Stocks climbed Thursday New labor market data It boosted investor confidence in the U.S. economy after a sharp market selloff earlier this week.
The latest weekly jobless claims came in lower than expected, helping to ease recent concerns about the strength of the labor market. The U.S. Department of Labor reported Thursday that 233,000 people filed initial claims for unemployment benefits last week, down 17,000 from the previous week and below the Dow Jones estimate of 240,000.
Following the jobless claims data, the 10-year Treasury yield fell back below 4%, where it had been before Friday’s disappointing July jobs report sent markets reeling.
pharmaceutical giant Eli Lilly and Company It surged about 12% after the release. Profit better than expected It also raised its full-year forecast for strong demand for diabetes treatment Mounjaro and obesity drug Zepbound. at the same time, Warner Bros. Discovery and Bumble Every trade slides in extended trade after weak report second season Income results.
The moves came after stocks failed to hold on to an early rally on Wednesday, raising concerns that the factors that led to Monday’s sell-off have not yet faded. this S&P 500 Index down 0.8%, Nasdaq Index down 1.1%. 30 stocks Dow Chemical down 0.6%.
All three averages have declined in four of the past five sessions.
Joseph Ferrara, investment strategist at Gateway Investment Advisers, said the recent market volatility could be a preview of the rest of the year. Ferrara told CNBC on Wednesday that economic concerns, geopolitical conflicts and the upcoming November elections could make investors nervous in the coming months.
“Given all of these factors and more – some known, some unknown – I think investors should adjust their portfolios, maybe not defensively, but for the period between now and then,” Ferrara said. Be prepared for increased volatility toward the end of the year Gateway is a Natixis affiliate.
“I think investors are still trying to understand the state of the U.S. economy and the financial health of companies. I think consumers are going to be in a lot of the headlines between now and the end of the year,” Ferrara added.
