Wall Street changes slightly, big weekly gains on Washington gridlock expectations

NEW YORK (Reuters) – US stocks held near the unchanged mark on Friday, to close a strong week as Democratic challenger Joe Biden came close to victory in the presidential election, while monthly jobs report still held up the economy. Underlined the obstacles facing.

Biden, who was on narrow leads in Pennsylvania and Georgia, put him on the verge of winning the White House, although President Donald Trump has filed lawsuits in battlegrounds to get the results.

The three major indices saw their biggest weekly percentage gains since April, as the prospect of a policy gridlock in Washington raised concerns that a Biden administration might tighten regulations on American companies.

“It’s not fair. We don’t go up every day, so at some point you think we’ll feel a little bit of pressure,” said JJ Kinahan, chief market strategist at TD Americred in Chicago.

Control of the US Senate may rest on four turbulent undefined races. If Republicans retain their majority, they will likely block the bulk of Biden’s legislative agenda, including expanding healthcare and fighting climate change.

“If Biden comes forward or wins Georgia, there is some concern in this regard, then there is a possibility that they will follow (Senate) seats. This is what people are reading, ”said Yousef Abbasi, global market strategist at StoneSec Group Inc., New York.

A closely watched report from the government showed that unemployment fell from 7.7% to 6.9% in September last month, but job improvement slowed due to lower fiscal support and an increase in coronovirus cases.

Following the jobs report, U.S. Senate Majority Leader Mitch McConnell said economic data indicated that Congress should implement a small coronovirus stimulus package that is highly targeted at the effects of the epidemic. The Dow Jones Industrial Average fell 66.78 points or 0.24% to 28,323.4, the S & P 500 lost 1.01 points or 0.03% to 3,509.44 and the Nasdaq Composite gained 4.30 points or 0.04% to close at 11,895.23.

(GRAPHIC: S&P 500 period after five-day presidential election -)

Coty Inc. gained 22.16% as the cosmetics manufacturer beat analyst estimates for quarterly revenue, while T-Mobile US Inc rose 5.37% after adding more phone consumers than analysts in the third quarter.

Electronic Games Inc. dropped 7.12% after falling short of the video game manufacturer’s quarterly sales estimate.

The volume was up 10.36 billion shares on US exchanges, with a full-session average of 9.23 billion in the last 20 trading days.

Dismissing issues on the NYSE moving from a 1.41-to-1 ratio; On the Nasdaq, a 1.63-to-1 ratio preferred decliner.

The S&P 500 posted 51 new 52-week highs and no new lows; The Nasdaq Composite recorded 133 new highs and 32 new lows.

Additional reporting by Herbert Lash; Editing by David Gregorio


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