05.09.202513:41:15UTC+00S&P 500 and Nasdaq Hit Fresh Highs

U.S. stocks experienced an upswing on Friday, with the S&P 500 rising by 0.4% and the Nasdaq advancing by 0.6%, marking new record highs. Meanwhile, the Dow Jones saw an increase of nearly 100 points. This positive movement came in response to a weak jobs report that bolstered expectations for Federal Reserve rate cuts this year. In August, the U.S. economy added a mere 22,000 jobs, significantly missing the forecasted 75,000, while the unemployment rate climbed to 4.3%, the highest level since 2021, aligning with estimates. These numbers highlighted a sluggish labor market, thereby strengthening predictions that the Federal Reserve may reduce rates later this month; the market currently anticipates an easing of approximately 66 basis points by 2025. Within market sectors, real estate showed notable outperformance, whereas the energy sector lagged. On the corporate scene, Broadcom surged by 13% following robust quarterly results. However, Nvidia saw a decline of 2.6%, and Lululemon fell nearly 18% after issuing weak guidance, attributing challenges to pressure from tariffs impacting profitability. Over the course of the week, the S&P 500 has risen by 0.7%, the Nasdaq by 1.2%, and the Dow by 0.2%.