U.S. stocks weekly: Rates relief

Paycom Software

03/11/2023 20:59

** S&P 500  .SPX  stems 2-week losing streak, leaps 5.9%.
SPX scores biggest weekly gain of 2023 amid hopes of peak
interest rates  .N 
    ** Indeed, the benchmark U.S. 10-year Treasury yield
 US10YT=RR  hits 5-week lows as labor market softens  US/ 
    ** Every sector breathes a sigh of relief as real estate and
financials lead
    ** Real estate  .SPLRCL  springs 8.5%, Utilities  .SPLRCU 
ascend 5.2%. REITs, Utilities extend rally as yields dive
    ** Financials  .SPSY  climb 7.4%. Banks jump Thurs on bets
Fed to end rate tightening, and rise Fri as weak jobs data
solidifies the wager
    Truist Financial  TFC.N , KeyCorp  KEY.N  rise after PIMCO
co-founder Bill Gross tweets about buying regional banks
    S&P 500 Banks index  SPXBK  vaults 9%, KBW Regional Banking
index  .KRX  hops ~11%
    ** Consumer Discretionary  .SPLRCD  up 7.2%. McDonald's
 MCD.N  rises after Q3 results beat, aided by new launches,
promotions and demand for more affordable burgers and fries
    Starbucks  SBUX.O  jumps on results beat, strong FY profit
view
    ** Tech  .SPLRCT  advances 6.8%. Advanced Micro Devices
 AMD.O  soars as AI chip sales forecast bodes well for rivalry
with Nvidia  NVDA.O , Qualcomm  QCOM.O  rallies on signs
smartphone market slump is easing. Semiconductor index  .SOX 
surges 7%
    Apple  AAPL.O  dips Fri on lower qtrly rev, slow Mac sales,
but AAPL shares notch 5% gain on the week
    ** Communication Services  .SPLRCL  up 6.5%. Top SPX
performer Paramount Global  PARA.O , up ~29%, rises on rev,
subscriber growth beat
    ** Industrials  .SPLRCI  up 5.3%. Caterpillar  CAT.N  
slides on Tues as fall in order backlog outweighs earnings beat.
Still, CAT ends week up nearly 1%
    Though Paycom Software  PAYC.N  tumbles ~34% on payroll
processor's weak Q4 rev forecast
    ** Energy  .SPNY  up 2.3%. Shale producer ConocoPhillips
 COP.N  gains on Q3 profit beat, dividend hike. However, group
tracks oil prices lower Fri as supply concerns driven by Middle
East tensions ease  O/R 
    ** Meanwhile, Bulls still in hiding - AAII
    ** SPX performance YTD: 
    
 
 
 (Lance Tupper is a Reuters market analyst. The views expressed
are his own)
 ((lance.tupper.tr.com@reuters.net
lance.tupper@tr.com))