S&P 500 Extends Record After Strong NFP
US stocks were higher on Thursday after fresh evidence of a robust labor market consolidated the view of a resilient economy. The three main indices were around 0.5% higher, with the S&P 500 and the Nasdaq reaching new records. Non-farm payrolls rose by 147K in June, well above expectations of a 110K gain, while the unemployment rate unexpectedly dropped to 4.1%.
The data pushed back against concerns that tariffs and economic uncertainty had hampered employment, underscoring the resilience of the US economy. In turn, representatives in the lower House cleared a hurdle to be on track to pass Trump's tax and spending bill, seen as expansionary to US fiscal policy. Also, reports indicated stalled trade negotiations ahead of next week's deadline following the confirmation of 20% tariffs on Vietnam.
Cadence Design and Synopsys jumped 5% after the White House lifted controls on chip design exports to China. Also, Datadog jumped 10% as it was added to the S&P 500, replacing Juniper Networks.
Source: Trading Economics
