U.S. Stock Market Surges Amid Economic Data and Corporate Developments
U.S. stock markets rallied sharply on Friday following a stronger-than-anticipated May jobs report and notable corporate news. The Dow Jones Industrial Average jumped over 300 points (with some reports noting a rise of more than 500 points, but the core market narrative centered on a robust rally), while the S&P 500 index surpassed the 6,000 level for the first time since February, marking a 3-1/2 month high. The Nasdaq Composite also advanced, reflecting broad-based optimism among investors.
The Bureau of Labor Statistics reported that the U.S. economy added 139,000 nonfarm payroll jobs in May—exceeding the consensus expectation of 126,000—while the unemployment rate held steady at 4.2%. Wage growth remained robust, with average hourly earnings rising 0.4% month-over-month and 3.9% year-over-year, both figures outpacing forecasts. The jobs data alleviated concerns about an impending economic slowdown, prompting a recalibration of Federal Reserve rate cut expectations, with markets now pricing in fewer anticipated cuts for 2025.
In corporate developments, Omada Health made a splash on the Nasdaq, with shares soaring 42% in their trading debut. The digital health company’s strong opening underscored investor appetite for innovative healthcare solutions.
Conversely, Lululemon shares tumbled 20% after the company slashed its full-year earnings guidance, citing tariff pressures and a more cautious consumer spending environment. The update highlighted ongoing challenges for retailers amid global trade tensions.
Tesla shares rebounded, rising 5% despite persistent trade policy uncertainties. The recovery followed a steep drop the previous day, when tensions between CEO Elon Musk and President Donald Trump over government contracts and subsidies sent Tesla’s stock plunging more than 14%. The apparent easing of hostilities between the two figures contributed to today’s rebound.
Additionally, nuclear power stocks gained ground following reports of executive orders aimed at accelerating reactor construction in the U.S., signaling renewed government support for the sector.
Overall, the day’s market action reflected investor relief over the resilience of the U.S. labor market and optimism surrounding select corporate developments, even as tariff risks and policy uncertainties lingered.