The CBOE Volatility Index (VIX), Wall Street’s preferred fear gauge, briefly dipped below 20 for the first time since late February.
Stocks rose across the globe on Friday to close at a fresh high and remained on track for their strongest monthly performance on record but the Nasdaq outperformed on Wall Street and Treasury yields fell, indicating lingering concerns over rising coronavirus cases globally. On Wall Street, the main indexes rose and the Nasdaq Composite hit a record high. The Nasdaq outperformance mirrors recent sessions when, despite rising stocks, the focus was on the economic impact of the pandemic.
Wall Street stocks advanced, with the Nasdaq closing at a record high, on Friday in a holiday-shortened week as retailers kicked off the year-end shopping season amid record COVID-19 hospitalizations. The Nasdaq outperformed as investors favored tech-related, market-leading stocks that have fared well during the pandemic, while economically sensitive cyclical stocks weighed. All three indexes rose for the week, in which the S&P 500 reached a new closing high and the blue-chip Dow ended above 30,000 for the first time ever.