Stock rally rolls on fueled by jobs, trade progress
All three of the major averages rose in early trading.
|I:DJI||DOW JONES AVERAGES||26742.29||+386.82||+1.47%|
|I:COMP||NASDAQ COMPOSITE INDEX||8102.377598||+125.50||+1.57%|
Private employers added 195,000 jobs in August, according to the latest ADP National Employment Report, surging past analyst expectations of 149,000 even as recession fears continue to mount. Most hiring took place in the service-providing sector, with 184,000 new jobs created. Manufacturing hiring remained fairly steady, with 8,000 jobs added.
President Trump celebrated the “really good jobs numbers” in a tweet:
The data bodes well for the employment report due on Friday. Employers are expected to have created 158,000 jobs in August, slightly less than the prior month. The unemployment rate is expected to hold steady at 3.7 percent, according to Refinitiv estimates.
As for stocks in focus, General Motor shares rose as CEO Mary Barra heads to the White House to meet with President Trump. The two are expected to discuss trade and jobs among other issues.
|GM||GENERAL MOTORS COMPANY||39.13||+1.27||+3.35%|
In earnings news, Slack is getting slammed after reporting a bigger-than-expected loss while also indicating growth would likely slow in the second half of the year.
|WORK||SLACK TECHNOLOGIES INC.||29.96||-1.11||-3.58%|
Easing of tensions in Hong Kong also boosted markets as Hong Kong leader Carrie Lam withdrew an extradition bill that had led to months of violent protests.
In Europe, London’s FTSE traded lower by 0.6 percent, the German Dax added 0.9 percent and France’s CAC traded up by 0.9 percent.
FOX Business’ Ken Martin contributed to this report.