Fundamental analysis
07 June, 2021
U.S. stocks rose on Friday, with technology shares leading the way, as weaker-than-expected jobs growth eased concerns about the economy running too hot and causing an early tightening of monetary policy. The Labor Department's closely watched report showed nonfarm payrolls increased by 559,000 jobs last month, helped by vaccinations and a reopening economy, following an unexpected slowdown in the labor market in April. All three indexes rose for the week, with the Nasdaq posting its third straight weekly gain. The heavyweight S&P 500 tech sector was the best-performing group on Friday, rising 1.9%, as longer-dated U.S. Treasury yields fell. Tech and other growth stocks are seen as particularly vulnerable if inflation drives up bond yields and more heavily discounts the value of future cash flows.
