U.S. stocks posted solid gains in a holiday-shortened week; most overseas markets finished in the black. Positive June employment data helped optimism counterbalance simmering U.S.-China tensions and Covid-19 reacceleration.
Stocks pulled back across the globe, breaking a three-week string of gains. Among the factors blamed were the disconnect between the market rally and the macroeconomic backdrop and an uptick in coronavirus infections.
U.S. equities posted a third straight week of strong gains. Beside a surprisingly strong U.S. jobs report, the biggest tailwind was massive fiscal and monetary stimulus; investors also focused on upticks in monthly economic data.
Stocks finished a strong week higher as optimism for a potential coronavirus vaccine and the reopening of the U.S. economy won out over renewed U.S.-China geopolitical tensions and the ongoing deterioration of the U.S. labor market.
Stocks posted weekly losses as declining economic conditions, elevated volatility and rising trade-tension risk weighed on sentiment. Nonetheless, markets partially recovered Friday as April industrial production and May manufacturing and consumer sentiment came in better than expected.
Stocks posted a week of solid gains as markets focused on an April jobs report that wasn’t as bad as feared, expectations of continued fiscal and monetary policy support and signs of easing U.S.–China trade tensions.