Weak Jobs Report Signals Continued Taper and Sends Street Higher
The S&P continued its record rise on Tuesday despite weak unemployment data in the US. The 148,000 newly added jobs in September assured many that the Federal Reserve will extend its monetary stimulus through the end of the year. In reaction to the jobs report, the euro jumped to its highest level since November of 2011 against the dollar. Despite a surge from Netflix (NFLX) yesterday, the company saw shares plummet about 8% in the afternoon. Delta Air Lines (DAL) rose 3.3% after exceeding expectations for its quarterly profit.Also today Apple (AAPL) released several products including its newest iPad but disappointed many investors that had higher hopes for the line. The Commerce Department noted that construction spending in the US increased by 0.6% in August. By the end of the day gold futures settled close to a five-week high on continued taper bets.
Word on the Street
- Job growth in September remains slow as US government reopens.
- Construction spending in the US hits a 4-1/2 year high and signals signs of growth.
- The world's largest coffee chain comes under fire for high prices in China.
- United Technologies (UTX) reports Q3 earnings that beat expectations on the Street.
- McGraw Hill (MHP) jumps on higher-than-expected earnings, carries the S&P on Tuesday.
- Euro jumps to highest level against the dollar since November 2011 on jobs report.
- Athenahealth (ATHN) Surges 20% Despite Missing Top and Bottom Line Estimates.
Published on Oct 22, 2013By InvestorGuide Staff