Newscasts - US stocks rise as jobs data boosts rate-cut hopes

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10/05/2024 24:06

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Source: 'Reuters - Business videos'

Description: The Dow Jones Industrial Average ended higher on Thursday, the
seventh straight daily advance for the benchmark, as all three major U.S.
indexes gained after weekly jobless claims data offered fresh hope for
interest-rate cuts. Alex Cohen produced this report.
Short Link: https://refini.tv/44xVJKb

Video Transcript:

Wall Street closed higher Thursday after weekly jobless claims data offered
fresh hope for interest-rate cuts. The Dow rose nearly 0.9%, its seventh
straight day of gains, the S&P 500 added 0.5%, and the tech-heavy NASDAQ
climbed almost 0.3%. The number of Americans filing new claims for
unemployment benefits increased more than expected to a seasonally adjusted
231,000 last week. It follows data last week showing slowing job growth in
April and job openings falling to a three-year low in March. This has renewed
hopes the US Federal Reserve will reduce its benchmark interest rate as soon
as September. The Wealth Consulting Group CEO Jimmy Lee says this latest piece
of data is another positive sign for investors and corporate America.

I think it supports what we saw last week and the jobs number being a little
bit less than what you know people were predicting. And so, I definitely think
we're starting to see a slowing of the economy, but I'm still on the bullish
side on the consumer, that consumers still have jobs and are spending money
still. And so, I do believe that interest rates going down sooner than later
will be definitely helpful for our economy. I think everybody is looking
forward to a lower interest rate world where there's more business deals are
going to happen, and more capex spending and I think that's what we're looking
forward to. And I think that there's some optimism around that.

Stocks on the move included Arm Holdings. The semiconductor designer slid 2%
as its full-year revenue forecast came in below expectations. And shares of
Robinhood Markets fell 3%, despite the online brokerage beating estimates for
first quarter profit, thanks to robust crypto trading volumes and rate hikes
that boosted its net interest revenue