Wall Street closed the week on a high note as the Dow Jones Industrial Average soared over 400 points following the release of a stronger-than-expected U.S. jobs report for April.
The index jumped 434.80 points, or 1.07%, marking one of its best daily gains in recent weeks and signaling renewed investor confidence in the U.S. economy.
According to the U.S. Labor Department, the economy added 177,000 jobs in April, comfortably beating economists’ expectations of 130,000.
The unemployment rate held steady at 4.2%, while wage growth remained moderate, easing inflation concerns and reducing pressure on the Federal Reserve to accelerate interest rate hikes.
Broad rally
The positive labor market data triggered a broad rally across major indexes. The S&P 500 gained 1.12%, while the tech-heavy Nasdaq rose nearly 1%, both supported by optimism in tech and industrial sectors.
Leading the Dow’s charge were Microsoft and NVIDIA, with strong investor sentiment tied to AI-related growth and solid earnings reports. Microsoft surged over 7% as enthusiasm around its AI product suite continued, while NVIDIA gained another 2.5% amid sustained demand for high-performance computing chips.
Apple decline
In contrast, Apple shares declined more than 3% despite better-than-expected earnings, weighed down by concerns over an estimated $900 million in additional tariff costs linked to U.S.-China trade tensions.
The rally was further fueled by reports suggesting potential progress in U.S.-China trade negotiations.
Talks around easing existing tariffs offered additional optimism, contributing to the day’s bullish momentum.
With solid job growth and easing inflation fears, investors appear cautiously optimistic about the economic outlook, positioning the Dow for further strength in the weeks ahead.
Also Read
More Money in Your Pocket: Social Security’s 2.5% Boost Explained
Social Security Benefits: Key Updates and What Beneficiaries Should Expect in 2025