By Anora Mahmudova and Carla Mozee, MarketWatch
NEW YORK (MarketWatch) -- The U.S. stock market finished the
volatile week with modest gains, helped by a bounce on the main
benchmarks Friday.
Broad-based gains on the S&P 500 were led by technology and
healthcare sector stocks, particularly biotechnology companies.
Investors focused on earnings reports from companies such as
Google, Inc and Huntington Bancshares and brushed aside
implications of a Malaysia Airlines jet crash in Ukraine and
Israel's invasion of Gaza, which triggered a selloff on
Thursday.
The S&P 500 (SPX) rose 20.1 points, or 1%, to 1,978.22. The
Dow Jones Industrial Average (DJI) added 123.37 points, or 0.7%, to
17,100.18.
The Nasdaq Composite (RIXF) jumped 68.70 points, or 1.6%, to
4,432.15, as biotech and Internet stocks rallied sharply, after
steep drops the day before. The iShares Nasdaq Biotechnology ETF
rose 3%, while the Global X Social Media Index ETF rose 1.8%.
Equities on Thursday were rattled by news that 298 passengers
were killed in a Malaysia Airlines crash in eastern Ukraine, where
fighting between pro-Russian separatists and Ukrainian troops has
been going on for months.
U.S. intelligence officials said the jet was shot down by a
surface-to-air missile. Follow developments on Flight MH17
here.
Meanwhile, Israel launched an open-ended ground invasion of Gaza
aimed at crushing Hamas militants after 10 days of aerial
bombardment.
"Geo-political headlines dampen consumer sentiment, but this
market has been remarkably resilient," said Terry Sandven, chief
equity strategist at U.S. Bank Wealth Management. "Ultimately, this
is an earnings-driven market and earnings so far have been
encouraging, especially among large banks."
Investors had a muted reaction to a weaker-than-expected
consumer sentiment report. Separately, the Conference Board's June
leading-economic index rose in June, a sign that the economy could
strengthen in the second half of the year.
Google rallies after earnings; AMD tumbles
Shares of General Electric (GE) closed 0.6% lower after the
industrial conglomerate's second-quarter earnings met Wall Street's
projection. GE also said it's targeting the IPO of its Synchrony
Financial business for the end of July.
Huntington Bancshares Inc.(HBAN) climbed 4.8% after the regional
bank's second-quarter profit rose 9%.
Google (GOOG) shares rallied 3.7%, after the Internet company
late Thursday posted second-quarter revenue that beat Wall Street's
expectation.
Shares of Advanced Micro Devices Inc. (AMD) tumbled 16% after
the chip maker's second-quarter adjusted earnings missed analysts'
projections. For more on today's notable movers, read our regular
Movers and Shakers column.
In Asia, Japan's Nikkei Average fell 1% as investors sought the
perceived safety of the Japanese yen. But the U.S. dollar (USDJPY)
eventually pared its losses against the yen. European stocks slid
on the geopolitical tensions, and Russia's MICEX dropped 1.3%.
In the commodities market, the safe-haven benefits for
gold(GCQ4) faded on Friday, with the precious metal dropping in
electronic trading, as a lack of physical follow-through made that
upward move unsustainable, according to analysts.
Crude-oil futures(CLQ4) settled marginally lower Friday.
More must-reads from MarketWatch:
A glimpse of lives lost on Flight MH17
We're in the third biggest stock bubble in U.S. history
Brokerages don't want to put your interests first
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