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Stocks rose on Friday as Wall Street digested a better-than-expected nonfarm payrolls report for April, which eased recession fears and put the S&P 500 on pace for its longest winning streak in just over two decades.
The Dow Jones Industrials popped 581.58 points, or 1.4%, to 41,334.54.
The much broader index rose 89.66 points, or 1.6%, to 5,693.80. If the S&P 500 closes higher, that would mark its longest winning streak since November 2004.
The NASDAQ Composite soared 317.89 points, or 1.8%, to 18,027.61.
With Friday’s gains, the S&P 500 has now recovered its losses since April 2, when President Donald Trump announced his “reciprocal” tariffs. This comes a day after the tech-heavy NASDAQ accomplished the same feat.
Thus far, all three major averages are on pace for their second winning week in a row. The S&P 500 is on pace to rise 2.3% this week, while the Dow is on track for a 2.5% advance. The NASDAQ is up 2.7% week to date.
The Street was also mulling over earnings reports from two “Magnificent Seven” members. Apple slid 3% after posting fiscal second-quarter revenue from its services division that fell short against analyst estimates.
Additionally, the iPhone maker said it expects to add $900 million in costs in the current quarter due to tariffs. Meanwhile, although Amazon’s first-quarter results came in better than expected, shares were almost 1% lower after the company issued light guidance, highlighting “tariffs and trade policies” as factors.
Payrolls grew by 177,000 in April, above the 133,000 that economists polled by Dow Jones had anticipated. That figure is still down sharply from the 228,000 added in March but much better than feared after recession worries grew last month. The unemployment rate stood at 4.2%, in line with expectations.
Investors were already upbeat prior to the strong jobs report after China said that it is evaluating the possibility of starting trade negotiations with the U.S.
Still, Chinese authorities reaffirmed their belief that the U.S. should remove all unilateral tariffs, saying in a statement that “if the U.S. wants to talk, it should show its sincerity and be prepared to correct its wrong practices and cancel the unilateral tariffs.”
Prices for the 10-year Treasury fell sharply, raising yields to 4.32% from Thursday’s 4.21%. Treasury prices and yields move in opposite directions
Oil prices sagged 77 cents to $58.47 U.S. a barrel.
Prices for gold restrengthened $20.80 to $3,243 U.S.
