Justin Sullivan/Getty Images
-
The S&P 500 jumped 1% on Friday, January 17, 2025, heading into a three-day weekend high as prospects for more rate cuts in 2025 rebounded.
-
Intel shares rose after reports that the semiconductor giant could be an acquisition target.
-
Cargo shipper JB Hunt reported lower-than-expected sales and profits for the fourth quarter, and its shares fell.
Major US stock indexes push more for the end of the week, with traders set for a day off on the occasion of Martin Luther King Jr. Day. on Monday, where Donald Trump will also be sworn in for his second presidential term.
The strength among stocks at the end of the week coincided with renewed optimism that the Federal Reserve may continue to cut interest rates in 2025. supported by clues declining inflation. (Here are four reasons inflation is still present.)
The S&P 500 advanced 1% on Friday. Strength in the technology sector helped the Nasdaq rise 1.5%, while the Dow ended the day up 0.8%.
Intel (INTC) shares rose 9.3%, besting the S&P 500, amid reports that the semiconductor giant could be a download target. Friday’s boost extended gains in Intel shares earlier in the week after the chipmaker said it would spin off its venture fund into a standalone entity, with the company remaining an investor. Intel’s interim CEO said the move would help the company increase efficiency and maximize the value of its assets.
SLB (SLB), the world’s largest oilfield services company, reported better-than-expected fourth-quarter profit, increased its dividend and stepped up share buybacks. Although SLB struck a cautious tone for 2025, indicating that year-over-year revenue growth will be limited as high oil supply levels limit oilfield activity, its shares jumped 6.1% after the strong earnings report.
Shares of Truist Financial (TFC) gained 5.9% after the banking holding exceeded quarterly sales and profit estimates. Net interest income and non-interest income increased compared to the level of a year ago, which contributed to the achievement of good results. An increase in average deposit balances also contributed to Truist’s performance, which occurred despite a decline in average loan balances.
Shares of JB Hunt Transport Services (JBHT) suffered the biggest drop of any S&P 500 stock on Friday, falling 7.4% after the shipping company’s fourth-quarter sales and profit did not meet expectations. Declining volumes weighed on performance, with the company reporting revenue declines across all of its segments. Chief executive JB Hunt said the company remains focused on repairing its margins as it weathers the headwinds of the freight industry.
