Markets > Stocks

U.S. stocks close higher as weak job data fuel rate cut hopes

NEW YORK
2019-06-08 05:21

Already collect

NEW YORK, June 7 (Xinhua) -- U.S. stocks closed higher on Friday after weak jobs data fueled hopes that the central bank will cut its benchmark interest rates soon.

The Dow Jones Industrial Average was up 263.28 points, or 1.02 percent, to 25,983.94. The S&P 500 gained 29.85 points, or 1.05 percent, to 2,873.34. The Nasdaq Composite Index climbed 126.55 points, or 1.66 percent, to 7,742.10.

U.S. job creation decelerated in May, with nonfarm payrolls edging up by only 75,000, the Labor Department reported on Friday. Economists surveyed by Dow Jones had been looking for a gain of 180,000.

The unemployment rate remained at 3.6 percent for the month, the report said.

According to the report, monthly job gains have averaged 164,000 in 2019, compared with an average gain of 223,000 per month in 2018.

The weaker-than-expected jobs data increased the chance of more accommodative monetary policy from the Federal Reserve.

The central bank officials have already signaled possibility of rate cuts.

Fed Chairman Jerome Powell said Tuesday that the bank is watching current economic developments and will do what it must to keep the near-record expansion going.

He said while the Fed does not know how or when the issues involving trade negotiations and other matters will be resolved, the central bank is closely monitoring the implications of these developments for the U.S. economic outlook. Enditem

Add comments

Latest comments

Latest News
News Most Viewed