Tech Giants Propel Wall Street to Record Highs Amid Labor Market Weakness

Wall Street's stock indexes, including the tech-heavy Nasdaq and benchmark S&P 500, closed higher on Friday, hitting record highs. Tech giants like Microsoft and Apple propelled these gains. Labor market data indicated marginal job growth and increased unemployment. Investors anticipate potential interest rate cuts by the Federal Reserve.

Wall Street stock indexes concluded the week on a stronger note, with both the Nasdaq and the S&P 500 hitting unprecedented record highs. Tech goliaths such as Microsoft, Meta Platforms, Amazon.com, and Apple drove these gains, bolstered by data reflecting weaknesses in the U.S. labor market and declining Treasury yields.

Both the S&P 500 and Nasdaq reached new zeniths, while labor market figures showed marginally slower job growth and a slight rise in the unemployment rate. Investors are now predicting a potential cut in interest rates by the Federal Reserve, with probabilities jumping to 79% for a September easing.

In a session of mixed fortunes, major bank stocks declined as corporate earnings reports loom on the horizon, while Macy's saw a surge following an increased acquisition bid. This diverse market performance underscores the current economic complexity, balancing strong earnings from tech giants against uncertainties in other sectors.

(With inputs from agencies.)