US stocks almost rise after seeing initial weakness

Stocks rose most during Thursday’s trading day, more than offsetting the weaknesses seen early in the session. With the upward movement, the Dow hit a new daytime high.

Currently, all major averages are in the positive territory, but tech-heavy Nasdaq is only 14.12 points, or 0.1% higher to 13,596.55. The Dow was up 177.93 points or 0.5 percent at 34,408.27 and the S & P 500 was up 15.90 points or 0.4 percent at 4,183.49.

The strength that emerged on Wall Street follows the release of a Labor Ministry report showing that the first claims for US unemployment benefits fell far below expectations in the week ending May 1.

Initial unemployment claims fell to 498,000, down 92,000 from last week’s revised level of 590,000, according to the report.

Economists expected the first unemployed bill to drop from 553,000, which was originally reported last week, to 540,000.

Greater than expected declines have reduced unemployed claims to their lowest levels since the early days. Coronavirus Pandemic.

“Since the beginning of April, complaints have fallen by 33%, further confirming that the labor market is recovering well,” said Nancy Vanden Horten, lead economist at Oxford Economics. “We look forward to more evidence of that recovery in tomorrow’s April employment report.”

On Friday, the Ministry of Labor will release a more closely monitored monthly employment report for April.

Economists now expect a surge in employment of 978,000 in April after a surge in 916,000 jobs in May. The unemployment rate is also expected to drop from 6.0% to 5.8%.

Optimism about the economic outlook seems to have masked concerns about potential monetary tightening that squeezed stocks earlier in the day.

Sector news

Gold inventories surged during the session, resulting in a 4.3% surge due to the NYSE Arca Gold Bug Index.

Gold stocks rose as precious metal prices rose sharply, with gold delivered in June jumping from $ 31.20 to $ 1,85.50 per ounce.

Steel stocks are also showing great power, as reflected in the 2% rise in the NYSE Arca Steel Index. The index reached its highest daytime level again in almost 10 years.

Telecom and network stocks are also on the rise on the day, but securities firms and natural gas stocks are still weak.

Other markets

In overseas trading, stocks market Various performances were seen throughout the Asia Pacific region during Thursday’s trading. Japan’s Nikkei 225 Index rose 1.8% and China’s Shanghai Composite Index fell 0.2%.

Meanwhile, all major European markets have moved upwards during the session. The UK’s FTSE 100 index rose 0.5%, while the French CAC 40 index and the German DAX index rose 0.3% and 0.2%, respectively.

In the bond market, government bonds are expanding the upward trend seen in the last few sessions. As a result, the yield on benchmark 10-year bonds, which move in the opposite direction of the price, drops 1.8 basis points to 1.566%.

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US stocks almost rise after seeing initial weakness

Source link US stocks almost rise after seeing initial weakness

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