Wall Street Bounces Back As Shutdown Risks Fade, Stocks Eye Strongest Day In 4 Months: What's Driving Markets Friday?

Stocks staged a sharp rebound on Friday as concerns over a potential government shutdown eased after Senate Minority Leader Chuck Schumer (D-NY) opted not to veto a Republican spending bill.

The S&P 500 jumped 1.9%, eyeing track for its strongest daily rally since November 6, 2024, when investors piled into equities following Donald Trump‘s presidential election victory.

Tech stocks and small caps both gained 2.3%, while the Dow Jones Industrial Average advanced 1.5%.

Despite Friday's gains, the broader market remains deeply in the red for the week, with the S&P 500 heading for its fourth consecutive weekly decline, marking the longest losing streak since May 2022.

All S&P 500 sectors traded in positive territory on Friday, though only utilities and energy are poised to end the week with gains.

Economic ...