Wall Street doubled down on its bet that the worst of the economic damage has passed, sending stocks higher again on Friday despite another historic, crushing report on the job market.
Instead of looking backward at last month’s job losses, some investors focused instead on the prospect of growth resuming later this year. They bought stocks of retailers that laid out plans to reopen in coming weeks, energy companies that would benefit as people start driving again and banks that may skirt the worst-case avalanche of loan defaults.
More recently, even as horrific data confirmed the recession fears, investors have pushed stocks higher as countries and many U.S. states laid out plans to relax restrictions on businesses meant to slow the spread of the coronavirus outbreak.Many analysts are skeptical of the rally, though, saying the economy probably won’t recover nearly as vigorously and quickly as the stock market has.
Companies whose profits are usually most closely tied to the strength of the economy led the market higher. Energy producers in the S&P 500 jumped 4.3% for the biggest gain of the 11 sectors that make up the index. Industrial companies and financial stocks were also stronger than the rest of the market.The trio were the hardest-hit sectors earlier in the year on worries about the coming recession, which would cause demand for their products to vanish and saddle banks with bad loans.
Hoax!
I hate this newspaper. It's more like a Bel Air Times
it’s only half-way from the bottom...if we are lucky...
I've sometimes wondered how stockbrokers could have been so stupid in the run up to major crashes. I still don't understand how they can be so blitheringly stupid, but I guess I (along with the rest of you reading this) must be a pattern recognition savant.
I was trying to figure out what mass hypnosis traders and funds were under.
The stock market and everyone it are so dumb.
Wall Street knows they own our government and will get a bailout anytime they claim they’re struggling
Lol ... America is going down the drain and stocks are on the rise ... so the super rich are still making billions while the country that has made them rich is falling into chaos . So very corrupt .
Stocks are not the economy Do not let the media owned by rich corporations and the ultra wealthy fool you Stocks going up doesn’t mean shit for you, the avg American
Stocks rise on hopes that awful jobs report marks the bottom, and ignores the fact that the jobs report underlies a stark reality. Millions are delinquent and will be in default. WallStreet is in denial. The GreatDepression beckons.
It's not the bottom.
Wait till this virus really start spreading in rural communities. The lack of proper health care infrastructure there will make this so much worse.
Democrats: hold my wine cooler
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