Fri. 3:30 p.m.: Stocks pull a U-turn and soar after jobs report, trade talks

NEW YORK (AP) — Global stocks are soaring and reversing the big losses they suffered just a day earlier. The Dow Jones Industrial Average soared 700 points in the latest twist in a wild three months for markets.

Hopes for progress in the U.S.-China trade dispute, a strong report on the U.S. jobs market and encouraging comments from the head of the U.S. central bank about its interest rate policy all combined to cheer investors.

China’s Commerce Ministry said trade talks will be held Monday and Tuesday in Beijing, and investors will once again look for signs the world’s largest economic powers will make progress toward resolving their dispute. The tensions have dragged on for nearly a year, slowing business and dragging down stock indexes worldwide.

Meanwhile the Labor Department said U.S. employers added 312,000 jobs last month, a far stronger result than experts had anticipated. U.S. stocks have tumbled over the last three months as investors worried that the economy might slow down dramatically because of a variety of challenges including the trade dispute and rising interest rates.

The stock market’s plunge also threatened to shake up the confidence and the spending plans of businesses and consumers. Some analysts said investors were acting as if a recession was on the horizon, despite a lack of evidence that the U.S. economy is struggling.

Read More Here...

Bookmark the permalink.