Last Update: May 06, 2023, 02:07 AM IST
Wall Street stocks rose on Friday, breaking a four-day losing streak after strong US jobs data and a rebound in regional banking stocks.
The Dow Jones Industrial Average rose 1.7 percent to 33,674.38.
The broad-based S&P 500 climbed 1.9 percent to 4,136.25, while the tech-rich Nasdaq Composite Index rose 2.3 percent to 12,235.41.
The gains came after the government’s April jobs report showed the United States added more than expected 253,000 jobs last month, up from 165,000 in March. Unemployment returned to 3.4 percent, a very low level by historical standards.
Equally important, beaten-down regional banking stocks soared, with many of the most entrenched names racking up huge gains.
Shares of Western Alliance Bancorporation gained 49.2 percent, while PacWest Bancorp soared 81.7 percent. Zions Bancorporation added 19.2 percent.
Analysts said the jobs data revived hopes that the US economy could achieve a “soft landing” and avert a deep recession.
“Today’s numbers, combined with the rebound in regional banks, provide some relief that the conditions we are seeing in the economy are not a recession,” said Angelo Kourkafas, investment strategist at Edward Jones.
“We’re not even in a recession. We’re slowly creeping into a recession, if you will.”
Apple jumped 4.7 percent after reporting quarterly profit of $24 billion on revenue of $94.8 billion.
This came on the back of strong iPhone and services sales despite inflationary pressures.
Travel website company Expedia rose 4.9 percent as it reported a 20 percent increase in total gross bookings, pointing to continued strong travel demand.
But ride-hailing firm Lyft sank 19.3 percent as it reported second-quarter revenue below analysts’ expectations. Observers also expressed disappointment over the company’s plan to cut prices.
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(This story has not been edited by News18 staff and is published from a syndicated news agency feed)
