Stocks rose on Friday after a slew of positive corporate news that included strong bank earnings and Disney unveiling a new streaming service.
The Dow Jones Industrial Average surged 269.25 points. Gains in the financials and materials sectors pushed the S&P 500 0.66% higher. The benchmark broke above the key 2,900 level for the first time in six months and stood at less than 1% from a record high. It's also the third consecutive weekly gain for the S&P 500. The Nasdaq Composite advanced 0.46%.
J.P. Morgan Chase kicked off the corporate earnings season on Friday by reporting better-than-expected results. The company said "impact of higher rates" boosted its results, along with its fixed-income trading revenues. Wall Street cheered J.P. Morgan's report, sending the stock up 4.7%.
"A solid 1Q19 beat should be good news for the shares of both JPM and its universal bank peers," said Jeffery Harte, an analyst at Sandler O'Neill & Partners, in a note. We "specifically see a positive read through for universal bank peers from JPM's FICC and debt underwriting revenue beats."
Wells Fargo also reportedbetter-than-expected results on the back of its consumer lending business, but the stock erased earlier gains as the bank's CFO issued a tepid outlook for net interest income.
Investors came into the season expecting it to be a tough one for companies. FactSet expected first-quarter earnings to have fallen 4.2% in the first quarter.