U.S. stocks rose on Friday, rebounding after Wall Street’s hardest knock in nearly two months, as the government raised its estimate of economic growth in the second quarter and consumer sentiment rose in September.
“If the economy continues to gain additional momentum, any surprises we get to earnings would be to the upside,” said Bruce Bittles, chief investment strategist at RW Baird & Co.
Nike gained, a day after the athletic-apparel company reported first-quarter profit that beat expectations; BlackBerry rose after the Canadian smartphone maker posted a smaller quarterly loss and its CEO projected the tech company would double its software revenue next year.; Janus Capital Group surged on news that Bill Gross is leaving Pacific Investment Management Co., the investment firm he co-founded, and would be joining Janus Capital.
Data from the Commerce Department had gross domestic product increasing at a revised 4.6 percent annualized rate, up from the prior estimate of 4.2 percent, and in line with expectations.
The Thomson Reuters/University of Michigan’s final read on consumer sentiment climbed to 84.6 in September from 82.5 the month before.
The S&P 500 added 6.21 points, or 0.3 percent, to 1,971.98, with energy and technology the best performing and utilities and telecommunications the greatest laggards among its 10 major sectors.
The Nasdaq gained 21.40 points, or 0.5 percent, to 4,488.15.
For every five shares falling, nearly nine gained on the New York Stock Exchange, where 139 million shares traded as of 10:35 a.m. Eastern. Composite volume surpassed 661 million.
The yield on the 10-year Treasury note rose 3 basis points to 2.53 percent.
U.S. stocks declined on Thursday, with the benchmark indexes recording their worst session since July 31, as Apple tumbled on glitches tied to its new smartphone and as investors considered a proposal in Russia that would let its courts seize foreign assets.