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Saturday 3 June 2017 BUSINESS
A24

Stocks set records again; bond yields sink after jobs report

By STAN CHOE record after record this
AP Business Writer year.
NEW YORK (AP) — Bond “If you were a Martian and
yields sank Friday to their looked at the economic
lowest level of the year, stats, you would not be
and the dollar’s value fell pouring money into the
against rivals after the na- equity market, or at least
tion’s job growth slowed the U.S. equity market,” he
last month. But stock index- said.
es chugged again to re- Friday’s drop in interest
cord heights, led by tech- rates helped boost stocks
nology companies and in industries that pay big
dividend payers. dividends. Real-estate in-
Yields fell immediately af- vestment trusts rose twice
ter the government said as fast as the overall S&P
that employers added 500, for example. Divi-
138,000 jobs last month, dends look more attractive
which was short of econo- to income investors when
mists’ expectations and bonds are paying less in in-
a slowdown from April’s terest.
hiring. The yield on the 10- Technology stocks had the
year Treasury dropped to day’s biggest gains, with
2.15 percent from 2.21 per- those in the S&P 500 jump-
cent late Thursday and hit Trader Gregory Rowe works on the floor of the New York Stock Exchange. Stock indexes chugged ing 1 percent. It’s the latest
its lowest level since mid- again to record heights on Friday, June 02, 2017, led by technology companies and dividend move higher for the streak-
November. payers. (AP Photo/Richard Drew ing sector, which is already
The government’s jobs re- up 21.3 percent for the
port also said that hiring 62.11, or 0.3 percent, to tral bank has been trying That’s a relatively weak year.
was weaker in March and 21,206.29, and the Nasdaq to pull rates gradually off showing but better than Chipmaker Broadcom
April than earlier reported. composite added 58.97, or their record low following first estimated. jumped to the biggest gain
The unemployment rate fell 0.9 percent, to 6,305.80. All the Great Recession, and it “Is the glass half-full or half- in the S&P 500 after report-
to 4.3 percent last month, three indexes added to re- has raised rates twice since empty on the economic ing stronger quarterly rev-
its lowest level since 2001. cords set on Thursday. December. statistics?” asked Rich enue and profit than ana-
Stocks opened for trading Many economists say they Friday’s jobs report slots in Weiss, senior portfolio man- lysts had forecast. It rose
an hour after the release don’t expect the latest with a series of mixed eco- ager at American Century $19.94, or 8.5 percent, to
of the jobs report, and they jobs report to dissuade the nomic reports that show Investments. “I don’t know, $254.53.
were higher for nearly the Federal Reserve from rais- continued modest gains, but it’s only half.” Lululemon gained $5.62,
entire day. The Standard & ing interest rates again at but no big acceleration. Weiss said he’s been cau- or 11.5 percent, to $54.29
Poor’s 500 index rose 9.01 its next policy meeting in The economy grew at an tious on U.S. stocks given after the athletic apparel
points, or 0.4 percent, to two weeks. The job market annual rate of 1.2 percent the continued tepid pace company reported better
2,439.07. The Dow Jones and inflation remain strong in the first three months of growth, particularly as results for the latest quarter
industrial average gained enough, they say. The cen- of the year, for example. indexes have climbed to than analysts expected.q

America’s trade deficit hits

highest level since January

By PAUL WISEMAN trade gap — the differ-
AP Economics Writer ence between exports and
WASHINGTON (AP) — The imports — a centerpiece
U.S. trade deficit rose in of his presidential cam-
April to the highest level paign. His administration
since January. The political- has vowed to reduce the
ly sensitive trade gap with deficit, blaming it on abu-
China registered a sharp in- sive practices by America’s
crease.The Commerce De- trading partners.
partment said Friday that The deficit in goods with
the U.S. trade gap in goods China rose by 12.4 percent
and services climbed 5.2 to $27.6 billion in April.
percent to $47.6 billion in So far this year, the trade
April from March. Exports deficit is up 13.4 percent
dropped 0.3 percent to from a year earlier to $186.6
$191 billion, pulled down billion. Exports are up 6.1
by a drop in automotive percent to $765.6 billion
exports. Imports rose 0.8 this year, but imports are
percent to $238.6 billion as up more — 7.5 percent to
Americans bought more $952.2 billion. So far in 2017,
foreign-made cellphones the United States is running
and other consumer goods. a $268.7 billion deficit in
A widening trade deficit is a goods and an $82.1 billion
drag on economic growth. surplus in services such as
Donald Trump made the banking and tourism.q