Stock Market Update Friday, June 5th, 2020
Today it was all about jobs.
And to put it bluntly, traders were SHOCKED with this morning’s Jobs Report!
According to Yahoo Finance, more than 2.5 million jobs were added in May. But traders were expecting 8 million job losses instead!
The big jump in jobs put the unemployment rate at 13.3% (vs. the 19.7% that was expected).
After the surprising jobs data, stocks opened the day with a bang and never looked back!
The NASDAQ hit new highs early in the morning. And the DOW jumped 850 while the S&P saw an 85 point gain before lunch.
After the huge jump this morning trading was sideways in the afternoon. There was a small pullback in into the close, but stocks still ended the day with a big win.
Here’s where the major indices ended the day.
- The S&P finished higher by 2.6%. Up 82 points, the S&P ended at 3,194.
- The DOW ended with a 3.2% gain. Adding 829, points the DOW closed at 27,111.
- The NASDAQ ended higher by 2.1%. Adding 198 points, the NASDAQ finished at 9,814.
Crude Oil (CL) had a great day as well. Up 5.4%, CL ended the day at $39.44 a barrel. OPEC is set to meet this Saturday and traders are hoping that OPEC will extend production cuts.
The airlines and cruise lines had another great day! How come?
American Airlines (AAL) soared another 11.2%. The rally continued on news that the company expects a sharp increase of flights in July as coronavirus lock downs are lifted.
United Airlines (UAL) ended another positive day up 8.5% for the same reason.
Norwegian Cruise Line Holdings (NCLH) is no longer dead in the water! The stock ended higher by 14.7% as the positive jobs report hinted at a quicker recovery.
News of 2 billion coronavirus vaccines helped with today’s optimism. There were reports that Astrazeneca (AZN) has the potential to produce over 2 billion doses of their new vaccine “AZD1222”. This new vaccine is expected to be approved by the FDA by the end of the year, so get ready!
On another note, JC Penney’s (JCP) announced they would be closing 154 stores this summer, nationwide. There were also reports that private equity firm Sycamore Partners is considering buying JC Penney if the department store’s negotiations with creditors fails. The penny stock ended the day 55% higher.
Here is the economic calendar for the week:
Real Time Economic Calendar provided by Investing.com.
This Stock Market Update was provided by Rockwell Trading Services LLC.