Major market indices began the day Friday slightly up, recovering from a massive tech sell-off on Thursday. Investors were encouraged Friday by positive U.S. unemployment numbers.
The Dow Jones Industrial Average was up 166 points, or 0.59%, to 28,459, the S&P 500 gained 0.47% and the Nasdaq rebounded from Thursday's rout and rose 0.41%.
The U.S. economy added 1.37 million jobs in August, against economists' expectations of 1.2 million. The unemployment rate now stands at 8.4%, a massive drop from above 15% earlier this summer. The jobs report is another comforting signal to investors that the economy is continuing on its fast track to a full recovery.
"The market should view these numbers as positive and while we may continue to see a correction in the technology and technology-related stocks, there are still plenty of opportunities in companies that were more adversely impacted by the pandemic and are continuing to improve," said Chris Zaccarelli, chief investment officer for Independent Advisor Alliance.
Economically-sensitive stocks like airlines, oil and banks were up between 1% and 2%. The 10-Year Treasury Yield rose to 0.66% from 0.63% as inflation expectations rose a touch. One question from here is whether fiscal stimulus will be sufficient enough to support continued job gains.
Stocks declined the most since early June on Thursday as tech shares such as Apple (AAPL) - Get Report, Amazon.com (AMZN) - Get Report and Tesla (TSLA) - Get Report slumped sharply. Apple saw a record $180 billion erased from its market valuation on Thursday, the most any U.S. company has ever lost in a single trading day.
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