US STOCKS-Wall Street rallies, weekly losing streak continues


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    * Twitter drops as Musk puts purchase deal on hold
    * S&P, Nasdaq post longest weekly losing streaks in over a
    * Dow's longest weekly losing streak since 1980
    * Indexes up: Dow 1.47%, S&P 2.39%, Nasdaq 3.82%

 (Updates with closing prices)
    By Stephen Culp
    NEW YORK, May 13 (Reuters) - Wall Street surged on Friday to
end higher, closing the book on a week of wild market gyrations
as relief at signs of peaking inflation vied with fears that
policy tightening by the Federal Reserve could tilt the economy
into recession.
    Gains were led by a rebound in megacap tech and
tech-adjacent stocks, which sold off in recent sessions as
benchmark Treasury yields climbed and investors worried the Fed
might hike interest rates more aggressively than expected.
    Despite the day's gains, the S&P 500 and the Nasdaq posted
their sixth consecutive weekly loss, the longest losing streak
since fall 2012 for the S&P 500 and since spring 2011 for the
    The Dow notched its seventh consecutive weekly dip, the blue
chip average's longest losing streak since late winter of 1980.
    "Is this a dead cat bounce? Or is it a recognition by
investors, as I believe, that the sell off is overdone?" said
Oliver Pursche, senior vice president at Wealthspire Advisors,
in New York. 
    "I would not be surprised if we see one or two more down
weeks, but you have to look past the indices and see the
underpinnings of the market," Pursche added. "And what we’re
seeing today is some of the beaten-up quality names are really
rebounding sharply."
    In the past six trading days, the Labor Department delivered
four economic reports - wage growth, CPI, PPI and import prices
- which together suggested inflation hit its apex in March,
welcome news for market participants worried the Fed could spark
a recession with a spate of inflation-fighting interest rate
    Fed Chairman Jerome Powell, confirmed on Thursday by the
U.S. Senate to a second term, reiterated the central bank's
determination to battle inflation, but said he believes the
economy can avoid a serious downturn.*:nL2N2X433H
    Powell "demonstrated a humility and seriousness at the same
time," said Peter Tuz, president of Chase Investment Counsel in
Charlottesville, Virginia. "He's committing to getting this
inflation under control, even if he admits it’s going to be
somewhat painful."
    The Dow Jones Industrial Average  .DJI  rose 466.36 points,
or 1.47%, to 32,196.66, the S&P 500  .SPX  gained 93.81 points,
or 2.39%, to 4,023.89 and the Nasdaq Composite  .IXIC  added
434.04 points, or 3.82%, to 11,805.00.
    All 11 major sectors of the S&P 500 ended the session green,
consumer discretionary stocks  .SPLRCD  enjoying the largest
percentage gain, surging by 4.1%.
    First-quarter reporting season has reached the final
stretch, with 458 companies in the S&P 500 having reported. Of
those, 78% have delivered consensus beating results, according
to Refinitiv.
    For the first three months of the year, analysts now see
aggregate year-on-year S&P 500 earnings growth of 11.1%, up from
6.4% at quarter-end, per Refinitiv.
    Shares of Twitter Inc  TWTR.K  dropped 9.7% following Elon
Musk's tweet that he had put the $44 billion cash buyout deal on
hold, as he waits for the social media company to provide data
on fake accounts.*:nL3N2X520W
    Tesla Inc  TSLA.O  jumped 5.7%.
    Trading platform Robinhood Markets Inc  HOOD.O  surged 24.9%
after Samuel Bankman-Fried, the chief executive and founder of
cryptocurrency exchange FTX, revealed a 7.6% stake in the
brokerage app company.*:nL2N2X434I
    Warren Buffett's Berkshire Hathaway  BRKa.N  disclosed
buying more shares of Occidental Petroleum  OXY.N , sending the
oil company's shares up 8.2%.*:nL2N2X50YB
    Advancing issues outnumbered declining ones on the NYSE by a
3.73-to-1 ratio; on Nasdaq, a 2.91-to-1 ratio favored advancers.
    The S&P 500 posted one new 52-week high and 30 new lows; the
Nasdaq Composite recorded 10 new highs and 279 new lows.  
    Volume on U.S. exchanges was 13.32 billion shares, compared
with the 13.17 billion average over the last 20 trading days.

 (Reporting by Stephen Culp; additional reporting by Devik Jain,
Bansari Mayur Kamdar in Bengaluru; Editing by David Gregorio)
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