Upstart Stock (NASDAQ:UPST)
After driving markets higher on Monday, investors kept their bullish outlook going on Tuesday. Investors followed the lead of the previous two days’ stronger-than-expected bank profits. This morning, they drove up the price of Upstart stock (NASDAQ:UPST).
As of 10:31 a.m ET, the S&P 500 had gained 1.8%, the tech-heavy Nasdaq Composite had gained 1.9%, and Upstart stock had gained 5.4%.
Then What?
After both Bank of America and Bank of New York Mellon posted quarterly earnings above expectations yesterday, Upstart stock investors felt optimistic about the market. Today, Goldman Sachs said its profits and sales for the third quarter exceeded analysts’ expectations.
Banks’ financial performance was closely watched by investors from other industries as a barometer of the economy. Some investors may feel better about the U.S. economy’s prospects if bank results are better than expected.
Upstart stock Investors are probably reassured by the recent bank profits that the financial sector is still robust and that there is likely no reason to expect a downturn in Upstart’s lending platform.
Whether or whether that’s true remains to be seen. Still, given the market’s enormous sell-off over the previous year, investors are eager to hear any good news.
What’s Next?
When Upstart Holdings releases its financial results for the third quarter on November 8th, investors will better understand the company’s health.
The recent rise in Upstart stock price is tempting, but shareholders should not become too comfortable. Last week, consumer pricing statistics confirmed that inflation has risen despite the Federal Reserve’s persistent and sizable interest rate rises.
The Federal Reserve is expected to issue further rate rises, which may severely slow down the economy and cause further drops in stock prices soon as inflation trends in the wrong direction.
Featured Image- Megapixl @ Rafaelhenriquepress
Author Shariq Khan 
