US close: Stocks rise ahead of non-farm payrolls

dl wall street wall st new york city nyc ney york stock exchange nyse nasdaq dow jones industrial average djia trading us usa united states of america 2023120702241 — Sharecast graphic / Josh White

Wall Street stocks closed higher on Thursday, with the market finding optimism in fresh labour market indicators, fueling expectations of a potential interest rate cut from the Federal Reserve.

Sharecast graphic / Josh White

Dollar General Corp

$82.00

11:10 04/11/24

0.29%

$0.24

At the close, the Dow Jones Industrial Average was up 0.17% at 36,117.38 points, while the broader S&P 500 index rose 0.8% to settle at 4,585.59.

The tech-heavy Nasdaq Composite posted even stronger gains, jumping 1.37% to finish at 14,339.99.

In currency markets, the dollar was last 0.06% stronger on sterling, trading at 79.45p, while it edged up 0.01% against the euro to 92.65 euro cents.

Meanwhile, the greenback held steady on the yen, trading at JPY 144.13.

"US stocks are trading modestly higher Thursday, led by outperformance in tech stocks, as investors position ahead of Friday's payrolls report and on the back of a series of benign employment data," said SPI Asset Management managing partner Stephen Innes.

"The forthcoming jobs report is expected to be a significant factor, but its expectations to convey a strong or hawkish message have been set relatively high.

"Given the risk-friendly tone from a series of tier-two employment data, it would be challenging to interpret the report as hawkish unless it delivers a blockbuster-type number."

Jobless claims inch higher amid gradual slowdown

In economic news, American workers filed slightly more unemployment benefit claims in the week ended 2 December, reflecting a gradual slowdown in the labour market amid reduced demand.

According to the latest report from the Labor Department, initial jobless claims increased by 1,000 to reach a seasonally adjusted 220,000.

Economists' expectations had leaned toward a slightly larger uptick, with a consensus forecast of 222,000.

Continuing claims took a dip, declining by 64,000 to 1.86 million.

The four-week moving average, intended to provide a more stable view of the jobless situation, increased by 500 to 220,750.

Notable spikes in unemployment claims were seen in California, New York, and Texas.

"Investors hoping for some further clues as to the state of the US labour market were left empty-handed by today's claims figures," said IG chief market analyst Chris Beauchamp.

"These continue to hover around the 220,000 mark, providing no hint that there is any real weakening in the American employment picture.

"Barring a shock payroll reading tomorrow, Wall Street seems to be in a holding pattern until the Fed decision next week."

Tech stocks sparkle, Dollar General loses favour

In equity markets, chip giant Advanced Micro Devices (AMD) added 9.89%, following positive analyst reception to the company's artificial intelligence event held earlier in the week.

Nasdaq-listed Cyngn skyrocketed 64% after it was granted a new patent related to autonomous vehicle and driving solutions.

Hempacco, the CBD hemp cigarette company listed on the Nasdaq Capital Market, also saw a substantial increase, rising 44.17%.

The surge came on the heels of the firm's announcement of a distribution agreement in India and Thailand.

On the downside, Dollar General Corporation lost 1.21% despite reiterating its full-year guidance and posting a smaller-than-expected drop in quarterly sales.

The rural America-focused discount retailer reported a 1.3% decrease in like-for-like sales for the 13 weeks ended 3 November, which was better than the 2.1% fall analysts had expected.

Reporting by Josh White for Sharecast.com.

Dow Jones - Risers

Walgreens Boots Alliance, Inc. (WBA) $22.91 7.16%
Intel Corp. (INTC) $42.15 2.13%
Cisco Systems Inc. (CSCO) $48.26 1.17%
Apple Inc. (AAPL) $194.27 1.01%
Walt Disney Co. (DIS) $92.35 0.93%
Goldman Sachs Group Inc. (GS) $344.62 0.77%
Amgen Inc. (AMGN) $271.31 0.73%
American Express Co. (AXP) $168.62 0.66%
Visa Inc. (V) $255.82 0.60%
Microsoft Corp. (MSFT) $370.95 0.58%