Wall Street climbs after big banks post strong earnings

Wall Street’s major stock indices surged on Friday due to strong financial results from major US banks, increasing confidence in the economy. JPMorgan Chase, Wells Fargo, and Citigroup saw their shares rise by 3% to 5%, while the S&P 500 Banks index reached a three-week high of 3.2%.

The worst of the banking crisis is now behind us, but next year could be more challenging due to the Fed’s anticipated rate lowering and uncertainty about the US’s ability to avoid a negative GDP period. BlackRock fell 1.5% after reporting a decline in third-quarter net inflows.

UnitedHealth saw a 3% increase after exceeding earnings expectations. US stocks experienced their first fall in five days on Thursday due to rising yields and sluggish demand at the US 30-year bond auction.

The three major US stock indices were on track to post weekly gains as rates decreased on Friday. The S&P 500’s energy sector saw the largest increases, and Dollar General saw a 7.5% increase after bringing back previous CEO Todd Vasos.