Jun 10, 2019
U.S. Stock Market Climbs Higher
It was reported that in May 2019, the U.S. economy created 75,000 new jobs. This was far below the forecasted 185,000 jobs. On Wednesday, the ADP also reported that the private sector added only 27,000 nonfarm jobs in May 2019. This marked the weakest growth since March 2010. As a result of this report, there is much anticipation that the Federal Reserve may cut interest rates in the near future. In addition, investors are worried about a recession, especially as the trade tensions between the U.S. and China persist.
Interestingly, bad economic news, such as the latest job report, is positive for stock markets since it may prompt the Federal Reserve to lower interest rates soon. On Friday, the major market indexes were up with the tech sector leading the increase. The Nasdaq Composite is up 1.66%, while Apple stocks are trading 2.66% higher. Global traders and investors are now focusing on if the U.S. stock market will be successful in reaching new highs again this year.