Reporters reported that Dow Jones Index The New York Stock Exchange closed higher on Friday (June 2, 2023) in response to expectations that The Federal Reserve (Fed) may halt interest rate hikes this month. After data released, wages in the United States grew moderately in May. The market also welcomed the US Congress passing a bill to raise the debt ceiling to avoid default.
The Dow Jones Industrial Average closed at 33,762.76, an increase of 701.19 points, or +2.12%, the S&P 500 closed at 4,282.37, an increase of 61.35 points, or +1.45%, and the Nasdaq closed at 13,240.77, an increase of 139.78 points, or +1.07%.
in this week The Dow rose 2.02%, the S&P 500 rose 1.82% and the Nasdaq gained 2.04%.
All 11 stocks of the S&P 500 ended higher, with leading materials gaining 3.4 percent and luxury shares gaining 2.2 percent.
The Nasdaq rose to a 13-month intraday high and is already gaining for the sixth week in a row. This was the longest consecutive gain since January. 2020
side US Department of Labor revealed on Friday that Non-farm payrolls rose by 339,000 in May. This was higher than analysts’ expectations of 190,000 jobs, which the market responded to the employment numbers. as it indicates a strong labor market Employment rose for the 29th consecutive month, with the May payroll in line with the 12-month average of 341,000.
At the same time, investors eased concerns about inflation. after revealing hourly wage figures This is the information the Fed pays attention to in looking for signs of inflation.
Workers’ average hourly wages rose 4.3 percent in May from a year earlier. That was below analysts’ expectations of 4.4% and month on month. Workers’ average hourly wages rose 0.3 percent, in line with analysts’ expectations.
Investors continue to weigh in on expectations that Fed to keep interest rates steady at June meeting After revealing the latest employment numbers
The CME Group’s FedWatch Tool shows investors are 71.3% weighing the Fed to hold interest rates between 5.00-5.25% at its June 13-14 meeting and 25.2% weighing in on a hike. Interest rate 0.25% to 5.25-5.50%
In addition, the market was also positive as investors eased concerns about the US debt default. After the House of Representatives and the US Senate approved a bill to increase the debt ceiling And US President Joe Biden is expected to sign the bill on Friday, ahead of the June 5 deadline.
The CBOE Volatility Index (VIX), a measure of investor anxiety in the US stock market. down on friday While investors are concerned about the US economy. The VIX plunged to 14.6 on Friday, its lowest level since November. 2021
On individual stocks, Amazon rose 1.2 percent, while telecom shares fell 3.2 percent, while AT&T and T-Mobile shed 3.8 percent and 5.6 percent, respectively, after the report. that Amazon.com company Inc. is negotiating with a US telecom provider to offer low-cost wireless communications to Amazon’s Prime subscribers.
Meanwhile, Nvidia Corp shares fell 1.1 percent, reversed the trend, falling for the second day in a row. After surging earlier on growing hopes about future artificial intelligence (AI) revenue.
for the market direction in the next period Investors will wait for the release of the US Consumer Price Index (CPI) on June 13 for signs of inflation before the Fed decides on interest rates at its June 13-14 meeting.
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