(New York) The New York Stock Exchange initially opened slightly lower on Friday before recovering, surprised by the robustness of the labor market in the United States which created more jobs than expected in November and pushed down the unemployment rate.
The Dow Jones index advanced 0.28%, the tech-heavy NASDAQ rose 0.34% and the S index
The day before, the Dow Jones closed up 0.17% at 36,117.38 points. The NASDAQ index gained 1.37% to 14,340 points and the broader S index
The job market was much stronger than expected in November in the United States, with 199,000 hires, up from 150,000 in October, according to figures published shortly before the market opened. by the Department of Labor.
It is also more than the 175,000 job creations that were expected, according to the Briefing.com consensus. As for the unemployment rate, it has started to fall again, to 3.7%, after an increase in October.
These figures pushed bond yields higher, with the ten-year rate climbing to 4.23% from 4.14% the day before.
In any case, the vitality of the job market does not seem to change the situation for the next monetary meeting on Tuesday and Wednesday where, according to market forecasts, the Fed should still leave rates unchanged. According to CME Group calculations on futures products, 98% of investors expect rates to remain unchanged.
“The employment growth trend will continue to be weak. The economy is expected to border on recession. But with a rapid normalization of inflation, the Fed will change its tune and reduce its rates next spring,” assured Paul Ashworth of Capital Economics.
On this point, CME Group projections show a large majority of investors counting on a Fed rate cut from May.
At the coast, eight sectors out of the eleven of the S
Photovoltaic equipment company First Solar shone (2.85%) after being given a good rating by Morgan Stanley analysts.
Shares of dematerialized document company Docusign fell almost 2% despite better-than-expected quarterly results with revenue of more than $700 million, up 9% year-on-year.
Yoga clothing and sports equipment maker Lululemon gained 2.48% although it reduced its sales forecast for the last quarter, which will still increase by 13 to 14%.
On the NASDAQ, Alphabet (Google) lost 0.80%, but Snap, parent company of Snapchat, climbed 3.52%, Pinterest also while videoconferencing specialist Zoom advanced almost 2%.
