The Bulls Celebrate the Weak Jobs Report With a New All-Time High in the S&P 500
Today's financial recap and tomorrow's financial outlook.
US equity markets were relatively flat through most of today, but the S&P 500 surged into the close to make a new record high of 1709.67 -- despite generally lackluster economic data.
The widely-anticipated July employment report was delivered this morning, and disappointed relative to the solid ADP report from Wednesday. Nonfarm payrolls rose by 162K in July, less than the expected 175K, while last month's increase was revised down to 188K from 195K.
The unemployment rate came in lower than expected at 7.4% vs. the 7.5% consensus, but that was considered a negative because it came through a drop in the labor force.
Personal income saw month over month change of 0.3% vs the 0.4% anticipated by economists. Consumer spending rose 0.5%, which beat the 0.4% consensus. And finally, factory orders came in worse than expected at 1.5%.
Dell Inc. (NASDAQ:DELL) pushed 5.6% higher on the day after a buyout agreement between Michael Dell and the Dell special committee was reached.
LinkedIn Corp (NYSE:LNKD) shares rocketed 10.6% after reporting better-than-expected second-quarter earnings. Apple Inc. (NASDAQ:AAPL) showed continued strength after its earnings surprise last Tuesday, and finished the week up 4.9%.
The Nikkei 225 (INDEXNIKKEI:NI225) climbed 3.3% after the Japanese government released an upbeat economic forecast. The index finished the week up more than 4% in extremely volatile trading.Monday's Financial Outlook
The ISM services index will be released at 10:00 a.m. EDT on Monday. St. Louis Fed President James Bullard will be speaking at 11:45 a.m. EDT.@Minyanville
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