S&P 500 and Nasdaq hit record highs on better-than-expected US jobs data and renewed optimism of trade war truce
The S&P 500 and Nasdaq finished Friday at a record high following data better-than-expected US jobs growth data and fresh optimisim the US and China would cease their trade war.
The S&P 500 rose by 0.97 per cent to 3,066.91 and peaked at a record high of 3,066.95 during Friday’s session, despite another weak reading on the US manufacturing sector.
Read more: US jobs: Trump’s economy beats expectations and adds 128,000 workers
The index was up 1.5 per cent for the week, its fourth consecutively weekly gain and longest rising streak since March.
Meanwhile, the Nasdaq gained 1.1 per cent to 8,386.40 on Friday, finishing the week 1.7 per cent up: its fifth successive week of gains.
Investing sentiment was boosted by an upbeat jobs report that showed non-farm payrolls rose by 128,000 last month from September’s upwardly revised 180,000.
It exceeded economists’ expectations and defied concerns of a General Motors strike weighing on the labour market.
Read more: FTSE 100 climbs as Asian stocks rise
There was also renewed optimism that a trade deal between the US and China would be reached following a statement from the office of US trade representative Robert Lighthizer.
“They made progress in a variety of areas and are in the process of resolving outstanding issues,” the USTR said following a “constructive call” between Lightizer, the US Treasury secretary, Steven Mnuchin, and China’s vice-premier, Liu He, on Friday.