Daily Summary: Wall Street rallies at the end of week; US100 at record highs 🚀

Wall Street ends the week in a positive mood at record levels. The US500 gains nearly 0.80% to a level of 5140 points, and the US100 records even larger increases of 1.50% to a level of 18340 points.

This week, the technology company index breaks all records. Over five sessions, the US100 broke the 18000-point level, gained 2.50%, and had a very strong last two sessions.

European indices are mostly higher on a weekly basis, but the increases in the last session were not spectacular.

The German DAX index is around the opening levels, unchanged at 17770 points. Daimler Truck shares rose by nearly 12% after Q4 2023 results.

The British FTSE rose by over 0.6%, and the CAC40 closed the last session of the week below the line. WIG20 managed to close the session 0.27% higher, thanks to a positive opening at Wall Street. Text shares lost over 7%, whose results, although good, did not justify the high valuation of the company.

The US Dollar USDIDX loses over 0.20%. Declines accelerated after the publication of ISM data, which was much worse than expected and revived speculation about faster interest rate cuts.

The final reading of the S&P PMI for the US manufacturing sector, for February, was 52.2 compared to 51.5 in the previous issue.

ISM data for the industry was significantly worse than expected, which was quite a surprise after the better PMI data published 15 minutes earlier. The report showed actual data at 47.8 vs. 49.5 forecast and 49.1 previously.

Construction spending in the US fell m/m by 0.2% compared to the expected improvement and positive reading in the previous month.

Final readings of consumer sentiment according to Michigan turned out to be slightly weaker than forecasts, both in terms of the main reading and the sub-indices of current situation assessment and expectations. Inflation expectations remained unchanged.

Chicago Fed President, Austan Goolsbee, emphasized that January's inflation data could have been an anomaly, the interest rate in the US is already restrictive, and the Fed should now carefully monitor the impact of policy on employment.

The Federal Reserve of the United States published a new report on monetary policy. It highlighted, among other things, the potential impact of AI on greater employee efficiency and consequently earnings. The overall message of both the report and the Fed members' statements was perceived as dovish, and EURUSD gains more than 0.3% today.

Dell Technologies (DELL.US) records a huge increase, its shares surge by 27% after an impressive report for the fourth quarter, largely attributed to strong demand for AI servers.

Cryptocurrencies record another day of gains. Bitcoin gains nearly 2.00% despite high volatility in the first part of the day. At the time of publication, the bulls managed to pull the BTC price back above 62000 USD.