The U.S. stock market is starting the week on a positive note, with the S&P 500 and Dow Jones Industrial Average ticking higher in early trading on Monday. The Nasdaq composite is also up, showing a 0.5% increase.
One of the key drivers of the market’s upward momentum is Berkshire Hathaway, which added 0.6% after reporting its latest quarterly results. The company, led by legendary investor Warren Buffett, posted strong numbers over the weekend. Another standout performer is Freshpet, which saw its stock jump 9% after reporting better-than-expected results, fueled by a surge in sales of pet food.
However, not all companies are faring as well. Spirit Airlines saw its stock slide by 8.8% after reporting a slightly worse loss than expected. The carrier cited increased competition in its markets, particularly in routes between the United States and Latin America.
Last week, the stock market experienced significant volatility, with fears of high inflation weighing on investor sentiment. However, a cooler-than-expected jobs report at the end of the week provided a boost of optimism. This week, investors are looking ahead to speeches by Fed officials and Friday’s preliminary report on consumer sentiment for further market cues.
While the bulk of S&P 500 companies have already reported their first-quarter results, there are still some big names set to announce earnings this week, including The Walt Disney Co. and Uber Technologies. In the bond market, Treasury yields remained relatively steady, with traders pricing in an 8% chance of the Fed not cutting interest rates before the end of the year.
Overall, global corporate profits have been better than expected, with earnings growth on track for a second consecutive quarter of growth. Stock markets abroad also saw modest gains, with indexes rising in France, Germany, and Hong Kong, while stocks jumped in Shanghai.
As investors navigate through a potentially quieter week in terms of market-moving events, the focus remains on corporate earnings and economic data for further insights into the health of the economy.
