The stock market extended this week’s gains as big tech rallied and a solid jobs report bolstered the outlook for corporate profits.
Equities hit all-time highs, with the S&P 500 approaching 5,000 and the Nasdaq 100 up about 2 per cent on bullish outlooks from Meta Platforms Inc. and Amazon.com Inc. Economic optimism outweighed bets the Federal Reserve will be in no rush to cut rates. Treasury two-year yields jumped 17 basis points to 4.37 per cent. The dollar rose to levels last seen before the Fed’s December “pivot.”
“Today’s jobs report calls into question the narrative of a ‘soft landing’,” said David Donabedian at CIBC Private Wealth U.S. “The January jobs report was pretty dramatic, implying there may be ‘no landing.’ The economy is ripping ahead.”
To Neil Dutta at Renaissance Macro Research, strong growth in labor productivity means unit labor costs are under control — which is a good…
