The S&P 500 rose 0.2% after the benchmark posted its fourth straight week of gains, officially recovering half of this year’s bear market losses. The Dow Jones Industrial Average rose 110 points, or about 0.3 percent, and the Nasdaq Composite gained 0.4 percent. Shares of Disney ( DIS ) jumped 2.7% after Daniel Loeb’s Third Point disclosed a new stake in the company and urged CEO Bob Chapek in a letter to make a series of changes, including integrating Hulu directly into the Disney+ DTC platform and the acquisition of Comcast’s remaining minority stake before the early 2024 deadline. The letter also recommended breaking up ESPN to shareholders to help its parent company pay off debt. The Federal Reserve Bank of New York’s general business conditions index, a measure of the state’s manufacturing activity, posted its second biggest decline since 2001, with declines in orders and shipments reflecting a dramatic drop in demand. The index fell more than 42 points to -31.3, the second-worst decline in more than two decades after the April 2020 print. The reading was weaker than economists’ lowest estimate, according to Bloomberg data. Readings below zero indicate contraction. Elsewhere in the economic data, the National Association of Home Buyers/Wells Fargo index of homebuilders also disappointed — falling 6 points to 49 in August. The reading was below the worst-hit forecast by Bloomberg economists and below the breakeven mark of 50 for the first time since May 2020. Traders work on the trading floor at the New York Stock Exchange (NYSE) in Manhattan, New York, U.S., August 8, 2022. REUTERS/Andrew Kelly Investors cheered for a summer rally after a string of better-than-expected economic releases renewed optimism on Wall Street. However, some strategists remain pessimistic about the market’s recovery, as risks associated with inflation and monetary tightening remain. The story continues “The macroeconomic, political and earnings setup is much less favorable for stocks today,” Morgan Stanley’s Michael J. Wilson wrote in a note. “The risk/reward is not attractive and this bear market remains incomplete.” Chinese President Xi Jinping leaves the stage after speaking during his arrival via high-speed rail, ahead of the 25th anniversary of the former British colony’s handover to Chinese rule, in Hong Kong, China, June 30, 2022. Selim Chtayti/Pool via REUTERS Abroad, data from China on Monday showed a slowdown in economic activity across the board last month. The world’s second-largest economy saw retail sales, industrial production and investment come in lower than economists expected in July. China’s central bank also unexpectedly cut its key interest rate in a bid to reverse sluggish economic growth as President Xi Jinping seeks re-election. The Wall Street Journal reported that Chinese officials are making plans for a face-to-face meeting between Xi Jinping and President Biden in Southeast Asia this fall — a trip that would mark their first one-on-one meeting since Biden was sworn in. Oil futures fell on concerns about demand in China and the prospect of higher exports from Iran. U.S. West Texas Intermediate and Brent crude were down about 4.5 percent each at $87.97 and $93.66 a gallon, respectively. Back in the US, investors are looking ahead to a busy week for retail, with the Commerce Department releasing its key monthly retail sales report on Wednesday and earnings due from Walmart ( WMT ), Target ( TGT ) , Home Depot (HD). ) and other consumer giants. — Alexandra Semenova is a reporter for Yahoo Finance. Follow her on Twitter @alexandraandnyc Click here for the latest stock market news and in-depth analysis, including the events that move stocks Read the latest financial and business news from Yahoo Finance Download the Yahoo Finance app for Apple or Android Follow Yahoo Finance on Twitter, Facebook, Instagram, Flipboard, LinkedIn and YouTube
