On the New York Stock Exchange (NYSE) on the 7th (Eastern Time), the Standard & Poor’s 500 index closed at 4,232.6, up △ 30.98 points (0.74 percent) from the previous session.
The Nasdaq 100 index closed at 13,719.63, up △ 105.9 points (0.78%) from the previous session.
The tech-heavy Nasdaq index rose △ 119.39 points (0.88%) from the previous session to close at 13,752.24.
The Dow Jones industrial average rose △ 229.23 points (0.66 percent) to close at 34,777.76
the Dow and the S&P 500 index hit record highs, while the Nasdaq index rose 1.4 percent during the day before shrinking its gains.
Stock market investors paid attention to April employment indicators released before the opening as NYSE closed
New U.S. employment in April fell far below market expectations, suggesting that employment momentum is slowing.
However, concerns that the Federal Reserve will raise interest rates earlier than expected have decreased significantly due to sluggish indicators.
As a result, tech stocks expanded their gains, driving the entire index.
The U.S. Department of Labor reported a 266,000 increase in non-agricultural employment in April. The figure is far below the market estimate of 1 million people tallied by the Wall Street Journal (WSJ.
Employment in March was revised down from 916,000 to 770,000, while employment in February was raised from 468,000 to 536,000.
Unemployment rose to 6.1 percent, up from 6.0 percent in the previous month. Analysts expect unemployment to fall to 5.8 percent in April.
Goldman Sachs predicted 1.3 million new jobs in April, and Morgan Stanley also predicted an increase of 1.25 million. Jefferies had predicted the most of 2 million.
Compared to the forecast, 266,000 economists were shocked.
“The April employment report showed the importance that monetary policy should be based on results, not prospects,” Minneapolis Federal Reserve Governor Neil Casikari said shortly after the announcement of the employment report.
He stressed that inflationary pressure would be temporary and that there was no reason to change easing monetary policy.
U.S. President Joe Biden said the April employment letter showed that there was still a long way to go. “It clearly showed how much action we need to take.”
Treasury Secretary Janet Yellen also said about the index, “Today’s figures show that it is not over yet because our economy continues to recover.”
“Our economy has suffered a very unusual blow and the way back will be a little bumpy,” Yellen said.
Concerns over inflation or the Fed’s early tightening have eased as employment growth is well below expectations.
Bank of America (BOA) said in a previous report that strong economic indicators could hurt the stock market, especially tech stocks, because the Fed could reverse its easing monetary policy.
Interest rates have since rebounded at 1.564 percent, but this is at the bottom of the box office, which has been traded in recent weeks.
Interest rate-sensitive technology stocks rebounded quickly, and economic sensitivity and value stocks slowed down, but they quickly reduced their fall afterward.
Microsoft and Tesla rose more than 1%, while Apple and Google’s parent company Alphabet’s share price rose by 0.5 to 0.6%.
Energy-related stocks rose by 1.9%, while real estate and industrial stocks all rose by more than 1%. All 11 industries rose, with technology stocks rising by 0.8%.
The Volatility Index (VIX) fell 1.70 points (9.24%) to 16.69 on the Chicago Option Exchange (CBOE) from the previous session.
