Stocks Rally as U.S. Jobs Report Exceeds Expectations
Wall Street closed the week on a high note, thanks to a strong U.S. jobs report.
The dow Jones Industrial Average jumped 443 points, or 1.05%, leading Friday’s gains. The S&P 500 rose 1.03%, surpassing the 6,000 mark for the first time as February. The Nasdaq Composite climbed 1.2%, fueled by tech stocks’ recovery.Weekly gains were notable, with the S&P 500 and Dow up over 1%, and the Nasdaq gaining more than 2%.
The U.S.economy added 139,000 jobs in May,exceeding the 125,000 estimate. The unemployment rate stayed at 4.2%, and wage growth was slightly better than expected. This suggests a resilient labor market despite trade tensions and political uncertainties.
Despite the positive data, President Trump urged the Federal Reserve to cut interest rates by a full percentage point, criticizing Fed Chair Jerome Powell. Though, markets see no chance of a cut at the June meeting.The odds of a September cut fell from 74% to 62% after Friday’s report. Trump also announced U.S.-China trade talks will resume in London next week, led by Treasury Secretary Scott Bessent.
next week, inflation data and the Fed’s June policy meeting will be key. the strong jobs report may impact these decisions.
Key points:
- U.S. economy added 139,000 jobs in May.
- Trade talks with China will restart next week.
- Next week’s trading will focus on inflation data and the Fed’s June meeting.
