GOOD WEEK

U.S. stocks finished high with all three U.S. indexes sweeping to big weekly gains, after the Federal Reserve raised its benchmark rate for the first time since 2018 to help tighten financial conditions and tackle high inflation. The Fed move was widely expected, helping to embolden bullishness on Wall Street.

S&P 500 SPX, +1.17% rose about 51 points, or 1.2%, on Friday, booking at 6.2% weekly advance. The Dow Jones Industrial Average DJIA, +0.80% rose 0.8% Friday, but 5.5% for the week, while the Nasdaq Composite Index COMP, 2.05% rose 2.1% Friday and a stunning 8.2% for the week. Investors also digested hawkish comments St. Louis Federal Reserve President Jim Bullard, who said the central bank risked losing credibility by moving too slowly to bring inflation down. 

BAD WEEK

U.S. stocks finished high with all three U.S. indexes sweeping to big weekly gains, after the Federal Reserve raised its benchmark rate for the first time since 2018 to help tighten financial conditions and tackle high inflation. The Fed move was widely expected, helping to embolden bullishness on Wall Street.

S&P 500 SPX, +1.17% rose about 51 points, or 1.2%, on Friday, booking at 6.2% weekly advance. The Dow Jones Industrial Average DJIA, +0.80% rose 0.8% Friday, but 5.5% for the week, while the Nasdaq Composite Index COMP, 2.05% rose 2.1% Friday and a stunning 8.2% for the week. Investors also digested hawkish comments St. Louis Federal Reserve President Jim Bullard, who said the central bank risked losing credibility by moving too slowly to bring inflation down.

WHAT ELSE HAPPENED?

Futures contracts linked to the Dow Jones Industrial Average are indicating a 169-point opening bell dip, while those linked to the S&P 500 are priced for a 23.75-point move to the downside.

The tech-focused Nasdaq Composite pointed to an 83-point fall as benchmark as benchmark 10-year Treasury note yields, which spiked to 2.215% in the wake of Wednesday's Federal Reserve rate hike, eased to 2.157% in overnight trading.

Stocks are still on track to end the week higher, however, with the S&P 500 at one month highs and the Nasdaq at its highest level since March 12.

Still, oil prices resumed their advance, with Brent crude futures gaining 82 cents, or 0.8%, to $107.46 a barrel after surging nearly 9% on Thursday in the largest percentage gain since mid-2020. U.S. West Texas Intermediate (WTI) crude futures climbed $1.14, or 1.1%, to $104.12 a barrel, adding to an 8% jump on Thursday.

Despite the rebound, both benchmark contracts were set to end the week down more than 4%, after having traded in a $16 range. Prices have dropped from 14-year highs hit nearly two weeks ago.