Wall Street Rises to Add to Last Week’s Gains

 

World shares tracked Wall Street’s advance today, fueled by cooler-than-expected U.S. employment data. Last week, Wall Street had its best day in more than two months, and today’s gains further contributed to the positive momentum.

Key Highlights:

1. U.S. Markets:

   • The S&P 500 climbed 1% today, adding to last week’s gains.
   • The Dow Jones Industrial Average rose 0.5%.
   • The Nasdaq composite surged 1.2%.
   • Treasury yields remained steady in the bond market.

2. Global Markets:

   • European markets started the day with gains. Germany’s DAX edged 0.1% higher, and the CAC 40 in Paris also saw modest gains.
   • Asian markets performed well, with the Hang Seng in Hong Kong closing 0.4% higher and the Shanghai Composite index surging 1.2% after a weeklong holiday.
   • Australia’s S&P/ASX 200 rose 0.7%, and Taiwan’s Taiex gained 1%.
   • Markets in Tokyo and South Korea were closed for holidays.

3. U.S. Employment Data:

   • The latest private sector survey showed that China’s services sector grew at a slower pace in April due to rising costs, although new orders rose and business sentiment improved.
   • The U.S. added 175,000 jobs last month, down sharply from March’s blockbuster increase of 315,000. Average hourly earnings also rose less than expected.
   • The modest increase in hiring suggests that the Federal Reserve’s aggressive rate hikes may be impacting the economy, potentially leading to a shift in interest rate policy.

4. Tech Stocks:

   • Friday’s market rally was widespread, with technology stocks leading the gains.
   • Apple jumped 6% after announcing a mammoth $110 billion stock buyback, despite reporting its steepest quarterly decline in iPhone sales since the pandemic began.

In summary, Wall Street’s positive performance today reflects optimism fueled by economic data and strong tech sector gains. Investors are closely watching the Federal Reserve’s next moves as they consider potential interest rate adjustments.