S&P 500 Rises 0.9% as 29,000 Jobs Cut Fed Hike Odds to 18%
Updated
Updated · St. Paul Pioneer Press · Oct 2
S&P 500 Rises 0.9% as 29,000 Jobs Cut Fed Hike Odds to 18%
3 articles · Updated · St. Paul Pioneer Press · Oct 2
Summary
U.S. stocks climbed Friday, with the S&P 500 up 0.9% and within 0.8% of its August record, while the Nasdaq gained 1.3% and the Dow added 320 points.
Payrolls increased by 29,000 last month, far below August’s 133,000 and economists’ expectations, easing fears that a too-hot economy would keep inflation pressure elevated.
Fed-rate bets shifted quickly after the report: traders cut the implied chance of an October hike to 18% from 64% a week earlier, helping the 10-year Treasury yield fall to 5.20% from near 5.35%.
Lower yields boosted rate-sensitive growth shares, with Nvidia rising 2.1%, while Nike fell 6.1% after weak revenue and a softer profit outlook.
Oil also relieved pressure on bond markets, with Brent crude down 2.6% to $99.64, even as investors still face broader worries about heavy government borrowing and debt.