The S&P 500 turned positive Friday afternoon as treasury yields moved off their recent highs as investors weighed the threat of inflation compared with the prospect for overall economic growth.
The S&P 500 (SPX) traded up 11 points at 3,926.98 while the tech heavy Nasdaq Composite Index (COMP) gained 119 points (0.91%) to trade at 13,232.92,
The Dow Jones Industrial Average (DJIA) however, remained under pressure Friday amid news that the Federal Reserve will once again require certain capital requirements for banks. (The Fed had relieved banks of those capital requirements during the pandemic in an effort to increase liquidity.) Financial stocks including Goldman Sachs (GS) down 0.67% at $345.66, JP Morgan Chase (JPM) down 2.68% at $153.49, Morgan Stanley (MS) down 0.56% at $83.47, Bank of America (BAC) down 1.12% at $38.51, and Wells Fargo (WFC) down 2.28% at $39.88 per share, were all under pressure.
Meanwhile, in an editorial for the Wall Street Journal, the chairman of the Federal Reserve Jerome Powell again assured investors that the Central Bank will provide aid to the economy, “for as long as it takes.”
Visa (V), a dow component, traded down almost 5%, losing $10.47 a share on news that the company is being investigated by the Department of Justice for potential anti-trust violations over its debit-card practices.