S&P 500 Loses Steam as Earnings Season Kicks Off

The S&P 500 rallied to a new 16-month high on Thursday, but lost some steam on Friday as investors took profits ahead of the weekend and as the earnings season kicked off in earnest.

JPMorgan Chase, Citigroup, Wells Fargo, and BlackRock are among the big banks reporting earnings on Friday.

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The FTSE 100 also lost some upside momentum on Friday, as it approached the June-to-July downtrend line at 7,459.

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The DAX 40 is holding above strong support between the mid- to late-June highs at 4,458 to 4,447

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The equity rally is losing some steam as investors await the results of the earnings season and as the Federal Reserve continues to raise interest rates.

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The Fed is expected to raise interest rates by another 75 basis points at its next meeting in July.

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The rising interest rates are putting pressure on economic growth and could lead to a recession.

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The stock market is likely to remain volatile in the near term as investors assess the impact of the rising interest rates and the earnings season.

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The key support levels for the S&P 500 are 4,458 and 4,447.

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The key support levels for the S&P 500 are 4,458 and 4,447.

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