15% of its global workforce, around 1,000 jobs.

ECONOMIC NEWS: Report from the Commerce Department showed that prices rose 5% last month from a year earlier, down from a 5.5% year-over-year increase in November. It was the third straight drop. Consumer spending fell 0.2% from November to December and was revised lower to show a drop of 0.1% from October to November.

Among Indian ADR, ICICI Bank declined 3.6% to $20.11, INFOSYS was down 1.5% at $18.66, WNS Holdings declined 0.56% to $85.39, HDFC Bank was down 3.3% at $65.77, and Wipro fell 1% to $4.90. Azure Power Global added 4.8% to $4.35 and Dr Reddy's labs added 1.6% to $53.34.

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