On Thursday, the U.S. market ended the month of August on a strong note following the release of strong economic data along with market hopes of a business tax reform announcement from the U.S. administration next week. This was hinted by White House representatives at the end of last week.
In Wall Street, the Dow Jones Industrial Average picked up 0.3% to 21,952 which was noted by analysts to hit 22,000 soon. The index was able to surpass the level during the month of August and has risen by 0.3% during the month recording a rally for the fifth consecutive month.
The S&P 500 index which is currently up by 0.57% closed on Thursday 0.6% higher recording a total gain of 0.1% for the month of August. The index recorded a rally for the fifth consecutive month. The Nasdaq Composite Index also closed 1% up to 6,428.66 and recorded a monthly gain of 1.3%.
According to most recent reports, the economy of the United States has recovered and is rising at a steady but slow pace. This is due to the recent geopolitical issues and tension between other countries in the past couple of months. However, the upbeat earnings report from U.S. stocks have kept the markets bullish and has even lifted a number of sectors. The market is currently under a positive condition despite recent events.
The U.S. gross domestic product growth has also been reported to be at a stronger level than expected for the second quarter. Private employer hiring activity has also increased more than most market expectations.
According to the Commerce Department, Personal spending among Americans have jumped in July and is seen to be the fastest rate seen since last April. Personal incomes information has also risen the highest for the first time since February.
Factory activity in China also rose during the month of August despite a decline in new export orders.
Despite a weaker than expected jobs data report, U.S. stocks still rose on Friday. Reports show that the economy of the United States recorded only 156,000 jobs for the month of August compared to most economist forecasts of 180,000 new jobs for August. Total job numbers have also declined. The Bureau of Labor Statistics cut down its June report from 231,000 to only 210,000 and its July report to 189,000 from having previously advised a number of 209,000.
The Dow Jones logged another 60 points during Friday’s early trading session while the S&P 500 and the Nasdaq composite gained 0.2% and 0.1% respectively.