PARIS, May 13 (Reuters) – The New York Stock Exchange opened higher on Friday, buoyed by bargain buying and a rebound in growth stocks despite a sharp decline in Twitter, which billionaire Elon Musk halted.
In early trading, the Dow Jones index gained 247.03 points, or 0.78%, to 31,977.33 points and the broader Standard & Poor’s 500 rose 1.16% to 3,975.69 points.
The Nasdaq Composite takes 1.63%, or 185,255 points, to 11,556,217.
It’s been a turbulent week for global markets on fears that the Federal Reserve’s monetary tightening, combined with runaway inflation, war in Ukraine and health restrictions in China could cause the global economy to slow.
Fed Chairman Jerome Powell eased some tempers on Thursday night by saying he expected the institution to hike rates by half a percentage point in its next two meetings, moving away the prospect of larger rate hikes.
In values, Twitter fell 10.39% after Elon Musk announced that the operation to buy the social network for 44 billion dollars (42.4 billion euros) was “temporarily suspended” pending data on the proportion of fake company accounts.
“The takeover by Elon Musk has always been bound to be hectic. One wonders if this story of fake accounts is the real reason for this sunsetting tactic (..) 44 billion dollars is huge and it could be of a strategy to drive the price down,” said Susannah Streeter at Hargreaves Lansdown.
Growth stocks Microsoft, Meta Platforms, Alphabet, Apple, Amazon and Nvidia gained 0.58% to 3.48% after falling for most of the week.