See-saw start end of the stock market rally on Friday, traders bet on stronger hiring could boost the economy.
After the government reported strong hiring in June, traders and investors struggle over how to response. At first, they pushed stocks higher, because the report better than expected. Then they push stocks lower, because the fed may cut its economic stimulus to improve the job market.
Nonsense after the dust settles, the early investors optimistic about prospects.
"In general, I think, in Sabrient, Santa Barbara, California, institutional investors, a research firm, chief market strategist, David brown says," our economy is now standing on his own two feet.
U.S. stock indexes when they open a shot, due to the labor department report, said the U.S. economy added 195000 jobs last month of stronger than expected. The dow Jones industrial average rose 115 points.
Briefly but earnings, and within an hour, the major indexes all tapered off dipped into the red. But in the end of the day, they have more is not restored, the major indexes closed higher about 1%.
As of the closing, the dow Jones industrial average rose 147.29 points, to 15135.84. The standard & poor's 500 index rose 16.48 points, to 1631.89 points. The nasdaq composite index climbed 35.71, to 3479.38.
"I think the initial reaction is, 'yeah, all of these people are employed, then," oh, "said Mr Brown, late in the morning.
Wield whips, shows that the fed has play the stock market as a result, the complexity and lucrative role in recent weeks.
This is because the federal reserve chairman Ben bernanke, has propped up the economy, by buying government bonds and maintain low interest rates. Investors know that the fed is not going to always continue to stimulate, but they worry that as the development of last Friday's positive jobs report could make the fed yank too fast.
Employment "more to bernanke's mission" to soothe the fed's economic stimulus plan, brown said.
As investors buy stocks, they sell bonds, in their opinion, another sign that the fed will its bond buying. Jumped to 2.73% of the 10-year bond yields from 2.51% late Wednesday. This is the highest level since August 2011.
Relatively small number of shares changed hands on Friday, because many traders still on holiday after the fourth of July holiday Thursday. Light may also help early market fluctuations, even the relatively small number of shares changes, because it can be moved.
Traders also noted that U.S. stock chased after missing for Europe's big gains on Thursday.
European shares jumped on Thursday, including the country's main stock index up 3%, after the European central bank and the bank of England is trying to reassure the markets, said they will keep interest rates low for the foreseeable future. Terrified, and investors have their own central Banks may follow the fed's lead, and control its economic stimulus measures soon.
Sedative effect didn't last long, the entire European market on Friday, as investors worry whether the fed will back -- the U.S. central bank's powerful influence all over the world the a microcosm of the market.
As for the U.S. government bond trading, investors have sold 10-year debt back week on expectations the federal reserve. On May 3, in the recent, the 10-year Treasury yield is 1.6%. Current yield, but still at historically low levels, investors think bonds way creates a sea change.
Jordan waxman, sea of China, the wealth management company in New York, managing director and partner, said their most recent performance, investors fled to bonds, because they appear to be safe, the comfort of incomplete.
, "Mr Waxman said:" it's like to go to your favorite restaurant for a month, a month, and then one day, you see rats running a restaurant. "It will take some time to go back."
Over the past three decades, bond interest rates rather than moving up or down trend, so the recent gains were thrown by many investors as a loop, Craig phil pointed out that, in the st. Louis Edward Jones's investment strategy.
"This is caught many bond investors off guard," phil said. He always tell our customers to cut its holding long-term bonds.
Potential high interest rates is obvious, the influence of the financial market. Stocks of small Banks, because investors believe the company will benefit from the loan able to charge higher interest rates
But home-builder Lennar company is the second largest losses, the S&P 500 index of losses of $1.42, or 4%, trading at $33.93. Investors worried that higher interest rates will make mortgages more expensive, cracking down on demand, but will remain historically low interest rates.
The price of crude oil rose $1.98, or 2%, to $103.22 a barrel in New York. This could herald a investors bullish on U.S. manufacturing and the economy as a whole - or it could mean that they are concerned about political unrest in Egypt. Last Wednesday, the Egyptian military overthrew President Mohammed mursi, and his supporters began a series of protests and attacks on Friday.
Dollar rises, this may mean the feeling of investor confidence in the U.S. economy.
In U.S. jobs report, investors say, it represents an economic improvement, is not an economy healed completely.
In June 195000 the newly added jobs easily beat expectations for the addition of 165000 jobs. The government also said that the economic increased by 70000 in April and may, more jobs than previously thought.
But there is reason for caution. More than half of all new jobs from the hotel, catering, entertainment and retail, it is usually low wages.
Stocks big action:
- KB Home company, fell 64 cents, or 3.4%, to $18.07. Day listed homes lost 18 cents, or 1%, to $17.22.
Lululemon company, which makes high-end yoga clothing, fall, after the company said, its founder and chairman, plans to sell most of his shares. The shares fell 95 cents, or 1.5%, to $63.55.
Newmont mining is biggest drop in the S&P 500 index, dip in gold prices. The shares fell $1.24, or 4



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