Dow, S&P 500, Nasdaq Open Up; Record Highs; Government Shutdown Delays Jobs Report; Tesla, Nvidia, SoFi, Applied Materials and More Movers
With the September jobs report delayed due to the government shutdown, stocks were grinding higher for a sixth day in a row.
The Dow Jones Industrial Average rose 104 points, or 0.2%. The S&P 500 was up 0.2%. The Nasdaq Composite was up 0.2%. If all three rise, it would be the sixth day in a row the three major U.S. indexes closed higher. That would be their longest such streak since the six days that ended on Dec. 14, 2023.
The Dow is on pace for its best week since August, according to Dow Jones Market Data.
“There was a lot of hemming and hawing about the negative implications of the government shutdown earlier in the week, but markets don’t seem to care,” writes Bespoke Investment Group co-founder Paul Hickey. “Although there may be no employment report, we will get the ISM Services report at 10 AM.”
The yield on the 2-year Treasury note was up to 3.56%. The 10-year yield was up to 4.1%.
“The Fed has plenty of reason to cut at the two remaining meetings of the year,” writes Andrew Brenner, head of international fixed income at NatAlliance Securities.
Odds of an October quarter-point cut were at 96.7%, according to the CME FedWatch Tool. Traders see an 86.6% chance the central bank lowers interest rates by a half point through the rest of the year.
“Beyond that we think the Fed slows it down…having little data will not keep the Fed from cutting,” Brenner writes. “The Fed has their own sources plus all the private services.”
Earlier this week, ADP said the private sector lost 32,000 jobs in September and revised August’s figure 57,000 jobs lower to show a decline of 3,000 jobs.
