Dow closes up 500 points, lifted by upbeat earnings, strong consumer confidence data – CNBC

December 22, 2022 by No Comments

Stocks jump for a second day

Stocks rose for a second day on Wednesday following upbeat earnings results from Nike and FedEx.

The Dow Jones Industrial Average gained 526.74 points, or 1.6%, to finish at 33,376.48. The S&P 500 surged 1.49% to settle at 3,878.44, while the Nasdaq Composite jumped 1.54% to end at 10,709.37.

— Samantha Subin

Use weakness at the start of 2023 as a buying opportunity, says Citi’s Chronert

Citi’s Scott Chronert is expecting a 5% to 8% drawdown in the market at the start of 2023, and that should create a solid stock-picking environment for investors.

“That’s a buying opportunity because then, as you go into the spring timeframe, you get some lessening of the Fed overhang, and on that alone, you begin to get some valuation relief,” the U.S. equity strategist told CNBC’s “Closing Bell” on Wednesday.

Chronert’s base case for 2023 accounts for a mild recession, likely to occur during the first half of the year.

Given this outlook, Chronert recommends that investors find opportunities in areas of the market with earnings resilience, pointing to sectors like healthcare, real estate, energy and industrials, which Citi is overweight on.

“We’re looking for a combination of defensive characteristics, where we can also benefit from the risk-on attribute,” he said. “In our setup, it kind of dials you into the energy and industrials sectors.”

— Samantha Subin

Stocks higher into final hour

Stocks surged as the final hour of trading kicked off.

The Dow Jones Industrial Average gained 515 points, or 1.57%. The S&P 500 and Nasdaq Composite jumped 1.5% and 1.6%, respectively.

— Samantha Subin

Tesla, Apple among most bought securities in 2022, Vanda Research says

Despite the volatile times, retail investors flocked toward shares of battered technology names in 2022, according to data compiled by Vanda Research.

Investors bought a net $15.4 billion worth of Tesla in 2022, a 424% increase over 2021. That allowed the electric vehicle stock to outrank Apple as the most popular name among retail investors.

Net retail purchases totaled about $15.2 billion for Apple, up 18% over the previous year. Advanced Micro Devices followed behind as the third most popular standalone stock, with investors buying a net $10.6 billion worth.

But it wasn’t individual stocks that investors bought the most of in 2022. The SPDR S&P 500 ETF Trust and Invesco QQQ Trust were the most bought securities, data suggests.

The top three least popular names bought this year were AMC, Palantir Technologies and Micron Technology, Vanda said. A slew of meme stocks also experienced year-over-year declines in purchases, despite a jump …….



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