Stocks in the US close the week on a high note following strong earnings and a favorable jobs report

At Extreme Investor Network, we strive to provide our readers with unique and valuable insights into the world of finance. Let’s take a deeper look at the recent surge in US stocks that occurred on Friday, driven by a combination of solid earnings reports and economic indicators.

US stocks experienced a significant rally on Friday, with the Nasdaq 100 closing higher by approximately 1% for the week. The catalysts for this surge included a strong Apple earnings report and a weaker-than-expected April jobs report, which raised expectations for a potential interest rate cut from the Federal Reserve later in the year.

In April, the US economy added 175,000 jobs, falling short of economists’ predictions of 238,000 jobs and significantly lower than the 303,000 jobs added in March. The unemployment rate also rose to 3.9% from 3.8%, with the slowest year-over-year wage growth since June 2021. This unexpected data alleviated concerns about wage pressures and reignited discussions about potential rate cuts.

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TradeStation market strategist David Russell commented, “The case for rate cuts got a little stronger today. Goldilocks could be making a comeback.” This sentiment was reflected in the bond market, with the 10-year Treasury note dropping 8 basis points to 4.50%.

Apple’s impressive performance also contributed to the stock market rally, as the tech giant reported better-than-feared second-quarter earnings and announced a historic $110 billion stock-buyback program. Investors responded positively to these developments, driving Apple’s stock price up by about 7%.

At the closing bell on Friday, key US indexes reported significant gains. Additionally, in commodities, bonds, and crypto markets, West Texas Intermediate crude oil and Brent crude experienced declines, while gold prices and Bitcoin saw mixed movements.

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As your trusted source for financial news and analysis, Extreme Investor Network is dedicated to providing you with unique insights and expert commentary on the latest market trends. Stay tuned for more updates and analysis on the evolving landscape of finance.

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