NEW YORK (AP) — U.S. stocks are recovering some of their sharp losses from last week. The S&P 500 rose 0.3% in early Monday trading. The Dow Jones Industrial Average added 149 points, and the Nasdaq composite gained 0.3%. Berkshire Hathaway climbed after Warren Buffett’s company reported a jumped in operating profits for the latest quarter. Big U.S. businesses have broadly been reporting better profits for the end of 2024 than analysts expected, providing solid support for the stock market. This upcoming week will feature a profit report from Nvidia, one of Wall Street’s most influential stocks, as well as updates on consumer confidence and inflation.
THIS IS A BREAKING NEWS UPDATE. AP’s earlier story follows below.
(AP) — Wall Street bounced back ahead of the opening bell Monday after a dismal week driven by uncertainty over some of new economic measures.
Futures for the S&P 500 added 0.5% before the opening bell, while futures for the Dow Jones Industrial Average climbed 0.7%. Nasdaq futures gained 0.4%.
On Friday, the S&P 500 sank 1.7% for its worst day in two months after the release of U.S. . The Dow Jones Industrial Average lost 1.7%, while the Nasdaq composite tumbled 2.2%.
Domino's Pizza slid 3.3% in early trading after its fourth-quarter results fell short of Wall Street expectations, dragged down by slower U.S. sales growth.
Though corporate earnings slow to a trickle this week, several other high-profile companies — including Home Depot, Nvidia and Paramount — will report their most recent quarterly performances.
Also this week, the latest consumer confidence reading and a second estimate on fourth-quarter GDP. A closely watched report on inflation comes Friday.
Better-than-expected profit reports had been helping to offset worries about , which could prevent the for the economy and financial markets through lower interest rates.
The Fed has been holding its main interest rate steady after sharply cutting it through the end of last year. At their , Fed officials suggested they may stay on hold for a while and mass deportations of migrants, along with other factors, could push upward on inflation.
While lower rates can boost the economy, they can also encourage spending that puts upward pressure on inflation.
German shares advanced after an election dominated by concerns about Europe’s largest economy. The DAX jumped 0.7% after provisional results confirmed that mainstream conservatives led by Friedrich Merz won the national election, while a far-right party surged to become the nation’s second-largest.
In Paris, the CAC 40 shed 0.3% while Britain's FTSE 100 was largely unchanged.
Markets were closed in Tokyo for a holiday.
In other Asian trading, Hong Kong's Hang Seng index wavered before closing down 0.6% higher at 23,341.61. The Shanghai Composite index shed 0.2% to 3,373.03.
Australia's S&P/ASX 200 gained 0.1% to 8,308.20. South Korea's Kospi lost 0.4% to 2,645.27, while the Taiex in Taiwan fell 0.7%. India's Sensex also declined 0.7%.
Elaine Kurtenbach And Matt Ott, The Associated Press
