Most of the global stocks have increased showing solid corporate earnings. Analysts claimed that it was due to the slowing global effect of China's economy. The stocks affected were the Dow Jones Industrial Average, and the tech-savvy S&P 500 index.
Before the closing of this week's trading session, the Dow Jones Industrial Average was at 262 indicating a 0.9 percent increase yielding 29,538. On the other hand, the tech-savvy S&P 500 index also increased.
According to KDP Investment Advisors analyst Dennis Dowden, stocks have reached high records during the close of the trading session because of easing concerns about China. The latest batch of corporate earnings was then claimed to be doing good this week.
Companies who have enjoyed the momentum were beer-making Molson Coors and Akamai Technologies. Molson Coors' stock increased by 4.1 percent after an unfavorable fourth-quarter profit forecast. On the other hand, Akamai Technologies also improved by 4.7 percent after the cloud service provider exceeded analysts' profit and revenue forecasts for the week.
The most significant improvement was felt in technology stocks. Companies such as Apple Inc. improved by 1.2 percent while Qualcomm also experienced an increase in stock value by 2.6 percent.
The report also claimed that companies that rely on consumer spending also experienced stock value increases. These were Nike and Amazon, among others.
Additionally, insurer stocks also rose. Anthem and UnitedHealth were the ones with the greatest gains. The real estate and utility companies, however, experienced losses this week.
The decreases in the two sectors were blamed on the shifting of money into investments by players in the industries converting the stocks into high-risk options. Thus, the conversion led to lower stock values this week.
Companies that experienced a decline were transportation service company Lyft who lost 8.5 percent of its stock value. Analysts then claimed that it might not receive profits until the end of 2021.
Lyft was said to be a year behind its competitor Uber who had recently revealed that it would generate greater profits by the fourth quarter of 2020.
In other news, CNBC reported that Asian stocks, in particular, also improved this week especially mainland Chinese stocks. Similarly, the Japanese conglomerate Softbank Group also significantly improved by 11.89 percent after the merger between T-Mobile and Sprint was approved.
The biggest winners were mainland China stocks particularly that of Shenzhen's. The Shenzhen component increased by 1.76 percent at 10,940.80 while the Shenzhen composite also improved by 1.554 percent at 1,785.33 at the end of the trading session.