Skip to comments.Dow surges nearly 1,000 points after jobs report shows surprise jump in payrolls, fall in unemployment rate
Posted on 06/05/2020 10:11:54 AM PDT by SeekAndFind
Stocks rose sharply Friday after the U.S. May jobs report showed a surprise 2.5 million jump in payrolls and a drop in the unemployment rate to 13.3% as businesses began to reopen from the COVID-19 pandemic lockdowns.
How are benchmarks performing?
The Dow Jones Industrial Average US:DJIA jumped 950 points, or 3.6%, to 27,226, while the S&P 500 US:SPX rose 88 points, or 2.9%, to 3,201. The Nasdaq Composite US:COMP advanced 191 points, or 2%, to 9,807 and was briefly trading above its record closing level of 9,817.18 set on Feb. 19.
The Nadaq-100 US:NDX , meanwhile, rose 171 points, or 1.8%, to 9,800, setting a second consecutive intraday high.
For the week, the Dow is on pace to rise 7.3%, the S&P 500 5.2% and the Nasdaq 3.4%.
Whats driving the market?
The U.S. May unemployment rate fell to 13.3%from 14.7%, though the Bureau of Labor Statistics said the rate would have been 3 points higher if households had answered their forms correctly. The loss of jobs in April was revised up to 20.7 million from 20.5 million.
Economists polled by MarketWatch had predicted the loss of 7.25 million jobs and a May unemployment rate of 19%.
At the very least, this report affirms that the economy is on the mend and employees are coming back to work after being temporarily unemployed as the unemployment rate declined from 19% to 13.3% with the participation rate moving higher, said Charlie Ripley, senior investment strategist for Allianz Investment Management, in emailed comments. Ultimately, this report provides additional confirmation for risk asset investors who are betting on a faster recovery of the economy.
But market watchers cautioned against reading too much into the data, as well.
(Excerpt) Read more at marketwatch.com ...
...then the riots started
I’ve got to go home tonight and check my 401K.
The market investors factor everything in to collectively figure out the value of the market. These are great economic numbers considering all the Wuhan Virus damage, but I have to think investors are also happy that public opinion is turning strongly against the rioters and looters, hence better odds for Trump in the upcoming election.
RE:...then the riots started
The riots have been there for 5 days. These have already been factored in.
Watch the spin by democrats. These jobs gains, were jobs that were never lost and were on hiatus, according to democrats. Yet, the millions of jobs being lost during the pandemic were the result of Trump’s clueless economic policies; according to democrats.
The riots are about over. After 10 days of wilding, it has now become work, and the participants are tired. Besides, the weather’s turned hot.
Isn’t there supposed to be a big riot (err protest) in D.C. on the weekend (up to a million) or am I wrong?
The good news in all of this that when Trump began his live speech this morning the Dow was up 2.43%. It has continued it climb during and after this speech. But let’s don’t be too optimistic, there could be some short-term profit taking this afternoon.
One stock I jumped on back in March was CBRL.
They said today 70% of their laid off workers are back on the job.
May jobs report.
Only about 6 days of May included in that.
Perhaps they’re ignoring it and hoping it’ll all pass.
But that doesn’t account for all the damage done all over the country.
Erasing losses on last three months, heading in the direction of February’s highs.
Now then, this appears to be based on expectations more than companies financial results, so holding the gains will depend on performance over the next few months, or some of the gains will be pulled back.
Now that everyone realizes the lockdown was a hoax, they will be going back to work.
Anyone arrested for looting our cities should not be hired until they’ve had sensitivity training. Same with antifa. If their liberal ‘elite’ parents throw them out of the basement or quit paying for their 20 year ‘college’ experience
Let the psychopaths who burned our cities get ‘job training’ instead.
There’s hundreds of rip off ‘job training’ non-profits in the black community... that’s where these people belong.
Damn it anyways. This market just refuses to correct.
Have faith...it will be back as it was on Feb 19th
Trump..."It's not a V shaped recovery
it's a Rocket Recovery."
I know it will come back, just hoping sooner rather than late. BTW, I’ve only lost about $30K on paper.
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