The stock markets in the United States gained driven by data that the economy created more jobs in October. Analysts also suggested that the markets also benefited from the Republicans‘ victory in obtaining control of the Senate.
The ADP Research Institute reported that American companies added 230,000 jobs in October. The Department of Labor is scheduled to release its jobs report this week. Economists polled by Bloomberg estimated that 225,000 jobs were added last month and the unemployment rate will be around 5.9%.
A separate report indicated that the service industries in the United States maintained a faster growth rate in October.
In politics, Republicans won seats in the states of Arkansas, Colorado, Iowa, Louisiana, North Carolina, Montana, West Virginia and South Dakota. Kentucky Senator Mitch McConnell is poised to become the next majority leader.
Today, Sen. McConnell and President Barck Obama had a conversation about revising tax laws and trade agreements. Sen. McConnell said “there will be no government shutdowns and no default on the national debt.”
Commenting on the latest economic data and political development, Robert Pavlik, a market strategist at Banyan Partners LLC said, “With the election results, the strong ISM manufacturing result from the other day and today’s employment report, it continues to improve investor sentiment.”
Pavlik added, “The market also likes the fact that the ECB might deliver some additional quantitative easing-type measures.”
- Dow Jones Industrial Average (DJIA) – 17,484.53 (+0.58%)
- S&P 500- 2,023.51 (+0.57%)
- NASDAQ- 4,620.72 (-0.06%)
- Russell 2000- 1,165.86 (+0.04%)
- EURO STOXX 50 Price EUR- 3,091.54 (+1.89%)
- FTSE 100 Index- 6539.14 (+1.32%)
- Deutsche Borse AG German Stock Index DAX- 9,315.48 (+1.63%)
- Nikkei 225- 16,937.32 (+0.44%)
- Hong Kong Hang Seng Index- 23,695.62 (-0.63%)
- Shanghai Shenzhen CSI 300 Index- 2,503.46 (-0.39%)
Stocks in Focus
Tesla Motors Inc (NASDAQ:TSLA) closed $230.97 per share, down by more than 3%. However, the stock price of the electric car manufacturer rebounded nearly 5% to $242.54 per share during the extended hours trading after reporting its financial results for the third quarter.
Tesla reported $0.02 in earning per share on $932 million in revenue. The company outperformed the $0.01 in earnings per share on $889 million in revenue consensus estimate of analysts polled by Thomson Reuters.
Criteo SA (ADR) (NASDAQ:CRTO) surged more than 21% to $35.99 per share today. The company reported that its third quarter revenue excluding acquisition costs increased 68.5% to €77.6 million. Its adjusted net income was €16.7 million or €0.27 per share. Criterio also reported that its client base rose 42% or 450 to 6,851 during the period.
The shares of BroadSoft Inc (NASDAQ:BSFT) climbed more than 17% to $25.92 per share after reporting better-than-expected earnings for the third quarter. The company posted $0.34 in earnings per share compared with the $0.26 per share consensus estimate.