Dow Rises More Than 100 Points, Tries for 5-Day Winning Streak in Last Day of August

Stock Trader
2023-08-31

The Dow Jones Industrial Average rose Thursday, the last day of the month, as Wall Street tried to stretch a late-August winning streak to five sessions.

The Dow climbed 136 points, or 0.4%. The S&P 500 gained 0.2% along with the Nasdaq Composite.

The Dow got a boost from $salesforce.com, inc. CRM$ . Shares advanced more than 5% after the software company announced fiscal second-quarter results and third-quarter guidance Wednesday that exceeded analysts’ expectations.

Investors are coming off a positive session, with the S&P 500 ending Wednesday 0.4% higher. The Dow Jones Industrial Average added 37.57 points, or 0.11%. Meanwhile, the tech-heavy Nasdaq Composite gained 0.54%. It was the fourth winning day in a row for the three major averages.

These gains helped the major indexes trim their monthly losses. The Dow and S&P 500 are each lower by more than 1% in August, while the Nasdaq is off by over 2%.

Meanwhile, the personal consumption expenditures index increased 0.2% month-over-month in July and 4.2% year-over-year, matching estimates from economists polled by Dow Jones. PCE, an inflation gauge closely watched by the Fed, increased 4.1% the prior month.

Investors will now turn their attention to non-farm payroll data due out Friday morning. Economists polled by Dow Jones forecast 170,000 additions. Traders are holding onto hope that the report will indicate that the economy is slowing meaningfully, and ultimately give the central bank reason to pause benchmark interest rate hikes.

“If we think about the Fed, they’re looking at growth, they’re looking at jobs and inflation. And if all three are going in their direction, meaning in their favor, then you can make a case that the Fed is probably done with tightening,” Hightower’s Stephanie Link said on CNBC’s “Closing Bell” on Wednesday.

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