Nasdaq Approaches New Record as Jobs Data Lifts Payroll Stocks
The Nasdaq Composite (NASDAQINDEX: ^IXIC) has led other major benchmarks upward in the recovery from the coronavirus bear market, and today, it became the first of them to move back into all-time-high territory on an intraday basis. The index didn't quite manage to finish the day above its previous record close, but a 2% gain reflected the extreme optimism that investors have about the prospects for strength on the Nasdaq. The Nasdaq 100 index of top Nasdaq stocks did manage to close at record levels, rising 2%.
The immediate reason for the big boost to the market was the May U.S. employment report from the Bureau of Labor Statistics. The numbers for job creation and unemployment were far better than most had feared, and investors in payroll companies Automatic Data Processing (NASDAQ: ADP) and Paychex (NASDAQ: PAYX) responded with outsize gains in their share prices.
Image source: Automatic Data Processing.
Source Fool.com
