Investing.com – US stocks traded in tight ranges Friday, consolidating around recent record levels, as investors digested more corporate earnings and economic activity data.
At 09:35 ET (14:35 GMT), the Dow Jones Industrial Average slipped 70 points, or 0.2%, while the S&P 500 index gained 3 points, or 0.1%, and the NASDAQ Composite inched 15 points higher, or 0.1%.
All three major averages are on track to post their second positive week, with the S&P 500 posting a record high, after President Donald Trump said he would “demand that interest rates drop immediately” as he addressed world leaders in Davos, Switzerland.
Data in focus ahead of Fed meeting
Away from Trump’s comments, investors are focusing on next week’s Federal Reserve policy-setting meeting, and the future path of interest rates.
The economic data slate includes the latest economic activity data for January, as well as consumer sentiment numbers from the University of Michigan.
The US central bank is widely expected to hold interest rates unchanged on Wednesday, with Fed officials expected to largely disregard any inflationary effects stemming from tariffs under Donald Trump’s administration, as such impacts are viewed as one-time price level increases rather than persistent inflationary pressures, Goldman Sachs analysts said in a research note.
Earlier Friday, the Bank of Japan raised interest rates by 25 basis points, marking the third hike by the central bank since it began scaling back its ultra-loose monetary policy in early-2024.
Quarterly corporate results continue
In the corporate sector, quarterly earnings will be in focus once more.
Verizon Communications (NYSE:VZ) stock rose 3% after the telecom major reported its best quarterly wireless subscriber growth in five years.
American Express (NYSE:AXP) stock fell 1.2% despite the financial giant reporting a 12% jump in fourth-quarter profit, as more consumers swiped cards during the holiday season for travel and online shopping.
Boeing (NYSE:BA) stock fell 1% after the aircraft manufacturer said it will post a bigger-than-anticipated loss of around $4 billion in its most recent quarter, as it grappled with a prolonged strike, charges related to US government projects and expenses linked to a slew of job cuts.
Texas Instruments (NASDAQ:TXN) stock dropped 6% after the analog chipmaker forecast first-quarter profit below estimates, as it grapples with an inventory buildup in its key automotive and industrial markets.
Twilio (NYSE:TWLO) stock soared 22% after the cloud communications software maker announced that it expects adjusted earnings to come in at the top range of guidance for the fourth quarter and unveiled positive guidance for the next couple of years through 2027.
Crude set for weekly loss
Oil prices edged higher, but remained on track for a weekly loss, with sentiment dampened by President Trump’s calls for lower crude prices and higher energy production in the US.
By 09:35 ET, the US crude futures (WTI) were 0.5% higher to $74.96 a barrel, while the Brent contract gained 0.7% to $78.82 a barrel.
Both benchmarks were trading more than 3% lower for the week — their worst performance since November — after Trump signed an executive order calling for increased US oil production, while also scaling back certain climate-related restrictions on the energy sector.
Additionally, Trump, during his speech on Thursday at Davos, said Saudi Arabia and the Organization of the Petroleum Exporting Countries to should bring down oil prices.
Uncertainty has also swirled around his plans for trade tariffs against major economies, which could potentially disrupt global trade and weigh on oil demand.
(Ayushman Ojha contributed to this article.)
