US indexes trim their losses heading into the weekend as an upbeat employment report feeds into market optimism despite the overall news and headline risk shocks that have been plaguing the markets over the last month.
According to the Bureau of Labor and Statistics, 136,000 jobs were added in September. Although this figure was less than the 145,000 that economists had expected, the wage increase slower than expected, the current unemployment rate hasn’t been any lower since 1969–a 50-year low.
Some analysts see the current US economic environment as an ideal context for further rate cuts, as the economy is neither too hot nor too cold.
Currently the Dow is up 228 points, the S&P 500 gained 0.96% and the Nasdaq Composite advanced 1.01%. The Tech sector was the best performing market mover in the S&P 500 as Apple advanced 1.9% on reports that the company is ramping up iPhone 11 production by 10%.
Overall, the increase hopes and expectations for further Fed rate cuts is what’s fueling the market. The markets are also awaiting Jerome Powell’s speech later today at 2pm ET.
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