The S&P 500, which keeps track of how well big American companies are doing in the stock market, reached a new all-time high on Friday. This happened because technology stocks did really well and people started feeling more positive about the economy. The index closed at 4,839.8, which is higher than the previous record set in January 2022. This is a big deal because it shows that we’ve recovered from a tough time in the market two years ago when people were worried about inflation and how the economy would handle it.

Investors are feeling more confident now that inflation has gone down and the chances of the economy going downhill have decreased. This has led to more activity in the stock market. The Dow Jones Industrial Average, which shows how the overall economy is doing, also reached a new record high last year because people were optimistic and buying shares. On Friday, it went up by 1%. The Nasdaq, which lists a lot of technology companies, went up by 1.7%, but it’s still about 4% lower than its highest point in 2021.

The fact that the S&P 500 reached a new all-time high means that we’re in a bull market right now. That means share prices have gone up by 35% since they hit rock bottom in October 2022. Investors are hopeful that the US central bank will be able to control inflation and maybe even start doing things differently later this year. If that happens, it would mean that borrowing money would be cheaper and that would help the economy and companies. It would also make people more interested in buying stocks instead of putting their money in things that depend on interest rates, which would make stock prices go up even more.

People are feeling positive about the stock market because they think the technology sector is going to grow. This is because of all the cool things happening with artificial intelligence. And it’s not just investors who are feeling good about things. Regular people are also seeing the benefits. Their retirement and investment accounts are getting better, gas prices are going down, and the prices of other things are not going up as much. A survey from the University of Michigan showed that people’s confidence is the highest it’s been since 2021, which is a 21% increase compared to last year.

In conclusion, the S&P 500 reaching a new all-time high shows that we’ve bounced back from worries about inflation and the economy going downhill. Investors are hopeful that the US central bank will do things to help the economy, which would make borrowing money cheaper and stock prices go up. The technology sector is also expected to grow because of artificial intelligence. This positive feeling is not just for investors, but regular people are also seeing improvements in their money and lower prices for some things.

Original news source: US stocks surge to record high as market rebounds (BBC)

🎧 Listen:

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📖 Vocabulary:

Group or Classroom Activities

Warm-up Activities:

– News Summary
Instructions: Have students read the article and write a summary of the main points in their own words. Then, have them share their summaries with a partner and discuss any differences or similarities.

– Opinion Poll
Instructions: Divide the class into pairs or small groups. Have each group discuss their opinions on the current state of the stock market and whether they think it will continue to grow. Then, have each group share their opinions with the class and facilitate a class discussion.

– Vocabulary Pictionary
Instructions: Provide a list of key vocabulary words from the article. Divide the class into teams and have each team take turns choosing a word and drawing a picture to represent it. The other teams must guess the word based on the drawing. This activity will help reinforce understanding of the vocabulary used in the article.

– Keyword Hangman
Instructions: Select key words from the article and write blanks on the board to represent each letter of the word. Divide the class into two teams and take turns choosing a word and guessing letters. If a letter is correct, fill in the blanks with the letter. If a letter is incorrect, draw a body part on a hangman diagram. The team that correctly guesses the word first wins.

– Future Predictions
Instructions: Have students work individually or in pairs to write predictions about the future of the stock market based on the information in the article. Then, have students share their predictions with the class and discuss the reasoning behind their predictions. This activity will encourage critical thinking and analysis of the article.

🤔 Comprehension Questions:

1. What is the S&P 500 and why is it significant that it reached a new all-time high?
2. What factors contributed to the S&P 500 reaching a new record high?
3. How did the Dow Jones Industrial Average and the Nasdaq perform recently?
4. What does it mean to be in a bull market?
5. Why are investors hopeful about the US central bank’s actions?
6. How does the growth of the technology sector relate to artificial intelligence?
7. How are regular people benefiting from the positive state of the stock market?
8. What does the University of Michigan survey reveal about people’s confidence in the economy?
Go to answers ⇩

🎧✍️ Listen and Fill in the Gaps:

The S&P 500, which keeps track of how well big American (1)______ are doing in the stock market, reached a new all-time high on Friday. This happened because technology (2)______ did really well and people started feeling more positive about the economy. The index closed at 4,839.8, which is higher than the previous record set in January 2022. This is a big deal because it shows that we’ve recovered from a (3)______ time in the market two (4)______ ago when people were worried about inflation and how the economy would handle it.

Investors are feeling more confident now that inflation has gone down and the chances of the economy going downhill have decreased. This has led to more activity in the stock market. The Dow Jones Industrial Average, which (5)______ how the overall (6)______ is (7)______, also reached a new record high last year because people were optimistic and buying shares. On Friday, it went up by 1%. The Nasdaq, which lists a lot of technology companies, went up by 1.7%, but it’s still about 4% lower than its highest point in 2021.

The fact that the S&P 500 reached a new all-time high means that we’re in a bull market right now. That means share prices have gone up by 35% since they hit rock bottom in October 2022. Investors are hopeful that the US (8)______ bank will be able to control inflation and maybe even start doing things differently later this year. If that happens, it would mean that borrowing money would be cheaper and that would help the economy and companies. It would also make people more interested in buying stocks instead of putting their money in (9)______ that depend on interest rates, which would make stock prices go up even more.

People are feeling (10)______ about the stock market because they think the technology (11)______ is going to grow. This is because of all the cool things happening with artificial intelligence. And it’s not just investors who are feeling good about things. Regular people are also seeing the benefits. Their retirement and investment accounts are (12)______ better, gas prices are going down, and the prices of other things are not going up as much. A survey from the University of Michigan showed that people’s (13)______ is the highest it’s been since 2021, which is a 21% increase compared to last year.

In conclusion, the S&P 500 reaching a new all-time high shows that we’ve bounced back from worries about inflation and the economy going downhill. Investors are hopeful that the US central bank will do things to help the economy, which would make borrowing (14)______ (15)______ and stock prices go up. The technology sector is also expected to grow because of artificial intelligence. This positive feeling is not just for investors, but (16)______ people are also seeing improvements in their money and lower prices for some things.
Go to answers ⇩

💬 Discussion Questions:

Students can ask a partner these questions, or discuss them as a group.

1. What is the S&P 500 and why is it important?
2. How would you feel if you saw your investment account getting better?
3. Do you like investing in stocks? Why or why not?
4. What do you think about the fact that technology stocks did really well in the stock market?
5. How would you feel if gas prices were going down?
6. What is a bull market and why is it a good thing?
7. How do you think artificial intelligence will impact the technology sector?
8. Do you think the US central bank will be able to control inflation? Why or why not?
9. How would you feel if borrowing money became cheaper?
10. What is your opinion on the fact that regular people are also benefiting from the stock market’s success?
11. How do you think lower prices for some things will affect people’s lives?
12. Do you think it’s a good idea to invest in the stock market right now? Why or why not?
13. How would you feel if you saw your retirement account improving?
14. What do you think about the fact that people’s confidence is the highest it’s been since 2021?
15. How do you think the stock market’s success will impact the overall economy?

Individual Activities

📖💭 Vocabulary Meanings:

Match each word to its meaning.

Words:
1. inflation
2. optimistic
3. index
4. artificial
5. sector
6. bullish
7. peak
8. central
9. survey
10. accounts
11. retirement
12. benefits
13. confidence
14. investors
15. economy

Meanings:
(A) A market condition where prices are rising and people expect them to continue going up
(B) A measurement or list used to track the performance of something, like stocks
(C) The highest point or level something has reached
(D) Records or statements of financial transactions
(E) The time in life when a person stops working and starts living off their savings or pension
(F) The most important or main thing
(G) Things that are helpful or advantageous
(H) A study to collect information about what a group of people think
(I) A part of the economy focused on a particular type of business or activity
(J) People who put money into financial schemes, shares, property, or a commercial venture with the expectation of achieving a profit
(K) The belief that something will happen or be successful
(L) The system that includes all the activities involved in the production and consumption of goods and services in a country or area
(M) Feeling hopeful and positive about the future
(N) Made by humans, not natural
(O) When prices for goods and services increase, and money buys less than before
Go to answers ⇩

🔡 Multiple Choice Questions:

1. What is the S&P 500?
(a) A bank that provides loans to small businesses.
(b) A technology company that develops artificial intelligence.
(c) A government agency that regulates the stock market.
(d) An index that tracks the performance of big American companies in the stock market.

2. Why did the S&P 500 reach a new all-time high?
(a) The US central bank lowered interest rates.
(b) Gas prices went up, increasing investor confidence.
(c) The Dow Jones Industrial Average reached a new record high.
(d) Technology stocks performed well and people became more positive about the economy.

3. What does it mean when the stock market is in a bull market?
(a) Share prices have decreased significantly since hitting rock bottom.
(b) Investors are pessimistic about the economy.
(c) Share prices have increased significantly since hitting rock bottom.
(d) The US central bank is controlling inflation.

4. Why are people feeling positive about the stock market?
(a) The US central bank has increased interest rates.
(b) They believe the technology sector will grow due to advancements in artificial intelligence.
(c) Gas prices have gone up, leading to higher stock prices.
(d) The prices of other things are increasing rapidly.

5. How have regular people benefited from the stock market’s performance?
(a) Gas prices have increased, saving them money.
(b) The prices of other things have gone up significantly.
(c) Their retirement and investment accounts have improved.
(d) Their confidence in the stock market has decreased.

6. What did a survey from the University of Michigan show?
(a) People’s confidence in the economy is the highest it’s been since 2021.
(b) People’s confidence in the economy has decreased by 21% compared to last year.
(c) People are not optimistic about the technology sector.
(d) People’s retirement and investment accounts have worsened.

7. What would happen if the US central bank were able to control inflation and make borrowing money cheaper?
(a) The economy and companies would suffer, and stock prices would decrease.
(b) The economy and companies would benefit, and stock prices would increase.
(c) The stock market would crash, leading to a recession.
(d) The technology sector would decline, leading to job losses.

8. How does the article describe the overall sentiment in the stock market?
(a) Investors and regular people are feeling positive about the future.
(b) Investors are optimistic, but regular people are pessimistic.
(c) Investors are worried about inflation, but regular people are confident.
(d) Investors and regular people are both concerned about the economy.

Go to answers ⇩

🕵️ True or False Questions:

1. Investors are feeling less confident now that inflation has gone up and the chances of the economy going downhill have increased.
2. This is not a big deal because it shows that we’re still in a tough time in the market two years ago when people were worried about inflation and how the economy would handle it.
3. The index closed at 4,839.8, which is higher than the previous record set in January 2022.
4. The S&P 500, which measures the performance of big American companies in the stock market, reached a new record high on Friday.
5. The fact that the S&P 500 reached a new all-time high means that we’re in a bull market right now, with share prices up by 35% since hitting rock bottom in October 2022.
6. The Dow Jones Industrial Average, which shows how the overall economy is doing, also reached a new record high last year because people were optimistic and buying shares.
7. The Nasdaq, which lists many technology companies, went down by 1.7%, but it’s still about 4% higher than its highest point in 2021.
8. This happened because technology stocks did really poorly and people started feeling more negative about the economy.
Go to answers ⇩

📝 Write a Summary:

Write a summary of this news article in two sentences.

Writing Questions:

Answer the following questions. Write as much as you can for each answer.

1. Why did the S&P 500 reach a new all-time high?
2. What does it mean for the stock market to be in a bull market?
3. How might the US central bank help the economy and companies?
4. Why are people feeling positive about the technology sector?
5. What are some benefits regular people are seeing from the stock market’s success?

✅ Answers

🤔✅ Comprehension Question Answers:

1. What is the S&P 500 and why is it significant that it reached a new all-time high?
The S&P 500 is an index that tracks the performance of big American companies in the stock market. It is significant that it reached a new all-time high because it shows that these companies are doing really well and that the stock market is strong.

2. What factors contributed to the S&P 500 reaching a new record high?
The S&P 500 reached a new record high because technology stocks did really well and people started feeling more positive about the economy. This led to more activity in the stock market and increased share prices.

3. How did the Dow Jones Industrial Average and the Nasdaq perform recently?
The Dow Jones Industrial Average reached a new record high last year because people were optimistic and buying shares. On Friday, it went up by 1%. The Nasdaq, which lists a lot of technology companies, went up by 1.7%, but it’s still about 4% lower than its highest point in 2021.

4. What does it mean to be in a bull market?
Being in a bull market means that share prices have been going up for a while. In this case, share prices have gone up by 35% since they hit rock bottom in October 2022. It is a positive sign for the stock market.

5. Why are investors hopeful about the US central bank’s actions?
Investors are hopeful about the US central bank’s actions because they believe the bank will be able to control inflation and possibly make changes to help the economy later this year. This could make borrowing money cheaper and lead to higher stock prices.

6. How does the growth of the technology sector relate to artificial intelligence?
The growth of the technology sector is related to artificial intelligence because there are many exciting developments happening in this field. Investors believe that the technology sector will continue to grow as more companies use artificial intelligence in their products and services.

7. How are regular people benefiting from the positive state of the stock market?
Regular people are benefiting from the positive state of the stock market in several ways. Their retirement and investment accounts are growing, gas prices are going down, and the prices of other things are not increasing as much. This means that people have more money and can afford more things.

8. What does the University of Michigan survey reveal about people’s confidence in the economy?
The University of Michigan survey shows that people’s confidence in the economy is the highest it’s been since 2021. It reveals a 21% increase in confidence compared to last year. This means that people are feeling more positive and optimistic about the state of the economy.
Go back to questions ⇧

🎧✍️✅ Listen and Fill in the Gaps Answers:

(1) companies
(2) stocks
(3) tough
(4) years
(5) shows
(6) economy
(7) doing
(8) central
(9) things
(10) positive
(11) sector
(12) getting
(13) confidence
(14) money
(15) cheaper
(16) regular
Go back to questions ⇧

📖💭✅ Vocabulary Meanings Answers:

1. inflation
Answer: (O) When prices for goods and services increase, and money buys less than before

2. optimistic
Answer: (M) Feeling hopeful and positive about the future

3. index
Answer: (B) A measurement or list used to track the performance of something, like stocks

4. artificial
Answer: (N) Made by humans, not natural

5. sector
Answer: (I) A part of the economy focused on a particular type of business or activity

6. bullish
Answer: (A) A market condition where prices are rising and people expect them to continue going up

7. peak
Answer: (C) The highest point or level something has reached

8. central
Answer: (F) The most important or main thing

9. survey
Answer: (H) A study to collect information about what a group of people think

10. accounts
Answer: (D) Records or statements of financial transactions

11. retirement
Answer: (E) The time in life when a person stops working and starts living off their savings or pension

12. benefits
Answer: (G) Things that are helpful or advantageous

13. confidence
Answer: (K) The belief that something will happen or be successful

14. investors
Answer: (J) People who put money into financial schemes, shares, property, or a commercial venture with the expectation of achieving a profit

15. economy
Answer: (L) The system that includes all the activities involved in the production and consumption of goods and services in a country or area
Go back to questions ⇧

🔡✅ Multiple Choice Answers:

1. What is the S&P 500?
Answer: (d) An index that tracks the performance of big American companies in the stock market.

2. Why did the S&P 500 reach a new all-time high?
Answer: (d) Technology stocks performed well and people became more positive about the economy.

3. What does it mean when the stock market is in a bull market?
Answer: (c) Share prices have increased significantly since hitting rock bottom.

4. Why are people feeling positive about the stock market?
Answer: (b) They believe the technology sector will grow due to advancements in artificial intelligence.

5. How have regular people benefited from the stock market’s performance?
Answer: (c) Their retirement and investment accounts have improved.

6. What did a survey from the University of Michigan show?
Answer: (a) People’s confidence in the economy is the highest it’s been since 2021.

7. What would happen if the US central bank were able to control inflation and make borrowing money cheaper?
Answer: (b) The economy and companies would benefit, and stock prices would increase.

8. How does the article describe the overall sentiment in the stock market?
Answer: (a) Investors and regular people are feeling positive about the future.
Go back to questions ⇧

🕵️✅ True or False Answers:

1. Investors are feeling less confident now that inflation has gone up and the chances of the economy going downhill have increased. (Answer: False)
2. This is not a big deal because it shows that we’re still in a tough time in the market two years ago when people were worried about inflation and how the economy would handle it. (Answer: False)
3. The index closed at 4,839.8, which is higher than the previous record set in January 2022. (Answer: True)
4. The S&P 500, which measures the performance of big American companies in the stock market, reached a new record high on Friday. (Answer: True)
5. The fact that the S&P 500 reached a new all-time high means that we’re in a bull market right now, with share prices up by 35% since hitting rock bottom in October 2022. (Answer: True)
6. The Dow Jones Industrial Average, which shows how the overall economy is doing, also reached a new record high last year because people were optimistic and buying shares. (Answer: True)
7. The Nasdaq, which lists many technology companies, went down by 1.7%, but it’s still about 4% higher than its highest point in 2021. (Answer: False)
8. This happened because technology stocks did really poorly and people started feeling more negative about the economy. (Answer: False)
Go back to questions ⇧