Markets in the United States opened the month of June already on the positive territory. Wall Street is preparing itself for the monthly employment report.
The economy in the U.S. gained as much as 185,000 jobs last May; however JPMorgan Funds’ chief global strategist David Kelly suggested that expectations grew in the market following the strong report from Moody’s Analytics and ADP. He added that the movement was an upbeat surprise compared to the negativity it has been enduring before; it also shows that the U.S. economy is moving smoothly. Last Thursday’s report showed that private payrolls added more than 253,000 in May, higher than the estimated 185,000.
The S&P 500 rose 0.76 percent or 18.26 points or 2,430.06, with financials, health care and materials as the best performing sectors. The Nasdaq composite jumped almost 0.78 percent or 48.31 points at 6,246.83. Meanwhile the Dow Jones industrial average added 135.53 points at 21,144.18, with Goldman Sachs and UnitedHealth as the leading advancers.
Wall Street is currently bracing itself with a heap of data; this includes weekly unemployment claims which were higher than expected as it came in at 248,000 versus the forecasted 239,000. The ISM manufacturing index, however, was lower than expected as it came in at 54.9 versus the estimated 55.0 for the month of May. Construction spending for April slipped more than 1.4 percent with analysts estimating a 0.5 percent growth. Still, the released figures and employment report for Friday would not prevent the Federal Reserve from inciting an interest rate hike this June.