US: Stocks close mostly higher after jobs report
US stocks mostly advanced on Friday (Sep 1), as traders digested a weaker jobs report that raised the chances of an end to Federal Reserve interest rate hikes in the coming months.
The Dow Jones Industrial Average finished 0.3 per cent higher at 34,837.71, while the broad-based S&P 500 rose 0.2 per cent to 4,515.77.
The tech-heavy Nasdaq Composite Index, meanwhile, was almost flat at 14,031.81.
The Fed has raised interest rates 11 times since March last year to tackle above-target inflation, and it is widely expected to hold rates steady at its next meeting later this month.
The US central bank has indicated that it plans to maintain a tight monetary policy until it sees evidence that the labour market is coming into better balance after a post-pandemic surge in demand for workers.
The jobs report published Friday showed a bigger increase in the unemployment rate than expected last month, alongside a slowdown in wage growth.
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This is good news for traders hoping for an end to Fed interest rate hikes sooner rather than later.
“If you look at the report, there was a little bit of something for everyone,” Tom Cahill from Ventura Wealth Management told AFP.
“There was some indication that the jobs market is slowing, and that’s good,” he said. “But when you look at average hourly earnings year-over-year at 4.3 per cent, that was pretty much in line with expectations.”
Among individual stocks, the computer firm Dell saw its share price surge by more than 20 per cent after beating earnings expectations.
And shares in athletic apparel maker Lululemon rose by more than 6 per cent after it raised its earnings guidance on a strong second-quarter performance in China. AFP
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