S&P 500, Dow hit records | Jobs report beats expectations | More volatility for Robinhood?

FRI, AUG 06, 2021

EVENING BRIEF

AS OF FRI, AUG 06, 2021 • 05:15 ET

DJIA		35208.51
		+0.41%	+144.26

S&P 500		4436.52
		+0.17%	+7.42

NASDAQ		14835.76
		-0.40%	-59.35

Most Active

DOW
NAME	LAST	CHG	%CHG
AAPL	146.14	-0.70	-0.48%
INTC	53.92	+0.03	+0.06%
CSCO	55.59	-0.17	-0.30%

S&P 500
NAME	LAST	CHG	%CHG
AMD	110.11	-2.24	-1.99%
BAC	40.15	+1.13	+2.90%
AAPL	146.14	-0.70	-0.48%

NASDAQ
NAME	LAST	CHG	%CHG
AMD	110.11	-2.24	-1.99%
AAPL	146.14	-0.70	-0.48%
INTC	53.92	+0.03	+0.06%

EDITOR'S NOTE

The Dow Jones Industrial Average and S&P 500 closed at record levels on Friday following a strong jobs report.

Hiring was at its fastest pace in nearly a year, according to July's jobs report. The U.S. economy added 943,000 jobs in July, the Labor Department found. Economists polled by Dow Jones predicted employers would add 845,000 payrolls. The unemployment rate dropped to 5.4%, below the estimate of 5.7%.

Some economists believe this print primes the Federal Reserve for tapering.

"There's a lot to like about this number. It seems stocks like it… The dollar and rates are up and that suggests investors think maybe numbers like these will get the Fed to do something eventually," said Michael Arone, chief investment strategist with State Street Global Advisors.

The Dow rose 144.26 points to close at a new record of 35,208.51. The S&P 500 gained nearly 0.2% to close at an all-time high of 4,436.52. Stocks tied to the economic recovery, such as banks, industrials and energy stocks, led the way.

The technology-heavy Nasdaq Composite was the relative underperformer, dropping 0.4%.

All three major averages notched a winning week. The Dow climbed roughly 0.8% and the S&P 500 gained 0.9% since Monday. The Nasdaq gained 1.1% this week.

Newly public trading app Robinhood closed out a wild week of trading in which the stock gained 56.5% since Monday. The company reiterated that it is not selling any more stock, following Thursday's news that existing shareholders will sell up to 97.9 million shares over time. The trading app also clarified Friday morning that these sales would not start right away, easing concerns about an immediate jump in stock supply that could weigh down the shares.

More sharp price swings could be ahead for Robinhood, said Michael Khouw, president of Optimize Advisors. "The options market is forecasting a pretty volatile road ahead over the next couple weeks," he said.