Wall Street reacts positively to job data and earnings reports

Wall Street saw a positive uptick on Friday following a weaker-than-expected jobs report, fueling optimism for a potential interest rate cut by the Federal Reserve later this year. The slowdown in U.S. job growth in April, coupled with a dip in annual wage growth below 4%, hinted at a more relaxed labor market. Despite the unemployment rate ticking up to 3.9%, experts viewed the data as not alarming, indicating a stable economy.

Investors responded by increasing bets on a Fed rate cut in September, leading to a drop in government bond yields. The CBOE Volatility index, known as the 'fear gauge', hit a one-month low. Apple surged 6% after announcing a significant share buyback program and surpassing earnings expectations. Biotech firm Amgen also soared 12.1% on positive trial results and strong quarterly earnings.

The Dow Jones Industrial Average rose by 1.26%, the S&P 500 gained 1.15%, and the Nasdaq Composite jumped 1.92%. Tech and real estate sectors were among the top performers, while Square climbed 5.4% on improved earnings outlook. However, Expedia faced a 13% decline due to lowered revenue forecasts.

With nearly 77% of S&P 500 companies beating earnings estimates for the first quarter, market sentiment remained largely positive. Advancing stocks significantly outnumbered decliners, with new highs recorded across major indices.

In conclusion, the market responded positively to the softer job data, with hopes of a Fed rate cut boosting investor confidence. Strong performances from tech giants like Apple and positive trial results from Amgen contributed to the overall upbeat sentiment in the market.