Wall Street Higher Despite Badly Disappointing Job Report
The stock exchanges in New York have started the new trading day positively during the last session of the week. Investors processed a badly disappointing job report from the US government.
It showed that 266,000 jobs were added in April, taking into account the growth of almost 1 million jobs.
Unemployment in the US rose in April to 6.1 percent of the labour force. A month earlier, that was 6 percent. After the report was published, interest rates fell sharply, which was good news for tech companies, among others.
Tech gauge Nasdaq gained 0.7 percent in early trading to 13,733 points. The leading Dow-Jones index seemed on track to set another record in the books ahead of the jobs report. But the job figure frightened investors, and the indicator opened in the minus. It was quickly erased and after fifteen minutes of trading, there was a plus of 0.3 percent on the boards with a score of 34,654 points. The broad S&P 500 won 0.1 percent to 4203 points.
Pharmaceuticals Pfizer and BioNTech have started a procedure to authorize the corona vaccine in the US for people aged 16 years and older. This makes the pharmaceuticals the first to apply for a full license for the drug. The Pfizer stock won 1.6 percent. BioNTech was heading 6 percent higher.
Beyond Meat also dropped almost 7 percent. The loss of the maker of meat substitutes turned out to be much higher than what experts had generally expected. The company was also unable to meet the average expectation in terms of turnover. According to Beyond Meat, the crisis has reduced demand for its products in stores and restaurants.
Twitter boss Jack Dorsey’s financial services provider Square came up with better-than-expected results, winning 5.6 percent. The company benefited, among other things, from a growing demand for bitcoin transactions. Cloud storage service Dropbox (plus 1.3 percent) also convinced investors with its trading update.
Furthermore, the maker of fitness equipment Peloton Interactive was in the spotlight with a plus of 9.6 percent. The company warned that the treadmill recall is leaving the company with a cost of $ 165 million. Earlier, a child was killed in an accident with a Peloton treadmill. The company did, however, achieve good results and saw even more growth opportunities.