U.S. Stocks Move Mostly Higher, Largely Offset Monday's Sell-Off

(RTTNews) - Following the rally seen during Thursday's session, stocks turned in a relatively lackluster performance during trading on Friday but managed to end the day mostly higher.

The major averages finished the session off their highs of the day but still in positive territory. The Dow edged up 51.05 points or 0.1 percent to 39,497.54, the Nasdaq climbed 85.28 points or 0.5 percent to 16,745.30 and the S&P 500 rose 24.85 points or 0.5 percent to 5,344.16.

The higher close on Wall Street came as stocks continued to recover from recent selling sparked by concerns about the outlook for the U.S. economy.

With the upward move seen over the course of the session, the Nasdaq and the S&P 500 largely offset the steep losses posted on Monday, closing only slightly lower for the week.

For the week, the S&P 500 edged down by less than a tenth of a percent and the Nasdaq dipped by 0.2 percent, while narrower Dow slid by 0.6 percent.

The major averages still remain well off their recent highs after also moving sharply lower last Thursday and Friday.

Traders may have been reluctant to make more significant moves amid a lack of major U.S. economic on the day ahead of the release of several key reports next week.

Key inflation data is likely to be in the spotlight next week, although reports on retail sales and industrial production may also drive trading amid recent concerns about the outlook for the economy.

Among individual stocks, shares of Expedia (EXPE) moved sharply higher after the travel technology company reported better than expected second quarter results.

Cloud computing company Akamai Technologies (AKAM) also saw significant strength after reporting second quarter results that beat estimates and raising its full-year guidance.

On the other hand, shares of e.l.f. Beauty (ELF) came under pressure even though the company reported better than expected fiscal first quarter results.

Sector News

Pharmaceutical stocks showed a strong move to the upside on the day, driving the NYSE Arca Pharmaceutical Index up by 1.8 percent.

Notable strength was also visible among gold stocks, as reflected by the 1.1 percent gain posted by the NYSE Arca Gold Bugs Index. The strength in the sector came amid a modest increase by the price of the precious metal.

Software and brokerage stocks also saw some strength, while most of the other major sectors ended the day showing only modest moves.

Other Markets

In overseas trading, stock markets across the Asia-Pacific region moved mostly higher during trading on Friday. Japan's Nikkei 225 Index climbed by 0.6 percent, while Hong Kong's Hang Seng Index shot up by 1.2 percent.

The major European markets also moved to the upside on the day. While the German DAX Index edged up by 0.2 percent, the U.K.'s FTSE 100 Index and the French CAC 40 Index both rose by 0.3 percent.

In the bond market, treasuries regained ground after trending lower over the past few sessions. As a result, the yield on the benchmark ten-year note, which moves opposite of its price, slid 5.5 basis points to 3.942 percent.

Looking Ahead

While reaction to the U.S. economic data is likely to drive trading next week, traders are also likely to keep an eye on the latest corporate earnings news, including results from Walmart (WMT) and Home Depot (HD).