NEW YORK, May 11: Wall Street stocks largely shrugged off lackluster US consumer data on Friday, concluding a winning week mostly higher amid increased hopes of an easing in monetary policy.
Following an up day in Europe in which leading bourses hit all-time highs, the Dow rose for the eighth straight session in New York.
The University of Michigans index of consumer sentiment tumbled 13 percent to 67.4 for April, its lowest mark since November, with more consumers expressing worries about inflation, unemployment and interest rates.
The data comes on the heels of an uptick in weekly US jobless claims released on Thursday.
Analysts have pointed to a tendency among investors to greet weaker data as boosting the odds of a Federal Reserve interest rate cut.
A note from Oxford Economics said the US labor market has been a "key pillar" of strength.
"So far, our conclusion is that the labor market is cooling from a rapid pace rather than about to enter a serious downturn that could derail the recovery," Oxford said.
European stock markets struck fresh record highs on growing hopes that central banks are close to cutting interest rates.
London, Paris, Frankfurt and Amsterdam all hit new heights, with shares also benefitting from strong first-quarter earnings.
"European markets are on the rise despite concerns that a resurgence in UK growth could yet hinder hopes for a dovish pivot from the Bank of England in the months ahead," noted Joshua Mahony, chief market analyst at Scope Markets.
Britain exited a shallow recession with better-than-expected growth in the first quarter, official data showed Friday, in a boost to embattled Prime Minister Rishi Sunak ahead of the countrys general election this year.
The Bank of England on Thursday signaled a rate cut this summer after keeping UK borrowing costs at the highest level in 16 years to tame inflation.
The European Central Bank is expected to cut its rates in June. —AFP
