A view of the charging Bull with a woman in New York City USA during coronavirus pandemic on April 25, 2020.
John Nacion | NurPhoto | Getty Images
Dow Jones Industrial Average rises 455 points
The Dow gained 445.43 points, or 1.91%, to close at 24,331.32. The S&P 500 climbed 1.69% to 2,929.80. The Nasdaq Composite advanced 1.58% to 9,121.32. Stocks rose sharply even after the ugliest monthly jobs report on record as investors bet the worst of the coronavirus and its impact on the economy has passed.
More than 20 million jobs lost in April
The Labor Department said a record 20.5 million jobs were lost last month, and the unemployment rate jumped to 14.7% from just 4.4%. Both the spike in job losses and the unemployment-rate surge are post-World War II records. To be sure, neither print was as bad as feared. Economists polled by Dow Jones expected a loss of 21.5 million jobs and an unemployment rate of 16%. “You have investors that seem to be able to look through the tsunami of negative economic data and earnings and towards the potential for a gradual reopening of the economy,” said Art Hogan, chief market strategist at National Securities.
‘Reopen’ stocks lead the way
Stocks of companies that would benefit from the economy reopening rose on Friday. MGM Resorts closed 4.42% higher while Disney advanced 3.40%. Delta and American Airlines advanced 4.8% and 6.29%, respectively, while United jumped 11.74%.
What happens next?
Investors will keep an eye out for the latest coronavirus-related news throughout the weekend.
Subscribe to CNBC PRO for exclusive insights and analysis, and live business day programming from around the world.