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Stocks rose Friday after Federal Reserve Chair Jerome Powell indicated interest rate cuts were on the horizon.
The Dow Jones Industrial index roared ahead 405.64 points, or 1%, first thing Friday to 41,118.42.
The S&P 500 index regained 66.93 points, or 1.2%, to 5,637.57.
The NASDAQ recovered 305.58 points, or 1.7%, to 17,924.24.
Technology stocks rallied with particular strength as investors grew hopeful that a lower-rate environment would benefit this group. Nvidia and Tesla both jumped around 4%, while Advanced Micro Devices popped more than 2%.
The three major averages are heading for a winning week despite some pressure on Thursday from rising Treasury yields. The S&P 500 advanced 1.2% on the week, while the NASDAQ is now up about 1.3%, while the Dow has added 0.9%.
Stocks took a leg up after Powell signaled decreases to interest rates ahead during his speech in Jackson Hole, Wyoming. But Powell did not provide specific information on when or how big any cuts to the borrowing cost would be.
Prices for the 10-year Treasury jumped, lowering yields to 3.81% from Thursday’s 3.87%. Treasury prices and yields move in opposite directions.
Oil prices picked up $1.44 at $74.45 U.S. a barrel.
Gold prices tagged on $34.90 to $2,551.50.
