(Reuters) - U.S. stock indexes jumped on Friday, with the Nasdaq Composite less than 1% away from a record high, on hopes of a faster economic rebound from a coronavirus-led slump after data showed surprise job additions in May.
Data from the Labor Department showed nonfarm payrolls rose by 2.509 million jobs last month after a record plunge of 20.687 million in April, and the unemployment rate unexpectedly fell to 13.3% in May from 14.7% in April.
“Today was a shocking jobs number and for the first time this year it was a positive shock,” said Chris Zaccarelli, chief investment officer with Independent Advisor Alliance in Charlotte, North Carolina.
“At 13.3%, we are still at a higher rate than any that we hit during the financial crisis in 2007-2009, but as long as that continues to move lower, it will show that the reopening of the economy is proceeding smoothly.”
The S&P 500 banks sub-index, considered interest-rate sensitive, jumped 5.8% as U.S. Treasury yields rose after the data. [US/]
Boeing Co gained 14.4%, the biggest boost to the Dow Jones index, on hopes of a pickup in air travel a day after American Airlines Group Inc and United Airlines said they would boost their U.S. flight schedule next month.
The NYSE ARCA Airline index also jumped 12.2%.
All major S&P 500 sector indexes rose, with the energy sub-index’s leading gains with a jump of 7.2%, while the defensive consumer staples index added the smallest gains.
Wall Street has rebounded sharply from a coronavirus-driven
